According to Fortune Business Insights the global gallium nitride device market was valued at USD 20.56 billion in 2019 and is projected to grow from USD 21.18 billion in 2020 to USD 39.74 billion by 2032, registering a compound annual growth rate (CAGR) of 5.20% during the forecast period from 2020 to 2032. In 2019, North America dominated the GaN device market, holding a significant 35.89% share.
The gallium nitride device market is witnessing strong growth driven by the rising demand for high-performance, energy-efficient semiconductor solutions. GaN technology stands out for its exceptional attributes, including high power density, excellent thermal efficiency, and rapid switching capabilities. These features make it highly suitable for use in emerging applications such as 5G infrastructure, electric vehicles, renewable energy systems, and aerospace.
The expanding adoption of GaN in both power electronics and radio frequency (RF) devices is further fueling market expansion. Advances in GaN-on-Silicon (GaN-on-Si) manufacturing techniques and the integration of GaN into advanced packaging solutions are helping reduce production costs, thereby increasing its accessibility across various industries. Additionally, supportive government policies promoting energy-efficient technologies and the rising use of GaN devices in consumer electronics are contributing to the market’s continued growth.
Cree, Inc. (The U.S.)
Infineon Technologies AG (Germany)
Efficient Power Conversion Corporation. (The U.S.)
EPISTAR Corporation (Taiwan)
GaN Systems (Canada)
MACOM (The U.S.)
Microsemi (The U.S.)
Mitsubishi Electric Corporation (Japan)
NICHIA CORPORATION (Japan)
Northrop Grumman Corporation (The U.S.)
NXP Semiconductors. (Netherland)
Qorvo, Inc (The U.S.)
Texas Instruments Incorporated. (The U.S.)
Toshiba Corporation (Japan)
https://www.fortunebusinessinsights.com/gallium-nitride-gan-devices-market-103367
Expansion of Telecommunications Domain to Accelerate Growth
The demand for energy efficient GaN devices is surging rapidly owing to the expansion of the telecommunications domain. Most of the internet service providers are nowadays focusing on providing lower latency with optical cable wires, ubiquitous connectivity, and network with higher capacity. Apart from that, the rising utilization of GaN devices in the 5G infrastructure is likely to propel the gallium nitride device market growth in the near future. However, the high cost associated with the maintenance and development of gallium nitride devices may hinder growth.
Opto-semiconductor Device Segment to Grow Rapidly Backed by Increasing Usage in Lasers
Based on device type, the opto-semiconductor device segment procured the highest gallium nitride market share in 2019. This growth is attributable to their increasing usage in various aerospace applications, such as Light Detection and Ranging (LiDAR) and pulsed lasers. Besides, they are used in optoelectronics, LEDs, lasers, photodiodes, and solar cells.
High Demand for Wireless Devices to Favor Growth in Europe
Geographically, North America generated USD 7.38 billion in 2019 because of the presence of numerous prominent manufacturers, such as MACOM, Cree, Inc., Northrop Grumman Corporation, Efficient Power Conversion Corporation, Microsemi, and others in this region.
Europe, on the other hand, is anticipated to grow significantly on account of the rising demand for wireless devices in Germany, France, and the U.K. In Asia Pacific, the rising demand for gallium nitride devices from emerging nations, such as India and China would aid growth.
Key Companies Focus on Winning New Contracts to Intensify Competition
The global gallium nitride device market is highly fragmented with the presence of numerous reputed manufacturers. Most of them are focusing on achieving new contracts from significant governments, as well as private agencies to deliver their in-house products. Below are the two latest industry developments:
In May 2021, Raytheon Technologies Corporation entered into partnership with GlobalFoundries to develop and commercialize a gallium nitride (GaN) on silicon process for 5G and 6G RF. The GaN process technology improves RF performance. It maintains operational and production costs and enables levels of power and power efficiency for 5G and 6G RF millimeter-wave operating frequency standards.
In January 2021, Yaskawa Electric Corporation, a Japanese power electronics firm, entered into a partnership with Transphorm, a GaN-based power conversion product provider in California. Under the agreement, Yaskawa will use Transphorm’s GaN power devices for industrial power conversion applications that include variable frequency drives and servo motors.