GaN Power Device Market Report

The GaN's capability to assist manufacturers in reducing charging times, raising cost effectiveness, increasing power density, and expanding range for their vehicles is driving the adoption of electrical vehicles in the world. As a result, numerous businesses are working to offer GaN solutions for Electric Vehicles (EVs). For instance, in November 2021, Universal Scientific Industrial Co., Ltd (USI), a division of ASE Technologies, and GaN Systems, a provider of GaN power semiconductors, agreed to collaborate to develop GaN power modules for the EV industry.  In comparison with silicon chips, GaN chips are four times lighter in weight, smaller, and have a four-fold reduction in power losses.

However, as of today, despite their tantalizing promise, GaN power devices now perform about two orders of magnitude poorer than their general material properties. The EV industry is expanding quickly, and manufacturers are attempting to increase drive cycle efficiency by adopting the WBG power electronics that are currently commercially accessible, raising the stakes even higher. In order to overcome these challenges, process design kits that automate the IC's design function and design kit iterations that keep up with the swift speed of technological advancement are needed. Increasing reliability on semiconductors and supply security of GaN material are anticipated to encourage the transition from internal combustion engines to EVs which in turn will pave the way for GaN solutions to excel.

One of the major factors driving the GaN power device market is the declining cost of GaN material. The low costs can be attributed to the availability of silicon substrates which are used to develop GaN power devices. Silicon carbide (SiC) and gallium nitride (GaN)-based semiconductors are examples of energy-efficient semiconductors that offer improved power efficiency at a lower cost. Additionally, it is projected that the demand for power semiconductors and energy-efficient GaN devices in wired communication will propel market growth. This is due to the booming telecommunications sector as different internet service providers are heavily emphasizing the provision of networks with more capacity, all-round connection, and reduced latency through optical cable lines.

Additionally, the development of the market will also be aided by the possible usage of gallium nitride in 5G infrastructure. In terms of traffic capacity, latency, energy efficiency, and data speeds, 4G technology will be replaced by 5G technology. As a result, there would be several advantages including a more affordable and efficient communication network. Furthermore, the demand for GaN power devices in wireless charging is rising owing to their high switching capabilities, thus, driving the market expansion.

• Surging demand in EVs and renewable energy markets.
• Enhanced power density and efficiency in modern technology.
• Growing use in data centers and 5G networks.
• Integration with silicon-based power electronics enhances performance.

The declining trend of semiconductor power devices is one of the reasons impeding the growth of the market for gallium nitride power devices. As high current densities in GaN devices rise, problems with the current assembly and connecting methods get worse. These challenges include low impedance interconnects, increased thermal resistance, and decreased thermal capacitance per chip which call for higher chip temperature and better thermal interconnects. Additionally, the high cost of industry processes in the supply chain is one of the biggest problems the GaN power device market is now facing. The total average cost per GaN power device across the whole supply chain (including costs from both complete upstream and downstream) is significantly higher than the total average cost per pure silicon semiconductor device.

Furthermore, one major factor that could restrain the expansion of this market is the high development and maintenance costs related to producing gallium nitride components. Despite the fact that generating enormous volumes of GaN can help address these problems, no widely accepted technique is currently in use because it necessitates high working pressures, temperatures, poor material quality, and restricted scalability of GaN material. All these factors are responsible for hampering the market expansion.

Major companies in the frequency counter market are concentrating their efforts on creating affordable products and solutions in an effort to strengthen their customer base. To improve their position in the global market, they are also expanding their product line through the introduction of new items, mergers, and acquisitions. In September 2022, Fujitsu revealed a significant update to strengthen its modernization services offerings, profoundly rethinking its strategy for utilising customers' current information systems to realise their digital transformation (DX). In order to lead this initiative, Fujitsu established The Modernization Knowledge Centre, a new centre of excellence (CoE) which will serve as an epicentre for the technical knowledge and insight required for modernization.

Earlier, in May 2021, GlobalFoundries® (GF®), the top producer of feature-rich semiconductors in the world, and Raytheon Technologies, a pioneer in aerospace and defence technology, announced a partnership to develop and commercialise a new gallium nitride on silicon (GaN-on-Si) semiconductor that will significantly improve radio frequency performance for 5G and 6G mobile and wireless infrastructure applications. In June 2020, a new line of GaN FET devices with next-generation high-voltage GaN HEMT H2 technology was released by Nexperia, a leading essential semiconductor manufacturing company. These devices are available in TO-247 and the company's own CCPAK surface mount packaging.

The GaN power device market is anticipated to experience significant growth in North America over the forecast period. This growth can be attributed to the rising research and development expenditures from the defense and aerospace sectors. Furthermore, it is anticipated that government funding for semiconductor companies will propel the market in the region. In addition to this, rapid technological improvements are expected to enhance demand for high-performance and efficient radio frequency components, which will cause the Asia Pacific regional market to grow at the quickest rate during the projected period. The growing defense budgets in nations like China, South Korea, and India have increased the demand for dependable communication equipment, and this demand is anticipated to drive the market for RF devices based on gallium nitride.

Nations like China and Japan are some of the largest manufacturers of consumer electronics like LED display devices, cell phones, and gaming consoles. The growth of the telecommunications industry and the noticeable increase in the usage of wireless electronic devices in the Asia Pacific region are encouraging market growth. Furthermore, the significant expansion of the GaN power device market in Europe is attributed to the rising popularity of wireless technology in Germany, France, and the United Kingdom. A cutting-edge power management solution in SiC devices for power supply and motor control applications is anticipated to be gradually adopted by the aviation sector in the UK. Growth in the Middle East is projected to be fuelled by Saudi Arabia's rising offshore oil and gas exploration need for GaN devices and emergency medical services. Due to the rapid adoption of loT technology, the rest of the world is predicted to experience tremendous growth.

The report provides a detailed overview of the GaN power device market insights in regions including North America, Latin America, Europe, Asia-Pacific, Oceania, and the Middle East and Africa. The country-specific assessment for the GaN power device market has been offered for all regional market shares, along with forecasts, market scope estimates, price point assessment, and impact analysis of prominent countries and regions. Throughout this market research report, Y-o-Y growth and CAGR estimates are also incorporated for every country and region, to provide a detailed view of the GaN power device market. These Y-o-Y projections on regional and country-level markets brighten the political, economic, and business environment outlook, which are anticipated to have a substantial impact on the growth of the GaN power device market. Some key countries and regions included in the GaN power device market report are as follows:

• GaN power device market detailed segments and segment-wise market breakdown
• GaN power device market dynamics (Recent industry trends, drivers, restraints, growth potential, opportunities in GaN power device industry)
• Current, historical, and forthcoming 10 years market valuation in terms of GaN power device market size (US$ Mn), volume (Units), share (%), Y-o-Y growth rate, CAGR (%) analysis
• GaN power device market demand analysis
• GaN power device market pricing analysis over the forecast period (by key segment and by region)
• GaN power device market regional insights with the region-wise market breakdown
• Competitive analysis – key companies profiling including their market share, product offerings, and competitive strategies.
• Latest developments and innovations in the GaN power device market
• Regulatory landscape by key regions and key countries
• Supply chain and value chain analysis in GaN power device market
• GaN power device market sales and distribution strategies
• A comprehensive overview of the parent market
• A detailed viewpoint on the GaN power device market forecast by countries
• Mergers and acquisitions in the GaN power device market
• Essential information to enhance market position
• Robust research methodology