Wide Band Gap (WBG) Power Devices Market Size & Industry Share - Growth Trends & Forecasts (2023 - 2030)

Based on the Material :

Based on the material, the market is separated into silicon carbide, diamond substrate, gallium nitride, zinc oxide, and others. The silicon carbide segment accounted for the largest revenue share of 30.86% in the year 2022. SiC has a wider bandgap (around 3.0 to 3.3 eV) compared to GaN power devices, allowing SiC devices to handle higher breakdown voltages and operate at higher temperatures. Therefore, the application of SiC power devices in high-power and high-voltage applications, such as power transmission and electric vehicle charging is driving the growth of the market. For instance, in August 2022, Toshiba launched 3rd Generation of SiC MOSFETs that deliver low on-resistance and reduced switching loss for industrial applications. Moreover, the high thermal conductivity of SiC power devices is accelerating the growth of the market.

The GaN power devices are expected to register fastest CAGR growth during the forecast period. GaN has a higher electron mobility that enables GaN devices to achieve lower on-resistance and lower conduction losses. Moreover, GaN devices are fabricated on smaller wafer sizes, resulting in smaller and more compact device sizes. As a result, GaN power devices are suitable for application in portable electronics, automotive systems, and data centers, resulting in the market growth.

Based on the Application :

Based on the application, the market is segmented into renewable energy, vehicle electrification, industrial motor drives, uninterrupted power supply, 5G communications, and others. The automotive segment accounted for the largest revenue share in the year 2022. Wide bandgap power devices offer higher efficiency and faster switching speeds, enabling improved power conversion and higher power density. As a result, wide bandgap power devices are deployed in electric and hybrid electric vehicles for efficient power generation. Moreover, wide bandgap power devices are employed in DC-DC converters for power distribution and voltage conversion in electric vehicles. For instance, in August 2022, Renesas Electronics Corporation launched a new generation of Si-IGBTs providing low power losses in electric vehicle invertors. Furthermore, the application of wide band gap power devices for efficient storage of transmission and storage of power is proliferating the growth of the market.

The renewable energy segment is expected to witness fastest CAGR growth during the forecast period. Wide bandgap power devices, such as silicon carbide (SiC) and gallium nitride (GaN) devices, are utilized in solar power inverters for converting Direct Current (DC) generated by solar panels into Alternating Current (AC) suitable for grid connection. Moreover, wide band gap power devices play a crucial role in energy storage systems, such as batteries and supercapacitors.

Based on the End-User :

Based on the end-user, the market is divided into automotive, energy and utility, industrial, aerospace & defense, and others. The automotive industry accounted for the largest revenue share in the year 2022. Moreover, WBG devices yield enough performance advantage in EV power conversion to increase vehicle range, thereby propelling the growth of electric vehicles. For instance, in December 2022, STMicroelectronics introduced high-power modules for electric vehicles to boost performance and driving range. Moreover, the devices are deployed for in-vehicle infotainment systems for radio, multimedia, navigation, and connectivity applications, further contributing to the growth of the market.

The energy and utility industry is expected to emerge as the fastest-growing industry during the forecast period. The application of wide band gap power devices for solar power conversion is driving the growth of this segment. SiC wide band gap power devices transfer energy from photovoltaic rays (PV) to an electric grid, thereby promoting efficient power conversion. Moreover, the deployment of wide band gap power devices in energy storage systems due to the high switching speeds is further contributing to the growth of the market.

Based on the Region :

The regional segment includes North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Asia-Pacific region accounted for the largest revenue share in the year 2022 valued at USD 475.34 million and is projected to reach USD 2,777.60 million with growing CAGR of 25% during the forecast period (2023-2030). In addition, in the region, China accounted for the maximum revenue share of 28.9% in the same year. The growing number of data centers in countries such as India, China, and Japan are driving the demand for WBG power devices as these centers require high-efficiency equipment to meet their needs efficiently and cost-effectively. Moreover, the growing demand for high power devices in the automotive industry to power electric vehicles is driving the growth of the regional market.

North America is anticipated to register a fastest CAGR of 25.5% during the forecast period due to the early adoption of wide band gap power devices in the region. As a result, manufacturers are taking several initiatives to increase the production of power devices with wide band gap properties. For instance, in June 2021, The U.S. Naval Research Laboratory introduced Gallium Nitride (GaN) wide bandgap semiconductor enabling 1200V and beyond power switches for production of microelectronics. Therefore, the growing initiatives by the key players in North America are driving the growth of the market.