Technavio forcasts in its latest research report that the compoundsemi market will grow to USD 14.1 billion by 2021, at a CAGR of more than 8% over the period. Device components such as monolithic microwave integrated circuits (MMICs), infrared LEDs, solar cells, laser diodes, LEDs, optical sensors use compound semiconductors. Compound semiconductors are also used in power devices such as MOSFETs, high-electron-mobility transistors (HEMTs), and insulated gate bipolar transistors (IGBTs).
Technavio cites the growing demand for smartphones as well as the high-efficiency and high, power density products. The energy-efficient products can reduce power consumption. According to Technavio, the top three revenue-generating semiconductor segments in the global compound semiconductor market are gallium arsenide (GaAs), gallium nitride (GaN), and silicon carbide (SiC).
Gallium arsenide (GaAs) Made Up 79% of Compoundsemi Market
“The gallium arsenide segment occupied a majority 79% of the global compound semiconductor market in 2016. The market segment is expected to see a moderate growth rate, attributed to the enhanced durability, efficient power consumption, and superior performance of these components,” says Sunil Kumar Singh, a lead analyst at Technavio for semiconductor equipment research.
During the forecast period, the performance benefits of GaAs will ultimately boost the market revenue.
Gallium Nitride (GaN) Portion to Grow
Technavio projects that GaN’s portion of the global compoundsemi market will grow to USD 2.96 billion by 2021. GaN offers brighter emissions than other materials including GaAs, Si, and SiC.
These brighter emissions leads to the expanded the use of GaN opto-semiconductor devices in optocouplers, laser diodes, LEDs, and other high brightness opto electronic applications.
Also, the company expects the rapid rise GaN-based power semiconductors as a result of its superior performance compared to silicon.
Silicon carbide (SiC)
The company predicts that SiC will post a nearly 36% CAGR during the forecast period due to its increasing adoption for power components.