Solid State Battery Market Size - By Product (Portable Battery, Thin-Film Battery), By Application (Industrial, Automotive, Consumer Electronics, Energy Storage), By Capacity, Market Forecast, 2024 – 2032

Solid State Battery Market Size

Solid State Battery Market was valued at USD 826.8 million in 2023 and is projected to expand at more than 38.2% CAGR from 2024 to 2032, owing to the burgeoning demand for electric vehicles.
 

Mounting expenditure on consumer electronics globally is driving the industry growth. The increased miniaturization of portable electronic devices, including laptops, smart cards, RFID, mobile phones, tablets, and other wearable technologies, has fostered the demand for SSB due to their narrow rectangular designs, quicker charging times, and longer battery lives, which is boosting investments in portable electronic gadgets. In 2021, Lenovo, a consumer electronic leader, sold about 268 million units of laptops impelled by the rising demand for notebook PCs.

 

Furthermore, the growth in the renewable energy sector is also fostering the industry outlook. Solid state batteries are likely to become more prevalent in this sector as various nations are defining their renewable energy objectives to cut carbon emissions and provide efficient and clean power generation. For instance, in January 2023, Solid Power, a solid-state battery manufacturer, received an award from the U.S. Department of Energy (DOE) ARPA-E alliance to resume production of nickel and cobalt-free SSB cells with an expected funding of USD 5.6 million under the Electric Vehicles for American Low-carbon Living program.
 

High initial costs may restrain industry progression

Despite a positive outlook for product adoption, the solid state battery market faces a major hurdle in the form of extensive capital investment required for the production and distribution of solid state batteries. The development of these batteries is challenging and costlier compared to conventional batteries, which is hampering product uptake. The vast potential of lithium and its easy availability can further impede product demand. Nonetheless, continuous efforts by manufacturers to leverage the benefits of solid state batteries are likely to help them overcome this issue.  
 

Solid State Battery Market Analysis

In terms of product, the portable solid state battery market is predicted to observe nearly 36% growth rate between 2024 and 2032. This growth is attributed to notable innovations in technology and materials required in solid-state batteries for portable storage. To cite an instance, in January 2023, Yoshino Technology, a US-based battery startup, revealed breakthrough portable solid-state lithium-ion batteries using solid-state Li-NCM cell technology with multiple power output variants, suitable for military, medical, and small-scale manufacturing industries. The batteries are solar-powered and fulfill renewable energy source requirements in appliances and machinery.
 

In terms of capacity, the below 200 mAh solid state battery market attained over USD 690 million revenue in 2023. The soaring need for consumer goods, such as cosmetic patches, sensors, RFID tags, and others, as well as a rise in cardiovascular illnesses, has increased the demand for medical equipment, which is fueling segment adoption. According to the Centers for Disease Control and Prevention, in 2020, around 697,000 people died of heart disease in the United States and the international sales of pacemakers totaled USD 5.6 billion in 2021.
 

In terms of application, the solid state battery market size from consumer electronics segment was crossed USD 360 million in 2023. The growing adoption of these batteries in consumer electronics, such as laptops, cellphones, and computers, among others, and technical enhancements in design and development are set to augment segment revenues. In a 2022 study, a group of researchers at the University of Surrey introduced a new environmentally-friendly, photo-rechargeable system that combines stable and ultra-high rate quasi-solid-state-zinc-ion batteries with flexible perovskite solar cells, absolutely apt for smartwatches and other wearables.
 

North America solid state battery market size is likely to reach 4.2 billion by 2032. This growth is set to be complemented by increased disposable income, rising awareness of health and lifestyle issues, mounting usage of portable gadgets & medical equipment, and government funding for R&D initiatives. For instance, in October 2022, the U.S. Department of Energy completed the first leg of investments of USD 2.8 billion to commercialize and enhance facilities in 12 states and further the process of extraction & materialization of lithium, graphite, and other battery materials for electric vehicles and electric grid improvement.