Growing Demand For Consumer Electronics Devices Is The Major Factor Driving Active Electronic Components Market

San Francisco, Calif., USA, Aug 05, 2022 — /EPR Network/ —

Active Electronic Components Industry Overview

The global active electronic components market size was valued at USD 273.7 billion in 2020 and is expected to grow at a compound annual growth rate (CAGR) of 9.2% from 2021 to 2028. The rapidly growing demand for consumer electronics devices, such as smartphones and laptops, is the major factor driving the market. Active electronic components are the integral components of telecom equipment and other networking devices that need an energy source to perform an assigned task. The increasing demand for high bandwidth with low latency among consumers has enabled telecom operators, especially in emerging economies like India, to deploy next-generation 5G network infrastructure. This, in turn, will augment the demand for new IT and telecom equipment, thereby increasing product adoption.

The COVID-19 pandemic has had a substantial impact on the passive and interconnecting electronic components manufacturing industries across the globe. Countries, such as China, Germany, the U.S., Japan, and South Korea, had a significant number of COVID-19 cases compelling the governments to impose restrictions, such as lockdown in highly-affected cities, sealing international borders for trades, and allowing companies to provide employees work-from-home facilities. Fall in production and exports of electronics components, due to the temporary shutdown of production facilities and international borders, significantly affected the overall market growth in Q1 and Q2 of 2020.

Gather more insights about the market drivers, restraints and growth of the Global Active Electronic Components market

Growing automation in the automotive sector has increased the demand for various electronic devices, such as driver assistance systems, DC to AC converters, controllers, power integrated devices, telematics, and Global Positioning Systems (GPS) among others. These devices are widely used in Electric Vehicles (EVs) and autonomous vehicles. Hence, the growing demand for electric cars is estimated to spur product adoption over the forecast period. With the advent of connected technologies, the manufacturing industry is rapidly transforming.

These connected devices help manufacturing facilities increase overall productivity and operational efficiency by delivering ease of operability and reducing the overall downtime. Moreover, with the evolution of industry 4.0, various manufacturing companies are embracing digitalization to streamline operational processes through remote monitoring. Hence, the rising deployment of connected devices across manufacturing facilities is expected to drive the market over the coming years.

Active electronic components have always been integral to defense applications for intelligence gathering, navigation, and communication establishment. Increased defense spending in key countries including the U.S., India, and China will also support the market growth. For Instance, the overall defense spending proposed by the U.S. federal government was around USD 686 billion in 2019.

China is one of the prominent electronics exporters and the U.S. is the major importer from China. However, in 2018, the U.S. levied around 25% import tariffs on Chinese electronics. Therefore, the trade conflicts between the two economies are likely to hinder market growth to some extent. Furthermore, high labor costs in the manufacturing sector across developed countries, such as the U.S., the U.K., and Germany, are anticipated to limit the market growth.

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Electric Vehicle Market – The global electric vehicle market demand was estimated at 2,373.5 thousand units in 2019 and is expected to witness a CAGR of 41.5% 2020 to 2027.

Autonomous Vehicles Market – The global autonomous vehicles market demand was estimated at 51.6 thousand units in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 53.6% from 2022 to 2030.

Active Electronic Components Industry Segmentation

Grand View Research has segmented the global active electronic components market on the basis of product type, end-user, and region:

Active Electronic Components Product Type Outlook (Revenue, USD Billion, 2017 – 2028)

• Semiconductor Devices
• Vacuum Tubes
• Display Devices
• Others

Active Electronic Components End-user Outlook (Revenue, USD Billion, 2017 – 2028)

• Consumer Electronics
• Networking & Telecommunication
• Automotive
• Manufacturing
• Aerospace & Defense
• Healthcare
• Others

Active Electronic Components Regional Outlook (Revenue, USD Million, 2017 – 2028)

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Market Share Insights:

September 2019: NXP Semiconductors N.V. introduced a secure fine-ranging chipset, ‘SR100T’. This chipset is mainly designed for next-generation Ultra-Wide Band (UWB)-enabled mobile devices to provide highly accurate positioning performance.

June 2019: Infineon Technologies AG acquired Cypress Semiconductor Corp. to strengthen its product offering and market position.

Key Companies profiled:

Some prominent players in the global Active Electronic Components Industry include

• Infineon Technologies AG
• NXP Semiconductors NV
• Texas Instruments, Inc.
• Toshiba Corp.
• Intel Corp.
• Maxim Integrated
• Broadcom, Inc.
• Qualcomm, Inc.
• Analog Devices, Inc.
• Advanced Micro Devices
• Microchip Technology, Inc.
• Monolithic Power Systems, Inc.

Order a free sample PDF of the Active Electronic Components Market Intelligence Study, published by Grand View Research.