Power SiC/GaN Compound Semiconductor Market Monitor

Investment and M&A to reshape Power SiC and GaN markets

Multiple SiC players announced plans for capacity expansion to fulfill the requirements of end systems, especially in automotive, in the coming years. Leading device players, such as STMicroelectronics, onsemi, Infineon, Wolfspeed, and ROHM, are all working on facility build-ups in various locations. At the SiC wafer and epiwafer levels, large scale capacity expansion enabled strong growth in 2023, especially in China. However, there are concerns about the over-capacity of SiC materials. In addition, the 8” SiC platform accounts for the technology scaling up, reducing costs significantly. Wolfspeed’s MHV fab has continued ramping up since it opened in 2022. More device manufacturers plan to start initial volume shipments in H2-24. In light of the reduced demand – with a lower expectation for Tesla to grow in 2024 – the SiC market is facing headwinds in H1-24. The supply chain is de-stocking and waiting for momentum to recover in H2-24. In this Monitor, we provide a scenario analysis based on the current technology and market trends, along with our forecast for the next five years.

Regarding the Power GaN market, Infineon Technologies’ acquisition of GaN Systems for $830 million is by far the largest transaction to date in this industry. Another significant news item in the last year is Renesas's ongoing acquisition of Transphorm for $339 million, which is expected to be completed in H1-24. The industry is consolidating with an expected change to an ecosystem dominated by an IDM business model. Other M&As are expected, with new players potentially entering the Power GaN market with different backgrounds and strategies. Overall, the Power GaN market will grow beyond $2.45B by 2029 at a 45% CAGR23-29, attracting increasing interest. Over the last six months, more than $1.6 billion in investment has been announced in this industry, including M&As and other funding.

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SiC and GaN have become key segments in the power semiconductor industry

SiC and GaN are continuing their rapid growth  which started in 2018-2019, with different drivers. Initially, disruptive car maker Tesla adopted SiC in its inverters. But now, another trend is reshaping the electric vehicle (EV) market, namely fast 800V EV charging, allowing shorter charging stops. SiC is the enabler, with promising performance and a developing supply chain. As of 2023, high-volume EVs, including BYD’s Han and Hyundai’s Ioniq5, using SiC are being shipped. Leading device players, such as STMicroelectronics, onsemi, Infineon, Wolfspeed, and ROHM, again generated record revenues in 2023. They will each move forward to $1B SiC revenue in the 2023-2025 timeframe, with the total market exceeding $10B in 2029. Beyond automotive, industrial, energy, and rail applications now provide extra growth momentum. Capacity build-up, business integration, and new business models will lift SiC to another level in the years to come.

Meanwhile, consumer applications continue to be the primary driving forces behind the growth of Power GaN market. Recent trends encompass higher power capacities for chargers reaching up to 300W, as well as home appliance power supplies and motor drives bringing better efficiencies and compactness. In addition to the consumer sector, we anticipate two additional growth catalysts for Power GaN: automotive and data center applications, which are poised to elevate the device market to over $2.45 billion by 2029.

Coherent, EPC, GaN systems, Infineon, Innoscience, IQE, Navitas, onsemi, Power Integrations, ROHM, Resonac, SICC, STMicroelectronics, Sumitomo Electric, Transphorm, Wolfspeed, and more.

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Key Features

Quarterly data update

• Market forecast through 2029 in M$US for devices, wafers and epiwafers and units for wafers and epiwafers for Power SiC, and Power GaN.
• Market forecast through 2029 by market segment including automotive, consumer, telecom, and industrial in M$US revenue
• Market forecast breakdown by technology including discrete, module and wafer size
• Market players at device, epiwafer and wafer level for Power SiC and Power GaN ,from 2019 to present by M$US revenue

What’s new? 

• 2023-2029 Power SiC and GaN market forecast of device, epiwafer and wafer
• Analysis on the breaking news in the SiC and GaN eco-system
• Up-to-date analysis of Power SiC and GaN eco-systems

Product objectives

• Quarterly update of the data
• Market forecast through 2029 in M$US for devices, wafers and epiwafers and units for wafers and epiwafers for Power SiC and Power GaN
• Market forecast through 2029 by market segment including automotive, consumer, telecom and energy in M$US revenue
• Market forecast breakdown by technology including discrete, module and wafer size
• Market players profiles at device, epiwafer and wafer level for Power SiC and Power GaN including STMicroelectronics, Wolfspeed, ROHM, Infineon, Onsemi, Resonac and Coherent for SiC and Infineon, EPC, Power Integrations, Transphorm, GaN Systems (an Infineon company), Navitas, Innoscience and IQE for GaN.

About the authors

Power SiC/GaN Compound Semiconductor Monitor scope

• Definition of estimated market.
• Open and captive market
• Applicative power electronics market segments
  

3-Page summary

Changes since previous quarter and what to look out for

Compound semiconductor-based power market comparative analysis

• Power devices as a function of power and frequency
• Power device market revenues : SiC vs. GaN vs Silicon

Power SiC market overview

• Power SiC players’ market share in 2022
• Power SiC device market dynamics
• Open power SiC epiwafer market dynamics
• Power SiC wafer market dynamics
• Power SiC device revenue
• Power SiC wafer shipments
• Power SiC wafer revenue
• Power SiC wafer pricing
• Power SiC epiwafer pricing
• Quarterly power SiC device revenue
• Quarterly open power SiC epiwafer revenue
• Quarterly power SiC wafer revenue

Power SiC market FORECASTs

• Power SiC device market by segment
• Power SiC device market shares by segment
• Open power SiC epiwafer market by segment
• Open power SiC epiwafer market shares
• Power SiC wafer market by segment
• Power SiC wafer market shares by segment

Power SiC technology

• Power SiC device market by device type ($M)
• Power SiC bare die device market by device type ($M)
• Power SiC device market forecast by operating voltage ($M)
• SiC wafer development timeline
• Power SiC wafer market by wafer size ($M)
• Power SiC wafer market by wafer size (Units)
• Open power SiC epiwafer market by wafer size ($M)
• Open power SiC epiwafer market by wafer size (Units)

Power SiC market players

• Supply chain and business model
• Suppliers' capacity
• STMicroelectronics  - Power SiC device revenue
• Wolfspeed - Power SiC device revenue
• ROHM  - Power SiC device revenue
• Infineon  - Power SiC device revenue
• onsemi  - Power SiC device revenue
• Wolfspeed  - Power SiC epiwafer revenue
• Resonac  - Power SiC epiwafer revenue
• Wolfspeed – Power SiC wafer revenue
• Coherent  - Power SiC wafer revenue

Power GaN market overview

• GaN device Players’ market share in 2022
• Power GaN market dynamics
• Open power GaN epiwafer market dynamics
• Power GaN device revenue
• Open power GaN epiwafer market dynamics
• Open and captive power GaN epiwafer shipments
• Open power GaN epiwafer revenue
• Open power GaN epiwafer shipments
• Power GaN epiwafer pricing
• Quarterly power GaN device revenue
• Quarterly power GaN epiwafer revenue

Power GaN market Forecasts

• Power GaN device market by segment
• Power GaN device market shares
• Open power GaN epiwafer market by segment
• Open power GaN epiwafer market shares

Power GaN technology

• Power GaN device market by device type
• Power GaN bare die device market by device type
• Power GaN device market forecast by rated voltage ($M)
• Power GaN device market by technology platform ($M)
• Open power GaN epiwafer shipments by wafer type (in units)
• Open power GaN epiwafer shipments by wafer size (in units)
• Power GaN wafer shipments by wafer size (in units)

Power GaN supply chain and players

• Supply chain and business model
• Suppliers' capacity
• Power Integration- Power GaN device revenue
• Navitas - Power GaN device revenue
• Innoscience - Power GaN device revenue
• EPC - Power GaN device revenue
• Transphorm - Power GaN device revenue
• GaN Systems - Power GaN device revenue
• Infineon  - Power GaN device revenue
• IQE - Power GaN epiwafer revenue

Terminology and definitions

• Acronyms
• Explanation and methodology
• Formulas used
• Terminology at substrate, epitaxy and device level

Yole Group presentation