Active Electronic Components Market Analysis Report By Product, By End User And Segment Forecasts From 2019 To 2025

Industry Insights

The global active electronic components market size was accounted for USD 263.3 billion in 2018. It is projected to grow at the CAGR of 9.6% over the forecasted period, 2019 to 2025. Increasing demand for electronic devices like laptops and smartphones is mainly boosting the market growth. In addition, these devices are an integral part of networking, and telecom equipment that requires energy sources for task performance.

Growing demand for low latency and high bandwidth from the telecom sector is surging the adoption of 5G infrastructure, especially in developing countries. This factor is projected to proliferate telecom & IT equipment in the next few years.

Growing automation in the automotive industry is also expected to spur the demand for devices such as AC/DC converters, power integrated devices, GPS systems, telematics, and others. These electronic devices are highly used in electric vehicles and autonomous vehicles. Moreover, increasing manufacturer's focus on reducing greenhouse gases is proliferating the demand for electric vehicles.

With the advancement in technology manufacturing companies are widely using connected devices. Additionally, increasing the emergence of industry 4.0 standards with emphasis on the digitalized process is expected to bolster the market growth. Thus, increasing the deployment of smart devices is projected to surge the demand for active electronic devices/components.

China is a major exporter of electronic goods while the U.S. is a key importer of products from China. In 2018, the U.S. has imposed a 25.0% import tariff on Chinese products. Thus, the trade war between these two countries may have an adverse impact on market growth. Moreover, high labor costs in countries such as Germany, U.S., and the U.K. may restrain the market growth.

In addition, active electronic devices are widely used for defense applications. This includes communication management, navigation, and intelligence gathering. Countries such as China, U.S., and India are continuously investing in their defense & security industries. For example, in 2019, the U.S., the government has proposed to spend over USD 686 billion. All these key factors are projected to positively augment the market growth.

Product Insights

Based on the product, the active electronic components market is fragmented into vacuum tubes, semiconductor devices, display devices, and others. In 2018, the semiconductor devices type segment held the highest share of over 50.0% in the overall market. It is projected to grow at a CAGR of around 10.9% during the forecasted period. Semiconductor devices are widely used for applications in mobile phones, household appliances, and personal computers.

Smartphones are growing in demand rapidly in the last few years. With the introduction of 5G support smartphone is increasing 5G chipsets demand. Thus, growing 5G chipset demand is expected to spur the growth of the IC segment. Moreover, various companies like Infineon Technologies and Intel Corporation focus on developing powerful microchips.

End-user Insights

In 2018, the consumer electronics end-use segment contributed to a market share of over 30.0% in the overall market. This segment is anticipated to grow at a CAGR of around 11.4% from 2019 to 2025. Rising demand for semiconductor devices including digital cameras, gaming devices, wearable devices, and mobile phones, and others is mainly driving segmental growth. In addition, the growing demand for network devices like repeaters, gateways, modems, and routers is also boosting the market growth.

Several OEMs such as Tesla, Inc., Ford Motors, Volkswagen Group, and Waymo are focusing on the deployment of autonomous systems in vehicles. The growing trend of automated vehicles is projected to foster the demand for active electronic devices. Moreover, increasing demand from the medical sector for connected devices is mainly driving the market growth.

Regional Insights

In 2018, the Asia Pacific led the market with the highest market revenue of USD 148.0 billion in the overall market.  It is projected to register a CAGR of around 10.6% during the forecasted period. The presence of key manufacturers including BBK Electronics, Samsung Electronics Co, Xiaomi Corporation in the region is contributing to market growth. Additionally, the growing application of automated systems like supervisory control & data acquisition (SCADA), and programmable logic controller (PLC) are projected to positively impact market growth.

With the rising emergence of connected vehicles in the U.S., key companies like AT&T Inc, and Verizon Inc., are investing in the deployment of 5G infrastructure. Moreover, smart city development projects are also anticipated to foster the demand for advanced electronic devices.

Active Electronic Components Market Share Insights

Leading players in the market include NXP Semiconductors NV; Infineon Technologies AG; STMicroelectronics; Texas Instruments Incorporated; Toshiba Corporation; Semiconductor Components Industries; Maxim Integrated; Intel Corporation; Broadcom Inc.; Renesas Electronics Corporation; Qualcomm Inc.; Microchip Technology Inc.; and Analog Devices, Inc.

The companies in the market focus on strategic acquisitions, collaborations, and partnerships to increase their presence across the world. For example, in 2019, Infineon Technologies has acquired Cypress Semiconductor Corporation for USD 10 billion to bolster their product portfolio.

Some of the key players focus on developing new products through innovative technologies. For example, in 2019, NXP Semiconductors has launched a new next-generation chipset namely SR100T.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2014 to 2025. For the purpose of this study, Million Insights has segmented the global active electronic components market report on the basis of product, end-user, and region:

• Product Outlook (Revenue, USD Billion, 2015 - 2025)
    • Semiconductor Devices
        • Diodes
        • Transistors
        • Integrated Circuits (ICs)
        • Optoelectronics
    • Vacuum Devices
    • Display Devices
    • Others

• End-user Outlook (Revenue, USD Billion, 2015 - 2025)
    • Consumer Electronics
    • Networking & Telecommunication
    • Automotive
    • Manufacturing
    • Aerospace & Defense
    • Healthcare
    • Others

• Regional Outlook (Revenue, USD Billion, 2015 - 2025)
    • North America
        • U.S.
        • Canada
    • Europe
        • U.K.
        • Germany
        • France
    • the Asia Pacific
        • China
        • India
        • Japan
        • South Korea
    • Latin America
        • Brazil
        • Mexico
    • Middle East & Africa (MEA)