Chip Resistor Market Size, Industry Analysis Report, Regional Outlook, Application Development Potential, Price Trend, Competitive Market Share & Forecast, 2019 – 2025
Report ID: GMI4220
Chip resistor Market size is expanding significantly from 2019 to 2025 owing to growing demand for the products in consumer electronics to efficiently protect, operate, and control electric circuits. Consumer electronics devices, such as tablet PCs and smartphones, require high-performance functionality and long power back up, which can be fulfilled using chip resistor. There is an increasing demand for these ICs globally due to their dynamic properties for opposing the flow of electrical current within a certain range, reducing the chances of explosion of the devices. Moreover, the small and lightweight properties of these resistors allow it to be easily mounted on small electronic equipment. With such factors, the demand for the products in electronic devices will grow.
Growth in data center facilities owing to increasing digitalization is driving the chip resistor market. The rising need for cloud storage and the adoption of online and mobile computing services with the growing usage of social media have led to a rise in the number of data centers globally. These data centers are exposed to harsh environments that have higher percentages of potentially corrosive gases, which can corrode silver terminals in sensitive electronic components. To prevent corrosion and provide superior resistance against sulfur-containing environments, the demand for ICs is increasing. Moreover, these resistors allow a smooth transmission of data, resulting in improved system performance, reliability, robustness, and reduction of downtime. Growth in the data center infrastructure market is expected to drive the chip resistor market over the coming years.
High manufacturing costs associated with the device is a major challenge affecting the growth of the chip resistor market. The production of electronic components requires mining and processing of certain raw materials, such as metal and ceramic, which need to be mined and processed into usable forms, resulting in increased reliability on labors for the efficient production process. The fluctuations in the prices of raw materials coupled with rising labor costs will elevate the manufacturing cost, hindering the overall market growth. However, manufacturers are investing highly to manufacture ultra-small chip resistor that use less raw materials.
Rise in investments by several global players for providing environment-friendly lead-free ICs will drive the industry growth. These ICs improve reliability and efficiency in equipment and reduce emissions of environmentally hazardous wastes. Several manufacturers are focusing on providing reliable lead-free resistors, which provides high protection to electronics equipment. For instance, Yageo Corporation, a Taiwan-based electronic component manufacturing company, is providing lead-free ICs for computers and basic consumer electronics, which offer strict pollution control and high level of environmental safety. Moreover, several legislation bodies, such as the National Center for Manufacturing Sciences (NCMS), mandate the banning of lead in electronics due to environmental and health concern, driving the chip resistor market.
Thin film resistors account for a majority of the chip resistor market share. The increasing demand for compact size and high resistance power resistor for improving performance at low cost is accelerating the demand for these devices. Thin film resistors offer lower tolerances, noise, parasitic inductance, and resistor temperature coefficients and provide stability at much higher frequencies compared to thick film resistors. Moreover, due to their highly resistive material and small size of 0.1 micrometre, they are highly adopted in automotive, telecommunication, audio, precision controls, and instrumentation industrial applications, driving the industry growth.
Technological advancements in the healthcare industry are encouraging companies to implement modern solutions, such as Electronic Medical Data (EMR) technology and headend satellite TV systems, fueling the growth of the chip resistor market. The introduction of surface-mount resistors is helping healthcare professionals to have accurate and stable instrumentation and precise reading without error. The resistors are highly adopted in Magnetic-Resonance (MRI) and Computer Tomography (CT) equipment as they provide high-reliability and wide resistance range between 10 Ω to 22 MΩ. Several companies are offering a series of ICs designed for the medical sector. For instance, Vishay Intertechnology, Inc., is offering CRMV/CRHV chip resistor for X-Ray/Computed Tomography and TNPW E3 for patient monitoring machines. With the increasing requirement to detect very small signal without producing false reading, the demand for these resistors in healthcare devices is increasing, accelerating the chip resistor market growth.
Asia Pacific is projected to witness high growth owing to the ongoing development & expansion of the consumer electronics manufacturing sector coupled with strong economic growth of the region. Rise in the adoption of electronic vehicles in the region will increase the demand for these ICs in the coming years. According to the IEA, the number of new electric vehicles sales across China was estimated at around 1.2 million in 2018. With such rapid development of electric and hybrid vehicles, the demand for effective resistors with high leakage detection property is expected to grow. Manufacturers in the region are extensively focusing on introducing innovative products to commercialize the ICS for large scale utilization. For instance, in March 2018, Panasonic Corporation, a Japan-based electronics solution provider, introduced a high precision thin film chip resistor, which provides Electro-Static Discharge (ESD) protection in the resistor field. Such innovations are expected to drive the Asia Pacific chip resistor market.
The key players operating in the industry include Bourns, Inc., Murata Manufacturing Co., Ltd., Rohm Semiconductor, CTS Corporation, Panasonic Corporation, Samsung Electro-Mechanics, Yageo Corporation, Susumu Co. Ltd., Vishay Intertechnology, Inc., TE Connectivity, and Yageo Corporation. These companies are focusing on research & development activities and product innovations in the field to maintain their global presence. For instance, in June 2019, Bourns, Inc., announced the launch of Sulfur-resistant fixed resistor series in its thick film resistor family. The resistors include a capacity range up to 1 ohm to 20 megohms, which can be used in general electronics devices. With such technological innovations, the demand for these ICs will grow.
What Information does this report contain?
Customize this Report
Our Market Research Reports Include:
- Market snapshot
- Market Segmentation
- Value Chain Analysis
- Growth Dynamics
- Potential Market Opportunities
- Regulatory Overview
- Technology Evolution
- Innovation & Sustainability
Why Global Market Insights, Inc.?
- GMI is unparalleled when to comes to the quality of research and information provided to clients. Our unique methodology is designed to ensure a minimum of 90% accuracy to give our clients excellent value on their investment.
Over 200 experts are available across various time-zones, ready to serve clients for their research needs. Our industry experts help clients to design reports customized to their needs.