The global gallium nitride (GaN) power device market is projected to grow at a CAGR of 27.49% during the forecast period to reach US$4,660.950 million by 2026 from US$851.246 million in 2019. Gallium Nitride, also known as GaN is a rigorous however mechanically stable wide bandgap semiconductor that has higher breakdown strength and faster switching speed. GaN has higher thermal conductivity however it has low resistance due to which it is considered an ideal semiconductor for electronics and other devices. Powered devices based on GaN technology show better performance than silicon-based devices, hence making the substance the most suitable material for power device semiconductors. Through a GaN epi layer over a silicon surface, manufacturers can efficiently reduce cost and optimize production since the layer enables the production of larger silicon wafers at a lower cost. GaN power devices are enabled with high voltage operation, high-temperature application, and high-frequency switching.
Burgeoning growth in the automotive and telecommunication industry during the forecasted period is calculated to be the prime reason which will be driving the market growth during the forecasted period. Medical sectors as well are projected to grow the demand for the market at a significant rate owing to an increase in investment in social security and healthcare services. The rising scope of semiconductors will also provide huge market prospects to the GaN power device market.
Burgeoning growth in the telecommunication sector will drive the market growth during the forecasted period.
The prime reason driving the market growth during the forecasted period is burgeoning growth in the telecommunication sector and technological advancement in the industry for better connectivity. Rising demand for connectivity for better communication and other services is driving the demand for services in the telecommunication industry. Increased internet penetration around the globe has led to skyrocketing scope for the telecommunication sector. Data from the Cisco report predict that global IP traffic will grow at a quadruple rate to reach 4.8 zettabytes by 2022. The rise in communication devices, especially smartphones and smart devices will drive this market growth. In 2021, the number of smartphones users was 3.8 billion while mobile phone users were 4.88 billion. Mobile device users accounted for around 67% of the global population. The proportion is expected to increase at an exponential rate during the studied period which is anticipated to drive the GaN power device market.
Furthermore, the rising penetration of 4G network and development of 5G network are projected to open up new growth opportunities for the telecommunication market. The coronavirus pandemic also contributed significantly to booming the demand for networking and communication which expanded the market scope. Physical shutdown imposed to contain the spread of the virus shifted major economic operations to virtual platforms which sky rocked the demand for telecommunication services.
Significant growth in the automotive industry is expected to provide notable growth prospects for the global gallium nitride power device industry.
Another key factor that is anticipated to contribute significantly to the market growth is notable growth in the automotive industry. Surging disposable income coupled with the raised standard of living is projected to escalate the demand for the automotive industry. Technological advancement has increased the constriction of self-driving and electric cars having renewable energy options which require solar panels and is expected to increase the adoption of GaN power devices. Hyundai, for instance, launched a new electric car having a solar panel roof in February 2021, having the capability to charge other EVs. The rising preferability of GaN power devices in comparison with silicon power devices will increase the market share of GaN power devices in the automotive industry.
The Asia Pacific GaN power Device market is anticipated to have a noteworthy share on industry analysis.
Based on geography, the global GaN power device market is fragmented into North America, South America, Europe, Middle East, and Africa, and Asia Pacific region. While the North American region is projected to dominate the market during the forecasted period, the Asia Pacific GaN power device market is anticipated to show robust growth potential. The prime reason for the region's growth is mushrooming manufacturing industries, particularly the automotive industry, which is expected to derive the market growth of the GaN power device industry.
In early 2020, global automotive companies such as Kia Motors, MG, Toyota, invested intensively in the development of new manufacturing plants in India. In 2021, domestic as well as foreign automotive companies increased their investment to escalate manufacturing in India. Moreover, in February 2021, Tesla Inc. set up a subsidiary plant in Bengaluru to introduce Tesla’s innovative cars in the Indian market. Booming growth in the automotive industry is expected to raise the market size of GaN power devices in India.
The booming telecommunication industry in the sector is also projected to open up new market prospects. A rise in disposable income in the region and the growing penetration of mobile phones is expected to increase the market size. Moreover, probing 4G technology and upcoming 5G technology is expected to increase the market scope.
|Market size value in 2019||US$851.246 million|
|Market size value in 2026||US$4,660.950 million|
|Growth Rate||CAGR of 27.49% from 2019 to 2026|
|Forecast Unit (Value)||USD Million|
|Segments covered||Device Type, Voltage Range, End-Users Industry, And Geography|
|Regions covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies covered||Panasonic Corporation, Infineon, GaN Systems, VisIC Technologies, MACOM, Fujitsu, Qorvo, Texas Instruments, Mitsubishi Electric Corporation|
|Customization scope||Free report customization with purchase|
Key Market Segments
Frequently Asked Questions (FAQs)
Q1. What will be the gallium nitride power device market size by 2026?
A1. The global gallium nitride (GaN) power device market is projected to reach a market size of US$4,660.950 million in 2026.
Q2. What is the size of global gallium nitride (GaN) power device market?
A2. GaN Power Device Market was valued at US$851.246 million in 2019.
Q3. What are the growth prospects for the GaN power device market?
A3. The gallium nitride power device market is projected to grow at a CAGR of 27.49% over the forecast period.
Q4. Which region holds the maximum market share of the GaN power device market?
A4. The North American region is projected to dominate the GaN power device market during the forecasted period.
Q5. What factors are anticipated to drive the gallium nitride power device market growth?
A5. The prime reason driving the GaN power device market growth during the forecasted period is burgeoning growth in the telecommunication sector and technological advancement in the industry for better connectivity.