Power Semiconductor Market Size, Share, Growth Analysis, By Component(Discrete, Module, Power Integrated Circuits), By Material(Primary [Silicon, Germanium], Compound [Silicon Carbide, Gallium Nitride), By Application(IT and Telecommunication, Consumer Electronics, Automotive, Aerospace and Defense), By Region - Industry Forecast 2024-2031

Global Power Semiconductor Market size was valued at USD 48.5 billion in 2022 and is poised to grow from USD 50.49 billion in 2023 to USD 69.63 billion by 2031, growing at a CAGR of 4.10% during the forecast period (2024-2031).

Companies operating in the power semiconductor market should focus on expanding their production capacity to keep up with the surging demand. Investing in the development of novel products and technologies will also be a popular strategy. Collaborations are slated to be highly vital for power semiconductor companies looking to fast-track their innovation and product development lifecycles. Targeting the automotive industry will offer lucrative returns for almost all power semiconductor providers in the long run.  'Infineon Technologies AG (Germany) ', 'Texas Instruments Incorporated (US) ', 'STMicroelectronics (Switzerland) ', 'ON Semiconductor Corporation (US) ', 'Toshiba Corporation (Japan) ', 'Mitsubishi Electric Corporation (Japan) ', 'NXP Semiconductors (Netherlands) ', 'Renesas Electronics Corporation (Japan) ', 'Vishay Intertechnology, Inc (US) ', 'Wolfspeed Inc (US) ', 'Fuji Electric Co., Ltd (Japan) ', 'ROHM Co., Ltd (Japan) ', 'Microchip Technology Inc (US) ', 'Analog Devices, Inc (US) ', 'Littelfuse, Inc (US) ', 'Silicon Laboratories Inc (US) ', 'Power Integrations, Inc (US) ', 'Hitachi, Ltd. (Japan) ', 'Diodes Incorporated (US) ', 'Alpha and Omega Semiconductor Limited (US) ', 'Panasonic Corporation (Japan) ', 'ABB Ltd. (Switzerland) ', 'Qorvo, Inc. (US)'

Popularity of electric vehicles and the growing use of electronics in the automotive industry are projected to be key factors driving up the demand for power semiconductors. Power semiconductors play a crucial role in managing power conversion, distribution, and motor control in electric vehicles, improving energy efficiency and driving performance. 

Development of Wide Bandgap Semiconductors: Power semiconductor companies should focus on the development of wide bandgap semiconductors. More specifically investing in the development and manufacturing of silicon carbide (SiC) and gallium nitride (GaN) semiconductors is expected to pay off big time for all market players in the long run. Higher voltage, faster switching speeds, and greater energy efficiency are some key benefits of this new type of power semiconductor that will drive their sales in the future.  

The Asia Pacific region is slated to account for a massive share of the global power semiconductor demand outlook. The presence of a robust semiconductor manufacturing industry in this region coupled with high demand for consumer electronics and electric vehicles supports the dominance of this region on a global level. Rising emphasis on grid modernization, growing demand for 5G technology, and growing investments in renewable energy are also expected to present new opportunities for power semiconductor market players going forward. China, Japan, and India are the leading markets for power semiconductor providers focusing on establishing their prominence in the Asia Pacific region.