- Increase in adoption of electric vehicles, surge in usage of DC-DC converter in railway application, and rise in demand for power electronics component have led to the growth of the global DC-DC converter market
- Based on input voltage, the 5-36V segment contributed to the largest market share in 2019
The global DC-DC converter market garnered $8.76 billion in 2019, and is projected to generate $17.85 billion by 2027 as per a report by Allied Market Research.It will grow at a CAGR of 11.10 per cent from 2020 to 2027.
The report said that increase in adoption of electric vehicles, surge in usage of DC-DC converter in railway application, and rise in demand for power electronics component have led to the growth of the global DC-DC converter market. Regulations and safety standards impede the market growth. The rise in adoption of 5G technology in developed countries is expected to bring in new opportunities in the near future.
It added, “The global coivd-19 outbreak significantly impacted the DC-DC converter market. The manufacturing facilities have halted, due to the lockdown and lack of workforce across the globe. The disruption in supply chain, on the other hand, has created shortage of raw materials.However, the government across the world have eased off certain relaxations, thereby allowing the firms to re-initiate the processes in order to maintain economic benefits.”
Rising adoption of network equipment and growing railway and transportation industry
Based on input voltage, the 5-36V segment contributed to the largest market share in 2019. It accounted for more than two-fifths of the global DC-DC converter market, and is projected to maintain its lead status during the forecast period. It is also anticipated to manifest the fastest CAGR of 11.8 per cent. This is due to the fact that DC/DC converter are suitable for pure digital circuits, low frequency analog circuits, relay-driven circuits and data switching circuits. The rising adoption of network equipment and growing railway and transportation industry will speed the growth.
Based on output voltage, the 5V segment accounted for the highest market share, contributing to nearly half of the global DC-DC converter market in 2019. It is expected to maintain its dominant share by 2027. This segment is projected to grow at the highest CAGR of 11.8 per cent during the forecast period. Rise in demand for electric vehicles, growing medical industry, aircraft electrification, consumer electronics, and transportation drives the growth of the segment.
Asia-Pacific region has accounted for the highest share
Based on region, the global DC-DC converter market across Asia-Pacific region has accounted for the highest share, contributing to nearly one-third of the total share in 2019. It will continue its leadership position during the forecast period. It added that the region is also anticipated to manifest the fastest CAGR of 12.3 per cent from 2020 to 2027.
As per the report, “Rising demand for electronic applications such as cell phones, laptops, and personal computer and improvement in network infrastructure of telecommunication sector in China, Japan, and South Korea to boosting 5G infrastructure drives the market in this province. At the same time, North America accounted for more than one-fifth of the total market share in 2019.”
