Global Power Discrete and Module Market Size Grows Steadily at a CAGR of 6.2%

Introduction

Power modules, also known as power electronic modules, provide a physical enclosure for multiple power components, typically power semiconductor devices, whereas discrete power supplies allow for greater application customization. On top of these power semiconductors, also known as dies, the electronic power substrate is typically soldered or sintered. Regarding dependability and power density, power packages typically outperform discrete power. Classical power modules, as opposed to those containing a single power electronic switch (such as a MOSFET, IGBT, BJT, thyristor, GTO, or JFET) or diode, are comprised of multiple semiconductor dies coupled together to form an electrical circuit with a specific structure known as a topology. In addition, modules contain ceramic capacitors that reduce toggling voltage overshoots and NTC thermistors that monitor the substrate temperature of the module.

Market Dynamics

Increasing Demand for Power Electronics Modules across Various Industry Verticals Drives the Global Market

Power electronics is the branch of electronics concerned with the conversion and regulation of electrical power. The use of silicon carbide semiconductors in power electronics is made possible by their higher breakdown electric field strength and wider band gap. These components are crucial for regulating automotive electronics, such as the primary inverter for hydroelectric vehicles, seat control, and braking system. SiC power electronics also facilitate energy conversion in aircraft generators and actuators. In addition, power electronics are expanding because they are increasingly utilized in numerous industries, including consumer electronics, industrial motor systems, aviation, and the automotive sector. Due to its effective power control and administration for industrial processes or the operation of electrical and electronic devices, it is suitable for various industry verticals. These factors drive market expansion.

Government Initiatives in HVDC and Smart Grid Create Tremendous Opportunities

GaN power devices are utilized in HVDC electric power transmission systems and intelligent infrastructure. These are more dependable, provide a flexible network topology, have improved load balancing, and permit real-time troubleshooting. Power devices can regulate high voltage because high-frequency switching permits greater efficiency. Additionally, power modules are utilized in modular multilevel converters (MMC), allowing for decreased power loss. Therefore, GaN power device module-equipped converters are widely utilized in HVDC systems. Additionally, governments of numerous nations, including China, Japan, and the United States, invest extensively in smart grid technology to improve their electrical networks. As a result, these factors are anticipated to create lucrative growth opportunities for the power discrete and module markets.

Regional Analysis

Asia-Pacific is the most significant global power discrete and module market shareholder and is estimated to exhibit a CAGR of 7.21% over the forecast period. Asia-Pacific is the most lucrative region for the power discrete and modules market in terms of growth rate due to the availability of large power stations for high-voltage power, the rise in demand for power modules, and the region's expanding population. In addition, an estimated 70 percent of the total electrical energy is processed by power electronics systems with power components. Automobiles, renewable energy stations, and electric grid infrastructures extensively use these devices. These organizations undertake various initiatives to construct electrical infrastructure using advanced technologies. In addition, organizations across all industries have realized the significance of power management devices. Increasing demand for automated switching devices and power modules will also stimulate market expansion.

Europe is expected to exhibit a CAGR of 6.5% over the forecast period. Europe is the second-most productive market worldwide for discrete power components and modules. A rise in the automotive industry's adoption of power management devices drives market expansion. In addition, numerous growth opportunities exist for power discretes and modules in Europe due to increased digital electronic devices and the high adoption of advanced electronic vehicles and advanced virtual systems. The European market is expected to expand swiftly in the future due to the demand for advanced electric vehicles. Government initiatives in the form of subsidiaries, the acquisition of lesser businesses, and the adoption of low-power consumption devices contribute to the market's overall expansion. In addition, the increasing demand for automated applications and real-time monitoring is another factor influencing the regional demand for power components.

Key Highlights

• The global power discrete and module market size was valued at USD 26.39 billion in 2022. It is estimated to reach USD 45.34 billion by 2031, growing at a CAGR of 6.2% during the forecast period (2023–2031).
• Based on type, the global power discrete and module markets are bifurcated into power discrete and power modules. The power module segment owns the highest market share and is predicted to exhibit a CAGR of 5.3% over the forecast period.
• Based on components, the global power discrete and module market is divided into thyristor, diode, rectifier, MOSFET, IGBT, and others. The IGBT segment is the most significant contributor to the market and is estimated to exhibit a CAGR of 7.81% over the forecast period.
• Based on material, the global power discrete and module market is bifurcated into silicon carbide (SiC), gallium nitride (GaN), and others. The GaN segment dominates the market and is predicted to develop at a CAGR of 3.2% during the forecast period.
• Based on industry verticals, the global power discrete and module market is segmented into telecommunication, industrial, automotive, renewable, consumer and enterprise, military, defense, aerospace, and medical. The industrial segment is the highest contributor to the market and is projected to exhibit a CAGR of 6.5% over the forecast period.
• Asia-Pacific is the most significant global power discrete and module market shareholder and is estimated to exhibit a CAGR of 7.21% over the forecast period.

Competitive Players

Competitive Players

The key players in the global power discrete and module market are Infineon Technologies AG, Mitsubishi Electric Corporation, Toshiba Corporation, ON Semiconductor, STMicroelectronics, NXP Semiconductors, Renesas Electronics Corporation, Texas Instruments, ROHM Semiconductors, and Semtech Corporation.

Recent Developments

Competitive Players

The key players in the global power discrete and module market are Infineon Technologies AG, Mitsubishi Electric Corporation, Toshiba Corporation, ON Semiconductor, STMicroelectronics, NXP Semiconductors, Renesas Electronics Corporation, Texas Instruments, ROHM Semiconductors, and Semtech Corporation.

Market News

• In October 2022, VisIC Technologies, a world leader in gallium nitride (GaN) solutions, and KYOCERA AVX Salzburg, a leading global manufacturer and supplier of advanced electronic components for the automotive industry with manufacturing facilities, expanded their collaboration. The partners combined their expertise in packaging, assembly, and GaN wafer technologies to develop high-current components for high-voltage applications like charging and e-drivetrain.
• In January 2023, Volkswagen entered into a strategic procurement agreement with Onsemi. Volkswagen desires to secure power semiconductors for the next generation of its electric vehicles through this "strategic" supply agreement. Onsemi's SiC modules and transistors for VW's drive converters focus on modules and transistors.

Segmentation

Global Power Discrete and Module Market: Segmentation

By Type

• Power Discrete
• Power Module

By Component

• Thyristor
• Diode
• Rectifier
• MOSFET
• IGBT
• Other

By Material

• SiC
• GaN
• Others

By Industry Vertical

• Telecommunication
• Industrial
• Automotive
• Renewable
• Consumer and Enterprise
• Military, Defense, and Aerospace
• Medical

By Regions

• North America
• Europe
• Asia-Pacific
• LAMEA