Gallium Nitride Semiconductor Devices Market Size, Share & Trends Analysis Report By Product, By Component (Power IC, Transistor), By Wafer Size, By Application, By End-use, By Region, And Segment Forecasts, 2024 - 2030

Market Size & Trends

The global gallium nitride semiconductor devices market size was estimated at USD 2.56 billion in 2023 and is projected to grow at a CAGR of 26.4% from 2024 to 2030. The growth of the market can be attributed to the ability of gallium semiconductors to provide high-speed performance as well as contribute to lower carbon emissions, which position them as effective devices in the field of electronics. Gallium Nitride (GaN) possesses a wide band gap that makes the device more compact and capable of handling larger electric fields.

As GaN possesses a wider band gap (approximately 3.4 eV) in contrast to silicon (1.2 eV), it facilitates higher carrier density, exceptionally low resistance, and capacitance, contributing to better speeds of 100 times faster. In addition, the integration of GaN technology across diverse sectors such as optoelectronics, automotive, and data centers has been instrumental in driving the growth of the market.

The automotive sector is currently experiencing a significant transformation towards electrification, with GaN semiconductor devices emerging as crucial components driving this change. Leveraging GaN's exceptional efficiency and robust power handling capabilities, various applications within electric vehicles, including onboard chargers, DC-DC converters, and power inverters, are being optimized for enhanced performance. As the global demand for electric vehicles escalates, the market for GaN semiconductor devices is positioned for substantial expansion, playing a pivotal role in accelerating the widespread adoption of electric transportation solutions. This evolution not only underscores the automotive industry's commitment to sustainability but also signifies a paradigm shift towards cleaner and more efficient mobility solutions on a global scale.

New application areas, such as healthcare, are expected to stimulate the market growth of GaN semiconductor devices. For instance, robots using GaN components are used for the effective execution of delicate surgeries. Leveraging GaN's exceptional speed, efficiency, and reliability, robotic systems equipped with GaN technology offer unprecedented precision and control, crucial for intricate surgeries. These advanced robots, enabled by GaN semiconductor devices, empower healthcare professionals to perform minimally invasive surgeries with unparalleled accuracy, minimizing patient trauma and recovery times. As the healthcare industry continues to embrace technological advancements, the utilization of GaN semiconductor devices in medical robotics represents a compelling frontier, promising transformative benefits for both patients and practitioners.

The demand for wireless communication devices, primarily in defense communication, is expected to drive the demand for GaN semiconductors. GaN technology offers several advantages that are particularly well-suited for defense communication systems. Its high power density, wide bandwidth, and superior thermal conductivity enable the development of robust and reliable wireless devices capable of operating in demanding environments. These attributes make GaN semiconductors ideal for applications such as radar systems, electronic warfare, and satellite communication, where performance, efficiency, and resilience are important.

The gallium nitride semiconductor devices industry faces a significant challenge in the form of high initial investments. The fabrication of gallium nitride-based devices demands sophisticated manufacturing processes and specialized equipment, resulting in elevated upfront costs for companies entering the market. These expenses encompass research and development, epitaxial growth, wafer processing, and device packaging, among others. As a result, while the potential benefits of gallium nitride semiconductors, such as higher efficiency and power density, are compelling, the substantial initial investment required poses a considerable challenge for market entrants and smaller players, potentially limiting the market's growth and accessibility.

Market Concentration & Characteristics

The industry growth stage is high with an accelerating pace. Technological advancements, such as better fabrication processes, drive efficiency and performance across various end-use sectors. These advancements lead to higher efficiency, lower power consumption, and increased power density in GaN-based devices. Moreover, GaN's integration into emerging fields like electric vehicles and 5G highlights its expanding significance, thereby contributing to the growth of the industry.

The market witnesses increased product launch activities by both established and emerging players. Numerous industry leaders are directing their efforts toward unveiling cutting-edge GaN-based solutions tailored to meet evolving market demands. These product launches underscore a strategic focus on innovation and technological advancement aimed at capturing market share and maintaining a competitive edge.

Regulations play a crucial role in shaping the landscape of the gallium nitride semiconductor devices industry, ensuring safety, reliability, and environmental sustainability. Stringent standards govern the manufacturing, testing, and deployment of GaN-based solutions, safeguarding against potential hazards and ensuring compliance with industry norms.

Silicon carbide (SiC) emerges as a potential substitute for gallium nitride semiconductor devices in select applications within the semiconductor industry. While both materials offer advantages over traditional silicon-based semiconductors, they exhibit distinct properties that cater to different needs. GaN excels in high-frequency and high-power applications, while SiC shines in high-temperature and high-voltage environments owing to its superior thermal conductivity and breakdown voltage.

The gallium nitride semiconductor devices industry exhibits a high level of integration into various applications, reflecting the expanding deployment of GaN technology in various end-use sectors. Industries ranging from telecommunications and consumer electronics to automotive and renewable energy are increasingly adopting GaN solutions for their superior performance and efficiency. This integration streamlines operations and enhances functionalities across different applications, enabling seamless incorporation of GaN devices into existing systems and platforms.

Product Insights

The opto-semiconductors segment dominated the market with a revenue share of 37.37% in 2023. This can be largely attributed to the application of opto-semiconductors in devices such as LEDs, solar cells, photodiodes, lasers, and optoelectronics. The automotive sector is increasingly utilizing opto-semiconductors in automotive lights, indoor and outdoor lighting, and pulse-powered lasers. This is subsequently propelling the adoption of opto-semiconductors in the automotive and consumer electronics industries. Furthermore, opto-semiconductors are being widely used in applications such as Light Detection and Ranging (LiDAR) and pulsed laser, which bodes well for the growth of the segment.

The GaN radio frequency devices segment is anticipated to expand as a result of the increasing use of gallium nitride radio frequency devices for a wide variety of applications across industries such as consumer electronics and defense, which are early adopters in the market. These devices are also used in Improvised Explosive Devices (IEDs) as they offer high performance at moderate costs, which is anticipated to further drive the segment growth. Moreover, high-frequency GaN devices are used in vehicular communication systems and vehicle-to-grid communication systems of electric vehicles.

Component Insights

The power IC segment dominated the market in 2023. The segment growth can be attributed to the increasing usage of GaN-based power ICs that offer features such as efficient navigation, collision avoidance, and real-time air traffic control. In addition, the segment growth is propelled by companies such as Fujitsu Ltd., Qorvo, Inc., and Toshiba Corporation, focusing on the development of power ICs for telecom and automotive applications. Furthermore, the ever-growing focus on energy efficiency and sustainability is fueling the adoption of GaN power ICs due to their inherently lower power losses and higher switching speeds compared to conventional silicon-based alternatives.

The rectifier segment's growth can be attributed to the increasing demand for high-efficiency power conversion solutions across various industries, including automotive, consumer electronics, and telecommunications. GaN rectifiers exhibit lower conduction and switching losses, resulting in higher energy efficiency and reduced power dissipation. This efficiency translates into lower operating costs and improved overall system performance, particularly in high-power and high-frequency applications where energy efficiency is paramount. In addition, GaN rectifiers feature faster switching speeds and higher breakdown voltages, enabling them to operate at higher frequencies and handle higher voltages with greater reliability.

Wafer Size Insights

The 4-inch segment dominated the market in 2023. This is because 4-inch wafers facilitate the large-scale production of semiconductor devices. The implementation of 4-inch wafers is increasing rapidly as these wafers help overcome the limitations of 2-inch wafers and are widely used in semiconductor product-based industries. Furthermore, the increasing demand for gallium nitride devices with 4-inch wafers in high-power amplifiers, optoelectronics devices, telecom frontends, and high-temperature devices is driving the segment growth. Moreover, the suitability of a 4-inch substrate for space communication applications, owing to its radiation-hardened properties, is anticipated to be a key factor influencing segment growth.

The 6-inch segment is anticipated to expand owing to the benefits such as uniform voltage supply and precise current control offered by 6-inch wafers. A 6-inch wafer is engineered to provide better uniformity in voltage and precise control over the current. It has wide applications in defense equipment and consumer electronics owing to benefits such as high breakdown voltage and low current leakage. Furthermore, the increasing adoption of 6-inch wafers in commercial applications such as Monolithic Microwave Integrated-Circuit (MMIC) power amplifiers for wireless cellular base stations and automotive collision-avoidance systems bodes well for the segment growth.

Application Insights

The Radio Frequency (RF) segment dominated the market in 2023. In recent years, the gallium nitride semiconductor devices industry has witnessed a significant surge in demand, predominantly fueled by the escalating adoption of RF applications. This trend is primarily attributed to the inherent advantages of GaN technology, such as higher power density, enhanced efficiency, and improved thermal management capabilities compared to traditional silicon-based counterparts. In addition, companies across the globe are also focusing on launching GaN on SiC RF power transistors suitable for wideband applications. For instance, in January 2023, NXP Semiconductors N.V., a semiconductor device manufacturer, launched the MMRF5018HS, a GaN on SiC RF Power Transistor capable of delivering 125 W CW power. GaN on SiC RF Power Transistor is enclosed in a low Rth NI-400HS air cavity ceramic package and offers exceptional performance in terms of both gain and ruggedness. Its versatility makes it perfect for various RF applications, including pulse, continuous wave (CW), and wideband scenarios.

The supplies and inverters segment is anticipated to expand owing to the rising adoption of electric vehicles (EVs) and renewable energy systems, which has spurred the need for compact, lightweight, and efficient power electronics solutions. Moreover, advancements in GaN manufacturing processes and device designs are also enabling the development of highly integrated and cost-effective power conversion solutions, thereby fueling the growth of the segment. Companies across the globe are focusing on using gallium nitride chips in their inverters to provide better switching speeds and lighter package sizes. For instance, Hofer's, an automotive powertrain manufacturer, developed their new 800V EV inverter using VisIC gallium nitride chips. This provided them with better switching speeds, a lighter package size, and the added benefit of reducing the total system cost.

End-use Insights

The Information & Communication Technology (ICT) segment dominated the market in 2023. The segment growth can be attributed to the increasing adoption of Internet-of-Things (IoT) technology globally. IoT devices demand efficient and cost-effective components that facilitate a constant exchange of information. GaN-based semiconductors are expected to suffice low power consumption and high-efficiency requirements for the proper functioning of IoT-enabled products. In addition, these semiconductors are widely used in Distributed Antenna System (DAS), small cell, and remote radio head network densification. They are also used in data centers, servers, base stations, transmission lines, satellite communication, and base transceiver stations, among others.

The growth of the defense and aerospace segment can be attributed to the increasing applications of GaN technology in the defense and aerospace sector to increase the bandwidth and performance reliability in communications, electronic warfare, and radars. The ICs used in radar boards incorporate GaN, which enables efficient navigation, facilitates collision avoidance, and enables real-time air traffic control. The higher operating frequencies provided by GaN semiconductors make them suitable for use in radar communication, terrestrial radios, and military jammers. Moreover, the increasing usage of wideband GaN power transistors in amplifiers for software-defined radios is a major factor responsible for the segment growth.

Regional Insights

The North America gallium nitride semiconductor devices market dominated globally in 2023 with the largest revenue share of 35.48%. Increasing investments from the defense and aerospace industry in research & development are fueling the market growth in the region. Furthermore, funding provided by government bodies to semiconductor companies is expected to drive market growth in the region. Companies in this region are also focusing on launching the commercialization rights for a range of gallium nitride on silicon (GaN-on-Si) patents. For instance, in March 2024, 5N Plus Inc., a semiconductor technology company, launched the commercialization rights for a collection of gallium nitride on silicon (GaN-on-Si) patents. According to the company, these patents can facilitate the swift development of prototypes and the early market introduction of innovative vertical GaN-on-Si power devices.

U.S. Gallium Nitride Semiconductor Devices Market Trends

The gallium nitride semiconductor devices market in the U.S. is expected to grow at a significant CAGR of 26.6% from 2024 to 2030. Advancements in GaN technology and manufacturing processes are bolstering the U.S. market's expansion, positioning the U.S. as a key country in the global GaN semiconductor landscape.

The Canada gallium nitride semiconductor devices market is expected to grow at a significant CAGR from 2024 to 2030. Companies in Canada, such as GaN Systems, are focusing on raising funds to expand their market share for GaN-based chip-making, thereby contributing to the market growth.

Asia Pacific Gallium Nitride Semiconductor Devices Market Trends

The gallium nitride semiconductor devices market in Asia Pacific is anticipated to emerge as the fastest-growing market through the projection period owing to rapid technological advancements that are leading to increased demand for high-performance and efficient radio frequency components. Countries such as China and Japan in the region are some of the largest manufacturers of consumer electronics, including LED display devices, smartphones, and gaming consoles. This is a key factor boosting the growth of the regional market. The demand for reliable communication devices has expanded due to the expanding defense budgets in countries such as China, South Korea, and India, and this demand is expected to boost the market for gallium nitride-based RF devices. The development of telecommunications infrastructure and the notable rise in the usage of wireless electronic devices in the Asia Pacific region are further propelling the market's expansion.

The China gallium nitride semiconductor devices market is expected to grow at a significant CAGR from 2024 to 2030. Government initiatives to bolster domestic semiconductor production and advancements in GaN fabrication technologies are key drivers of market expansion, positioning China as a prominent force in the global GaN semiconductor market.

The gallium nitride semiconductor devices market in Japan is anticipated to grow at a significant CAGR from 2024 to 2030. Japan's emerging market is gaining momentum, fueled by a growing demand for high-power efficiency solutions and a shifting regulatory landscape.

Europe Gallium Nitride Semiconductor Devices Market Trends

The gallium nitride semiconductor devices market in Europe is expected to grow at a significant CAGR from 2024 to 2030. GaN technology finds traction in sectors like renewable energy, automotive, and telecommunications as Europe focuses on reducing energy consumption and carbon emissions. Europe's robust semiconductor industry and supportive regulatory framework drive market expansion, establishing the region as a hub for GaN research, development, and manufacturing.

The Germany gallium nitride semiconductor devices market is expected to grow at a significant CAGR from 2024 to 2030. Germany, with its robust automotive industry and growing focus on renewable energy sources, presents a fertile ground for the adoption of GaN-based devices, thereby contributing to the growth of the market.

MEA Gallium Nitride Semiconductor Devices Market Trends

The gallium nitride semiconductor devices market in the Middle East & Africa (MEA) is expected to grow at a significant CAGR from 2024 to 2030. The region's investment in smart city projects and the expansion of 5G networks are further accelerating the adoption of GaN semiconductor devices, promising enhanced connectivity and sustainability.

The Saudi Arabia gallium nitride semiconductor devices market is expected to grow at a significant CAGR from 2024 to 2030. With the ongoing expansion in telecommunications and the rollout of 5G networks in Saudi Arabia, there's a growing demand for GaN-based devices used in base stations due to their efficiency and high-frequency performance.

Key Gallium Nitride Semiconductor Devices Company Insights

Some of the key players operating in the market are Infineon Technologies AG, NXP Semiconductors, and Toshiba Corporation.

• Infineon Technologies AG, one of the prominent players in the semiconductor industry, is strategically positioned to capitalize on the evolving opportunities within the GAN semiconductor market. With a rich legacy of innovation and a robust portfolio of semiconductor solutions, Infineon Technologies AG is well-equipped to leverage GaN technology to address the evolving needs of various industries. Infineon's foray into GaN semiconductor devices underscores its commitment to advancing power electronics and driving efficiency across diverse applications.

• NXP Semiconductors N.V. is an international electronics corporation headquartered in Austin, Texas, with Dutch-American roots. Renowned for its diverse product portfolio encompassing radio frequency, power management, analog, security, interface, and digital processing solutions, the company serves various sectors. Among its prominent offerings are automotive applications, including safety features, power management systems, radio frequency technologies, secure car access mechanisms, media and audio processing solutions, and in-vehicle network systems, all built upon the foundation of GaN.

Efficient Power Conversion Corporation, Qorvo, Inc., and GaN Systems are some of the emerging market participants in the market.

• Efficient Power Conversion Corporation (EPC) is one of the renowned players in the semiconductor industry, recognized for its cutting-edge power management solutions. With a focus on gallium nitride (GaN) technology, EPC specializes in developing high-performance GaN-based power conversion devices for various applications. The company's product portfolio includes power transistors, integrated circuits, and modules designed to deliver superior efficiency and performance.

• Qorvo, Inc., a company known for its diverse range of semiconductor products and solutions, boasts a comprehensive portfolio encompassing radio frequency (RF), power management, and semiconductor technologies. The company serves a wide array of industries, including telecommunications, automotive, and consumer electronics, with innovative solutions tailored to meet evolving market demands.

Recent Developments

• In April 2024, Transphorm, Inc., a GaN power semiconductor provider, and Weltrend Semiconductor Inc. announced the introduction of two new GaN System-in-Packages (SiPs). These latest additions, namely the WT7162RHUG24C and WT7162RHUG24B, combine Weltrend’s high-frequency multi-mode (QR/Valley Switching) Flyback PWM controller with Transphorm's  480 mΩ and 150 mΩ SuperGaN FETs respectively. This collaboration builds upon Weltrend’s flagship GaN SiP unveiled last year, collectively establishing the first SiP product family based on Transphorm’s SuperGaN platform.

• In March 2024, Efficient Power Conversion Corporation launched EPC2361, a groundbreaking gallium nitride (GaN) field-effect transistor (FET) boasting the lowest on-resistance on the market at 100V, 1mΩ. This innovation promises to double the power density when compared to EPC's previous-generation products. The EPC2361 exhibits an impressive typical RDS (on) of only 1mΩ, housed in a thermally enhanced QFN package with an exposed top, occupying a mere footprint of 3mm x 5mm.

• In January 2024, Transphorm Inc. launched the two new 650V SuperGaN devices packaged in a 4-lead TO-247 package (TO-247-4L). These new FETs, named TP65H035G4YS and TP65H050G4YS, boast on-resistances of 35mΩ and 50mΩ respectively, featuring a Kelvin-source terminal that enables customers to achieve versatile switching capabilities with reduced energy losses.

Gallium Nitride Semiconductor Devices Market Report Scope

Global Gallium Nitride Semiconductor Devices Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global gallium nitride semiconductor devices market report based on product, component, wafer size, application, end-use, and region:

• Product Outlook (Revenue, USD Million, 2017 - 2030)

  • GaN Radio Frequency Devices

  • Opto-semiconductors

  • Power Semiconductors

• Component Outlook (Revenue, USD Million, 2017 - 2030)

  • Power IC

  • Transistor

  • Rectifier

  • Diode

  • Others

• Wafer Size Outlook (Revenue, USD Million, 2017 - 2030)

  • 2-inch

  • 4-inch

  • 6-inch

  • 8-inch

• Application Outlook (Revenue, USD Million, 2017 - 2030)

  • Lighting & Lasers

  • Power Drives

    • LiDAR

    • Industrial Drives

    • EV Drives

  • Supplies and Inverters

    • Inverter

    • SMPS

    • Wireless Charging

    • EV Charging

  • Radio Frequency (RF)

    • Front-end Module (FEM)

    • Repeater/Booster/DAS

• End-use Outlook (Revenue, USD Million, 2017 - 2030)

  • Automotive

  • Consumer Electronics

  • Defense & Aerospace

  • Healthcare

  • Industrial & Power

  • Information & Communication Technology

  • Others

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • UK

    • Germany

    • France

  • Asia Pacific

    • India

    • China

    • Japan

    • Taiwan

    • South Korea

  • Latin America

    • Brazil

  • Middle East & Africa

    • Kingdom of Saudi Arabia (KSA)

    • UAE

    • South Africa