Power Electronics is a branch of electronics that deals with controlling power fluctuation in components such as diodes, transistors, and so on. It consists of a solid-state circuit device that transfers the current from a source to the load, enhancing the conservation of energy by managing the power.

Worldwide Trends Are Influencing the Growth of the Power Semiconductor Market

Automotive power electronics are used to control automobiles, and it offers a wide range of application, such as power-train control units, electronic control units, anti-lock braking systems, power steering, braking systems, ADAS, and infotainment systems. The Global Automotive Power Electronics market is expected to reach $5.64 billion by 2026, with a growing Compound Annual Growth Rate (CAGR) of 6.8% from 2019 to 2026.

Furthermore, the application of automotive power electronics is extended to other various fields, such as aerospace, commercial and industrial sectors, telecommunication, transportation, and utility systems. It allows for the flow of the current in a bidirectional way, thereby improving the efficiency of the system by withstanding high power temperatures.

Automotive power electronics can also be applied in non-conventional energy sources such as Solar or Photovoltaic energy. Furthermore, they can be adopted in the IT and consumer electronics industry, power distribution, and rail transportation sectors. Hence, these applications are going to drive the growth of the power semiconductor market.

In addition, the growing adoption of 5G technology and advancements in wireless communication will create a larger market for power semiconductors and compatible protection devices, which are in urgent demand.

According to credibility reports, the power electronics market is projected to grow from USD 37.4 billion in 2021 to USD 46.3 billion by 2026; it is expected to grow at a CAGR of 4.4% from 2021 to 2026. 

Major factors driving the growth of the power semiconductor market:

• Expanding usage of power electronics in the manufacturing of electric vehicles is expected to drive the power semiconductor market.

• The applications of power semiconductors are rising, while these new technologies are incorporated into consumer electronics such as wearable devices, smart phones, and IoT devices, allowing them to function as small electrical gadgets, facilitating simple access to technology.

• Furthermore, innovation of power electronics, such as lighter weight, power efficiency, high speeds, and enhanced portability fuel the market’s growth.