▲Ezgi Dogmus, Yole Group analyst, is making a presentation

Automotive semiconductor market to grow to $43 billion in 2022 and $84.03 billion in 2028
$10 billion xEV power semiconductor devices in 2028, SiC MOSFETs to account for $5.6 billion
GaN, actively introduced into powertrains… Infineon’s GaN profits in 2022 to double compared to 2020

“OEMs are continuing to make strategic investments in semiconductors to respond to the changing automotive industry environment,” said an analyst at the Yole Group. “Attention will be focused on compound semiconductors such as SiC and GaN in the power device market for xEVs.”

Ezgi Dogmus, an analyst at Yole Group, presented a positive outlook on SiC and GaN materials in his presentation titled 'Navigating Automotive Transformation: Role of Strategic Semiconductors' at the Market Trend Forum at SEMICON Korea 2024 held at COEX on January 31.

Ezgi Dogmus analysts forecast that the automotive semiconductor market, which was valued at $43 billion in 2022, will grow to $84.3 billion in 2028, at a CAGR of 11.9%.

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Looking at it in detail, △Logic devices will grow from $19.7 billion in 2022 to $31.8 billion in 2028 (CAGR 8.3%), △Optical & Sensor devices will grow from $7.6 billion to $12 billion (CAGR 7.9%), and △Memory devices will grow from $4.8 billion to $14.8 billion (CAGR 20.5%). △Power & Analog Devices is expected to expand from $10.9 billion to $25.7 billion (CAGR 15.4%).

What supports the growth of automotive semiconductors is the expansion of xEVs.

YOLE Group forecasts that the BEV (battery electric vehicle), PHEV (plug-in hybrid), MHEV (mild hybrid), and FCEV (fuel cell) markets will grow at a CAGR of 16.7% from 2022 to 2028.

Silicon carbide (SiC) is also attracting attention as a means to improve driving range, which is the biggest challenge for xEVs.

Compared to silicon, it can reduce switching loss and design smaller peripheral materials, so it is attracting attention as a key element of power supply for devices where power supply efficiency and power density are important.

Yole Group also forecasts that SiC MOSFET discrete & modules will account for $5.6 billion in the xEV power semiconductor device market, which is expected to reach $10 billion in 2028.

In January, Infineon announced that it has expanded and extended its SiC wafer supply agreement with Wolfspeed, Inc. to meet the demand for SiC devices and supporting materials, which is expected to create a $20 billion opportunity by 2030. It also showed movement.

SiC is used in DC/DC converters, onboard chargers, inverters, etc. It is expected to play a major role in expanding the distribution of electric vehicles by reducing power loss by nearly 80% and increasing driving range by up to 10%.

Gallium nitride (GaN) materials are also being actively introduced into powertrains.

Infineon, STMicroelectronics, ROHM, and Nexperia are mass producing GaN material products, and the leader, Infineon, has increased its profit from about $3 billion in 2020 to about $6 billion in 2022, and other companies are also seeing increasing sales based on GaN materials.

“GaN materials still require more innovation and collaboration among companies, but their potential, including price competitiveness, is clear,” said analyst Ezgi Dogmus. “GaN-based HEMTs (High Electron Mobility Transistors) will first debut in onboard chargers.”