SiC & GaN power technologies to grow 30% annually

24th November 2014

Nat Bowers

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Used to convert and manage electricity in devices from mobile phones to pumps and motors, power electronics will be worth $23bn for discrete components in 2024. According to Lux Research, silicon-based devices will remain the main technology of choice, but SiC and GaN will be the fastest-growing at 30 and 32% annual rates, respectively, gaining a combined 13% share in 2024.

The report, 'Sizing-up the $23 Billion Discrete Power Electronics Market in 2024', evaluates the $23bn market for discrete power electronics, assessing market drivers and diverse technologies.

Consumer electronics and IT will account for 48% of the market in 2024, or about $11bn. Consumer electronics make up most of this segment, expanding from $7bn in 2014 to $10bn in 2024, driven by growth of low-power tablet computers as well as ongoing popularity of mobile phones.

The transportation market, worth nearly $1.2bn in 2024, will be the big driver for both SiC and GaN. Transportation uses will account for 65% of the total market for SiC and 41% of the total market for GaN.

Notwithstanding their high growth rates, SiC and GaN remain a small total share of the market. For SiC, high costs will make SiC transistors less viable in many applications, while GaN's adoption will be held back by delayed product roll-outs and capacity expansions.

Pallavi Madakasira, Analyst and the lead author of the report, Lux Research, comments: “As power demands in applications from consumer electronics to the power grid get more demanding, silicon is running up against physical limits, offering opportunities for both SiC and GaN. GaN is a direct threat to silicon, as it can replace silicon in many applications, while SiC transistors can actually create additional new opportunities for silicon in high-voltage applications that will use SiC and silicon components together."