The Active Electronic Components Market is estimated to be valued at US$ 661.18 Billion in 2031

A newly published report by Coherent Market Insights reveals a sustainable growth opportunity in the active electronic components market. Coherent Market Insights’ analyst projected the active electronic components market to be valued at US$ 661.18 Bn in 2031. It is expected to exhibit a CAGR of 8.9% over the forecast period 2024 -2031.

Growing demand for consumer electronics, for instance, smartphones, laptops, and televisions, enhances the market demand for active electronic components such as integrated circuits, transistors, and diodes. As per the Indian Brand Equity Foundation, consumer electronics in India had a market size of USD 10.93 billion in 2021 and will expand to USD 21.18 billion in 2026, achieving a CAGR of 14.7%.

Integration of IoT devices in various industries, which include manufacturing, healthcare, and automobile, supports the growth. Growing industrial digitalization increases the need for active electronic components IoT devices.

Key market trends include Technological Advancements: Advancements in technologies such as AI, 5G, IoT, and Big Data analytics is a key trend in active electronic components market. For instance, 5G-enabled high bandwidth, low latency semiconductor chips are being designed by manufacturers. Next-gen miniaturized chips are being developed using advanced nanotechnology.

Renewable Energy Adoption: Increasing use of wind and solar energy is translating to higher needs for power electronic components for applications that range from solar panels to inverters and converters. Power semiconductor devices are crucial enablers for renewable energy systems. Diodes, transistors, and thyristors are widely used within solar photovoltaic systems in solar panels. This is expected to present lucrative opportunities for active electronic components manufacturers.

Active Electronic Components Market Opportunities The display devices segment held a market share of over 30% in 2023 and is expected to witness significant growth over the forecast period. Quantum dot LED displays offer even better color accuracy than traditional LED-LCD displays and their adoption is growing in premium TV and monitor segments. These emerging display technologies require more sophisticated active electronic components for features like local dimming and lifecycle management, thereby propelling the growth of this segment.

The semiconductor devices segment accounted for around 25% of the active electronic components market in 2023. Growing demand for energy efficient electronics is positively impacting this segment. Semiconductor devices like power management ICs, microchips and logic devices are critical components in various electronics like smartphones, laptops, vehicles etc. Demand from these industries is driving innovation in power semiconductors, MCUs and other logic chips.

Key Market Takeaways:  The global active electronic components market is anticipated to witness a CAGR of 8.9% during the forecast period 2024-2031. This is owing to rapid technological upgrades in consumer electronics and growing proliferation of IoT devices.

On the basis of product type, the display devices segment is expected to hold a dominant position. This is owing to growing demand for OLED and quantum dot displays.

On the basis of end user, the information technology segment holds the major share. This is due to increasing electronic component requirements of data centers, servers and networking equipment.

North America is expected to hold a dominant position over the forecast period. This is due to presence of key players and high technology adoption across industries in the region.

Competitor Insights: Key players operating in the active electronic components market include Infineon Technologies AG, Advanced Micro Devices, Inc., Microchip Technology, Inc., Analog Devices, Inc., Broadcom Inc.

 Recent Developments: In December 2022, Toshiba will be a multinational conglomerate known for its diverse range of products and services. revealed plans to build a new power semiconductor production facility in Hyogo Prefecture, western Japan, at its Himeji Operations. Production is planned to begin in April 2025, after construction began in 2024. This project will nearly increase Toshiba’s manufacturing capability for automotive power semiconductors compared to fiscal year 2022More information in full report

Summary

TDS NEWS