Compound Semiconductor Substrate Market Set to Reach $3.3 Billion by 2029

The compound semiconductor substrate market is projected to reach a value of $3.3 billion by 2029, according to a report by Yole Group. The market is expected to witness a compound annual growth rate of 17% during the forecast period. 

Compound semiconductor technologies, such as silicon carbide (SiC), indium phosphide (InP), and gallium nitride (GaN), are gaining prominence for their ability to provide superior performance compared to traditional silicon-based semiconductors, making them highly desirable for applications in a wide range of industries, including telecommunications, automotive, aerospace, and defense. 

SiC, particularly prominent in the automotive sector, notably in the realm of 800V electric vehicles, is expected to propel a billion-dollar market forward. GaN powered electronics is extending its footprint in both consumer electronics and automotive applications. 

Yole forecasts a billion-unit opportunity in smartphone Voltage Protection (OVP), underscoring the expanding role of these technologies. Meanwhile, RF GaAs is aligning themselves with the 5G landscape and automotive connectivity, anticipating a resurgence in demand. Simultaneously, RF GaN is asserting its presence in defense, telecommunications, and space industries, targeting high-power applications. 

According to the report, the Asia-Pacific region is expected to dominate the compound semiconductor substrate market during the forecast period, driven by the presence of key players in countries such as China, South Korea, and Japan. North America and Europe are also expected to witness significant growth, due to the increasing demand for compound semiconductor-based devices in these regions.