April/May 2021

6 MARKET NEWS Issue 2 2021 Power Electronics Europe www.power-mag.com According to the latest report “Power Electronics Market” by Global Market Insights Inc., the market valuation of power electronics will cross $30 billion by 2027. The market growth is attributed to the increasing adoption of power electronics modules in consumer electronics and smart home appliances. These modules are extensively incorporated into HVAC control systems, smart energy meters, robotic vacuums, air conditioners, smart TVs, and other smart appliances to prevent from electrocutions and increase the power efficiency of the devices. The power modules also help device manufacturers to achieve optimized system costs and provide low-noise features in smart home appliances. Adding to this, the rising integration of AI and IoT technologies into smart home technology products will further boost the market expansion during the forecast period. The industrial application segment held 25 % of the power electronics market share in 2020 led by increasing acceptance of robotics and automation across manufacturing and process industries. The industrial robots are integrated with various parts such as motor drives, robot arms, servo motors, and controllers. These electrical parts require MOSFETs, IGBTs, and power modules to optimize power and improve the performance capabilities of motor drives for 24/7 operations. The proliferation of industrial robots is anticipated to foster industry growth during the forecast timeframe. The European power electronics market size was over $4 billion in 2020 and is projected to register a 4.5 % growth rate till 2027. The rising deployment of EV charging stations in European economies including Germany, the UK, France, Italy, and Spain will fuel the market demand. According to the Department for Transport, the Government of the UK, in January 2021, there were 20,775 public electric vehicle charging devices in the UK, of which, 3,880 were rapid charging devices. These battery-power establishments and rapid EV charging stations have high adoption of power electronics. The proliferation of EVs and EV charging stations in the UK are poised to impel industry value. But the COVID-19 pandemic has resulted in severe disruption in supply chain for semiconductor raw materials and components across the globe. The market participants are highly dependent on China for procuring raw materials and components for manufacturing power electronics devices. To fix the supply chain issues, companies are establishing new production facilities in their countries and other regions, adding new opportunities to regional raw material suppliers during the forecast timeline. https://www.gminsights.com/request-sample/detail/1355 Power Electronics Market Revenue to Cross $30 Billion by 2027 Market researcher Yole expects that the PHEV and BEV market will grow with around 37 % and 44 % annually until 2026. The converter market for xEV will be worth more than S$29 billion in 2026 with a CAGR 2020-2026 of 28 %. The market value for semiconductor power electronic devices for xEVs will reach $5.6 billion in 2026 with a CAGR2020-2026 of 26 %. “There are basically three converter types in an electric car: the main inverter, DC/DC and OBC,” asserts Ana Villamor, Technology & Market Analyst, Power Electronics at Yole. “The main inverter is the largest market among the different converters due to the higher power levels, leading also to the highest content of power semiconductors.” Thus, the main inverter market is expected to reach $19.5 billion by 2026, representing 67 % of the total EV/HEV converter market, with a CAGR of 26.9%. Regarding the power semiconductor market, its value is expected to triple from 2020 to 2026, driven by a major technology battle between IGBT and SiC modules. Indeed, SiC modules are presently still about x3 the cost of a 650 V IGBT module, but this difference will shrink when larger volumes are produced, with the transition to 8-inch wafers, and with the penetration of 1,200 V devices for higher battery voltages. A analyzed by Yole’s team in the new Power Electronics for E-Mobility 2021 report, the EV/HEV supply chain continues to be impacted by the increased demand and technology trends. Although the leading semiconductor manufacturers for EV/HEV remain the same as for other power applications. It includes Infineon Technologies, STMicroelectronics, Hitachi, Mitsubishi Electric, ON Semiconductor. Other companies, Tier 1s, OEMs, power semiconductor manufacturers, and pure module newcomers, are now offering power modules for EV/HEV. A similar situation occurs with the battery design and manufacturing, where OEMs such as Tesla and GM are further trying to control their supply chains. According to Milan Rosina, Principal Analyst, Power Electronics & Batteries at Yole: “Competition at OEM level has also opened two main fronts: on the one hand, there are the traditional OEMs with established markets and known brands that are transforming their business towards electric vehicles. On the other hand, pure EV OEMs are popping up in the different regions of the world (such as NIO, Rivian, Rimac, Xpeng, and Hozon), some of which are rapidly increasing their volumes year after year (lead by Tesla)”. The new car models being launched often offer better performance/cost ratio, and this has led to a continuous reshaping of the top 10 vehicle sales. SiC is now walking the EV/HEV red carpet. Over the last couple of years (and especially since Tesla introduced SiC in their Model 3 main inverter), there has been much noise around SiC adoption in EV/HEV. But not all converters or all types of electrification are suitable for this expensive material. Without a doubt, BEV is the winner due to the requirements of a long driving range and fast charging time (km driven by charge time). Therefore, the increased cost of the converter is repaid, as the efficiency of the converter will improve, allowing battery savings. It is no surprise then that the use of SiC in the main inverter has become a common goal for the leading OEMs, with players such as Daimler and Hyundai soon including it in their main inverters. Today, there is already a good portfolio of SiC devices with SiC dies coming from Infineon Technologies, Cree (Wolfspeed), and STMicroelectronics. Many semiconductor players are targeting SiC modules for EV applications, and the SiC module market is expected by Yole to reach 32 % of the total EV/HEV semiconductor market by 2026. www.yole.fr E-Mobility Adopts Silicon Carbide