Automotive Power Discrete Market size is expected to increase considerably over 2022-2028. This is driven by the rapid advancement of compound semiconductor devices like Silicon Carbide and the escalating use of discrete power electronics in automotive applications. Likewise, the ever-growing number of electric vehicles and the subsequent need for discrete products with high power density to boost the efficiency of battery charging systems will also contribute to industry size in the years ahead.
Power discrete refers to devices designed for robust, reliable, and power-efficient energy applications. Automotive-grade power discrete devices include ultrafast diodes intended for the DC-DC converters and rectification in the secondary side of OBS (on-board-charger) solutions. Silicon-based IGBT discrete, for example, has been the device of choice for use in medium voltage automotive applications.
Rising popularity of premium vehicles is one of the prominent trends stimulating automotive power discrete market outlook through 2022-2028. As per data from the SIAM (Society of Indian Automobile Manufacturers), sales of premium compact vehicles have witnessed a significant uptick from 12%-13% in the fiscal year 2019 to 14%-15% in the fiscal year 2021. Such factors, alongside the considerable rise in the demand for electric vehicles, will also augment the deployment of electric car power electronics over the forecast spell.
In terms of segmentation by product, the automotive power discrete industry from the SiC segment will register appreciable revenue by 2028. Growth from the segment is due to the increasing availability of next-generation SiC discrete products for electric car applications. For example, Infineon’s line of discrete devices, including the 1200 V CoolSiC MOSFET (Metal Oxide Silicon Field Effect Transistor), offer advantages like high-frequency operation and reduced switching losses, designed to boost the efficiency of EV charging systems. Based on vehicle type, the commercial vehicle segment will amass commendable profits over the coming years, due to the growth of e-Commerce, which could augment the need for discrete power devices for such vehicles.
Europe automotive power discrete market is poised to hold a remarkable share by 2028. This is on account of the implementation of sustainable and long-term strategies to ramp up semiconductor production, coupled with the escalating electric vehicle revolution in Germany. According to Energy Monitor’s data, more than one-fifth of the cars produced in the country were electric vehicles in July 2021, as compared to just 6.8% in March 2020, which in turn, could boost the adoption of automotive power electronics. However, the shortage of raw materials and vehicle supply chain issues in the UK may hinder the regional market share in the years ahead.
Infineon Technologies AG, STMicroelectronics, and Rohm Semiconductor are some of the major players operating in the automotive power discrete industry. These market participants are focusing on varied strategies such as collaborations, new product launches, and acquisitions to reinforce their presence in the competitive market. For instance, in December 2021, STMicroelectronics launched a family of GaN power semiconductors in its STPOWER portfolio to reduce energy use and allow slimmer designs for electronic products in automotive and other industries.
Global auto production was severely hit by the novel coronavirus pandemic, especially during the peak of the crises, due to the shutdowns of factories and the reduced number of suppliers. As per the OICA’s data, Europe saw a significant drop of above 21% in vehicle production on average, which may have posed a hindrance to the steady growth of the automotive power discrete industry to a certain extent. Despite such setbacks, a slight increase in the sales of electric cars, even during the pandemic, may aid industry recovery over the forthcoming years.
Market, By Product
Market, By Vehicle type
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