Digital Power Conversion Market Report

In the upcoming years, it is anticipated that the market for digital power conversion will experience substantial growth. This can be attributed to a number of reasons, including the expanding consumer electronics market and the rising use of advanced power control techniques. Digital power converters are frequently used in power electronics devices like light dimmers, fan controllers, induction cooktops, air conditioners, personal laptops, emergency lights, UPS systems, vacuum cleaners, and battery chargers. The need for digital power converters is driven by the growing popularity of consumer electronics. Subways, trolleys, hybrid electric cars, forklifts, and many more types of automobiles all use digital power converters in large quantities.

Digital power converters are a common feature in contemporary automobiles, and they are utilized in the ignition switch, adaptive front lighting, windscreen wiper control, electric power steering, and interior lighting. The market for digital power conversion is thus anticipated to increase at a rapid rate in the upcoming years as a result of these factors. Moreover, the smooth functioning of digital processes across industrial and residential sectors is raising the demand for digital power conversion. The advantages of digital signals over analog signals, the usage of effective digital power converters in the automobile industry, and the control and flexibility provided by digital power conversion systems have all contributed to the market expansion.

Digital transformation has leveraged technologies that influence all aspects of human life including digital power conversion. However, certain drawbacks of digital transformation are anticipated to hamper market growth. According to the International Energy Agency, the global stock of connected devices (such as smart appliances and thermostats) is expected to double over the next five years to reach 30–40 billion units by 2025. But as connected devices and distributed energy sources such as electric vehicles, behind-the-meter storage, and distributed generation expand, the vulnerability of electrical systems to cyberattacks is growing. The energy system may be more susceptible to cyberattacks due to increased connection and automation. These assaults result in a loss of control over systems and operations, which results in material damage and service interruptions.

For instance, the first confirmed cyberattack specifically targeting an energy network that had an impact on system availability occurred in 2015 when the power grid in western Ukraine was attacked. Attackers gained access to substations and manually turned them off, causing 30 substations to go offline and 225,000 people to lose electricity. In addition to this, the increasing amount of electricity used to store data on these connected devices is having a negative impact on the environment. Large amounts of greenhouse gas emissions are caused by cloud storage. All these factors are responsible for restraining the digital power conversion market.

In order to achieve a more established global position, the majority of the key participants in the highly competitive global market for digital power conversion are emphasizing strategic initiatives including product enhancements and collaborations. For instance, in May 2019 NXP Semiconductor announced its forthcoming MC56F83xxx Digital Signal Controllers (DSC) series. It offers peripheral improvements that are advantageous for advanced motor control applications and high-performance digital power conversion. Additionally, the launch of the 750W-rated i7A non-isolated DC-DC converters was announced by TDK Corporation (TSE 6762) in May 2021. These step-down converters produce an output voltage from an incoming voltage range of 18 to 32 volts.

Again, in February 2022, Schneider Electric, a pioneer in automation transformation and electronic energy management, launched the next generation of high-power low-voltage circuit breakers, Masterpact MTZ which combines the renowned dependability and high performance of the company with improved digital competence. In September 2022, Flex Power Modules announced the BMR490 DC-DC converter with active current sharing. This cutting-edge sharing mechanism employs two or more converters in parallel to increase power on a single rail and improve redundancy for difficult datacom applications. Additionally, Nextys SA was acquired by TDK Corporation in January 2022 and was turned into a wholly-owned subsidiary. A wide variety of "DIN rail" power supplies and accessories are designed and produced by Nextys in addition to the TDK-Lambda product line. DIN rail is a mounting mechanism that is often used in modules for industrial control systems.

In the global market for digital power conversion, North America had the greatest market share, and it is anticipated that it will continue to lead over the forecast period. The North American market for digital power conversion is expected to grow as a result of rising disposable income and the presence of major participants like Microchip Technology Inc., Texas Instruments, and Vertiv Co. among others.  Additionally, the market is expected to expand favorably in Europe over the forecast period. The regional market for digital power conversion will grow as a result of the high demand for cloud computing services, the automotive industry, the adoption of enterprises, and the growth in consumer electronics in countries like Germany. For instance, a 60 billion Euro investment in a "future" fund was planned by the German government for December 2021. It was anticipated that 15 million electric cars would be on the road as a result of these investments in the automotive sector by 2030. The new funds were also used for the digitalization of the German economy.

Besides, leading providers of digital power conversion are planning to expand their business activities throughout the Asia Pacific region, including China and India. Governments in these countries are spending more money digitizing their economies, which has led to technological advancements by a number of organizations. The market for digital power conversion has been fuelled by the expansion of the telecommunications and infrastructure sectors in these areas.