The global GaN Semiconductor Market is estimated to be valued at US$ 3 billion in 2023 and is expected to exhibit a CAGR of 18% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Gallium nitride (GaN) is a next-generation semiconductor used to produce high-frequency electronics and optoelectronic devices. It is the preferred choice of material for manufacturing power transistors and light emitting diodes due to its wide bandgap properties. Its superior thermal conductivity and power handling capability makes GaN highly suitable for applications in solid-state lighting, wireless communication, and electric vehicles. LED lights based on GaN technology provide much higher luminosity as compared to incandescent bulbs and CFLs. GaN power devices can operate at high frequencies and voltages to minimize power losses, improve efficiency, and reduce system size and weight in power supplies.
The global GaN Semiconductor Market is estimated to be valued at US$ 3 billion in 2023 and is expected to exhibit a CAGR of 18% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
The global GaN Semiconductor Market is expected to be flourished by rising demand for high power electronics. GaN possesses several benefits over traditional silicon semiconductors such as higher efficiency, compact size, and ability to operate at higher temperatures and voltages. This makes GaN highly suitable for automotive power electronics, fast charging electric vehicle systems, DC-DC converters, and RF power amplifiers. GaN devices are increasingly replacing silicon ones in these applications. Additionally, the rising adoption of GaN-enabled wireless charging systems and fast chargers for smartphones and mobile devices is fueling market growth. GaN chargers can charge devices up to four times faster than silicon-based chargers.
The other driver is increasing government funding for development of GaN-based products. Several nations are providing financial incentives to boost R&D activities related to GaN technology. This is helping reduce production costs and facilitating mass commercialization of advanced GaN devices.
Segment Analysis
The global GaN Semiconductor market is dominated by the Telecommunication sub-segment. 5G infrastructure deployment around the world is driving significant demand for GaN devices used in wireless base stations. Their ability to operate at high temperatures, frequencies and voltages make them very well-suited for wireless infrastructure equipment. The Automotive sub-segment is also growing steadily. GaN devices are increasingly being used in passenger vehicles for onboard charging and in electric vehicles for improved power conversion.
PEST Analysis
Political: Governments across major economies are investing heavily in building out 5G networks, which will propel the demand for GaN semiconductors. Favorable policies around electric vehicle adoption are also positively impacting the market.
Economic: As telecom operators make large capital investments in 5G rollout, they are looking to maximize spectral efficiency through GaN devices. The growing middle class is increasing automotive sales and preferences for more powerful EVs.
Social: Rising consumer demand for faster data download speeds is driving 5G infrastructure build-out. People are also becoming increasingly environmentally conscious and prefer electric vehicles.
Technological: GaN semiconductors allow for higher power densities and efficiencies. Manufacturers are developing new devices with even better performance capabilities suitable for various industries like renewable energy, military and aerospace.
Key Takeaways
The global GaN Semiconductor market share is expected to witness high growth over the forecast period. The market size for 2024 is projected to be US$ 3.4 billion.
Regional analysis –
north America currently dominates the GaN Semiconductor market due to widespread 5G deployments and supportive government policies. Asia Pacific is expected to be the fastest growing region backed by the rapidly growing telecom sector in countries like China and India along with rising automotive production.
Key players operating in the GaN Semiconductor market are Cree, Infineon, Qorvo, MACOM, Microsemi, Efficient Power Conversion, GaN Systems, Exagan, Navitas Semiconductor and Texas Instruments. Key players are focusing on developing advanced GaN-on-Silicon devices with higher power levels and efficiencies to enable a wider range of applications.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it