The majority of key companies in the global GaN semiconductor devices market as a part of their business strategy are focusing on research and development. Several companies aim to strengthen their sales channel by entering into partnerships with global distributors and sales representatives, finds Transparency Market research (TMR) in a new study.
The top four players in the market are Cree Inc., GaN Systems Inc., Efficient Power Conversion Corporation, and NXP Semiconductors N.V. These players accounted for more than 56% of the overall market value in 2015. “Companies such as NXP Semiconductors N.V. focuses on promising segments such as smart mobiles and identification and automotive telematics in order to outpace the market growth,” says TMR’s lead analyst.
The global market for GaN semiconductor devices is expected to rise at an impressive CAGR of 17.0% from 2016 to 2024, reaching a valuation of US$3,438.4 mn by the end of 2024 from US$870.9 mn 2015. By product, opto semiconductors will continue to dominate the market until 2024, representing nearly 62.1% of the overall market revenue. The power semiconductors segment is poised to expand at a CAGR of 18.3% during the forecast period.
Rising Demand for Consumer Electronics to Put Asia Pacific at Forefront
Geographically, North America was the dominant segment in 2015. However, Asia Pacific is estimated to rise to the fore as the leading revenue contributor over the forecast period. The lower production and labor costs in countries such as Japan, China, and India are aiding manufacturers to set up their production facilities. Moreover, the increasing penetration of consumer electronics and the growing popularity of cloud computing are providing a fillip to the APAC region.
Upward Penetration in End-use Industries to Propel GaN Semiconductor Devices Market
Due to their high electron mobility, high thermal conductivity, high breakdown voltages, and saturation velocity, GaN semiconductor devices are being increasingly acknowledged by different industrial sectors. Therefore, the increasing applications of GaN-based devices are fuelling the global market. Moreover, the increasing demand for devices enabling improved responsiveness and enhanced battlefield performance from the defense sector is augmenting the market. In addition, there is an exponentially increasing demand for GaN devices in aerospace, automotive, consumer electronics, and ICT. Furthermore, the improving economic conditions in emerging nations and technological advancements are working in favor of the growth of the global GaN semiconductor devices market.
High Production Cost of Gallium Nitride to Hamper Growth Prospects
The high production cost of pure Gallium nitride is a primary challenge in the commercialization of GaN-based devices. The different costs involved in the production of these devices includes cost of development and fabrication of substrates, support electronics, packaging, and development. “The high production cost of GaN is prompting semiconductor manufacturers to stick to silicon carbide, which has been a prominent semiconductor material for high voltage power electronics for more than a decade. However, the advent of electric vehicles (EV) and hybrid electric vehicles (EV) is likely to provide a significant push to the global GaN semiconductor devices market in the near future.
The information in this preview comes from a Transparency Market Research titled ‘GaN Semiconductor Devices Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2016–2024.’
The global GaN semiconductor devices market is segmented as follows:
Global GaN semiconductor devices market, by Products
- Power Semiconductors
- GaN Radio Frequency Devices
Global GaN semiconductor devices market, by Wafer Size:
- 2 inch
- 4 inch
- 6 inch
- 8 inch
Global GaN semiconductor devices market, by Application:
- Information and Communication Technology
- Consumer Electronics
- Defense and Aerospace
Global GaN semiconductor devices market, by Geography:
- North America
- Asia Pacific
- Rest of the World
Transparency Market Research (TMR) is a market intelligence company, providing global business information reports and services. Our exclusive blend of quantitative forecasting and trends analysis provides forward-looking insight for thousands of decision makers. TMR’s experienced team of analysts, researchers, and consultants, use proprietary data sources and various tools and techniques to gather, and analyze information. Our business offerings represent the latest and the most reliable information indispensable for businesses to sustain a competitive edge.
Each TMR syndicated research report covers a different sector - such as pharmaceuticals, chemicals, energy, food & beverages, semiconductors, med-devices, consumer goods and technology. These reports provide in-depth analysis and deep segmentation to possible micro levels. With wider scope and stratified research methodology, TMR’s syndicated reports strive to provide clients to serve their overall research requirement.
US Office Contact
90 State Street, Suite 700
Albany, NY 12207
USA - Canada Toll Free: 866-552-3453
7 of 10 large enterprizes view our ToC to take the right decision.View Report ToC