Five Key Trends for Power Semiconductors in 2025
2024 brought significant challenges for the power semiconductor industry, with weaker demand in the automotive sector, particularly for Electric Vehicles, a slowdown in industrial applications due to geopolitical uncertainties, and a struggling consumer market. These hurdles came at a time when many industry players were heavily investing in capacity expansions, sparking concerns about fab utilization and profitability.
Despite these obstacles, the industry is gearing up for a promising future. Growth opportunities lie in the expansion of power AI data centers, the broader adoption of Silicon Carbide in non-automotive applications, and the evolution of Gallium Nitride technologies beyond fast chargers. Additionally, the rapid development of China's power semiconductor ecosystem and advancements in wafer technology are paving the way for innovation and renewed competitiveness. Dive into our analysis to uncover how these trends are set to shape the industry's future.
Five Key Trends for Power Semiconductors in 2025
Trend #1: gen AI is boosting power semiconductor
Generative AI is increasing demand for efficient power management in data centers. GaN and SiC technologies are critical to meeting energy efficiency needs.
Trend #2: Silicon Carbide is diversifying beyond automotive
SiC is expanding into data centers, renewables, and industrial power supplies. Its scalability and efficiency make it ideal for high-power applications.
Trend #3: Gallium Nitride is preparing for future growth
GaN is growing in AI servers, EV chargers, and industrial power solutions. Advancements are paving the way for higher voltage capabilities.
Trend #4: China keeps investing in power semiconductor
China’s focus on SiC and GaN is strengthening its self-reliance in semiconductors. Strategic investments are boosting its global competitiveness.
Trend #5: Wafer size up-grade in power semiconductor
Larger wafers like 8-inch and 12-inch are cutting costs and improving scalability. These advancements drive innovation in high-power applications.
Seizing Opportunities in the Power Semiconductor Industry: A Look Ahead to 2025
The electrification wave and sustainability demands are reshaping the power semiconductor landscape, creating immense growth potential. To stay competitive, companies must innovate, optimize costs, and form strategic alliances. TechInsights is dedicated to providing insights throughout 2025, empowering organizations to thrive in this dynamic industry and capture emerging opportunities.
TechInsights Analysts Attending CES® 2025
