Electric Vehicle Semiconductor Market by Type, Propulsion (BEV, PHEV, FCEV), Vehicle Type, Component, Application (Chassis & Powertrain, Safety, Body Control, Infotainment, Battery Management, Charging Management) and Region - Global Forecast to 2027
Semiconductors are among the most crucial components for various interactivity features accessed by drivers and passengers. Apart from conventional automotive electronics, semiconductors play a huge role in electric vehicles for applications such as batteries and powertrains. The consistent advancement in the semiconductor sector is capable of providing safer & longer battery operation for electric vehicles. With such improvement in semiconductor performance leading to higher vehicle range that can compete with ICE vehicles, this would result in large demand for semiconductors.
There are many electronic control units inside the car that act as the vehicle's "brains," managing everything from the brakes and headlights to the newest technology like parking cameras, collision detection, emergency braking and radar. The advanced chips can solve some of the most persistent issues faced in the EV industry. These issues include limited range, longer charge time, and making batteries more efficient. Approximately only 80-90% potential of a battery pack is used which can be increased with the integration of more advanced semiconductors in EVs.
The global electric vehicle semiconductor market size is expected to grow from USD xx million in 2022 to USD xx million in 2027, at a CAGR of xx%. The challenge for global chip shortage can impact the market growth.
Drivers: Government initiatives around the world to promote EV is likely to increase the demand for semiconductors
Semiconductors are the backbone of modern-day transport, with their high integration in electric vehicles the demand for semiconductors has also increased. According to Electrive, number of semiconductors in a battery electric vehicle are nearly double as compared to ICE vehicles. Over the past three years, the electric vehicle sales growth has been outstanding, even though the market for conventional cars has shrunk because of different crises faced worldwide. Manufacturers are now working to deal with supply chain bottlenecks in order to ensure consistent EV production.
Government regulations and initiatives are the primary drivers of the global electric vehicle market. Many governments and car manufacturers have set goals for the phase-out of internal combustion engine vehicles during 2020 and 2021. Many governments and the car industry now favor electric vehicles as the preferred road transportation technology.
In November 2021, for instance, the US government unveiled an ambitious goal of 50% electrification for new automobiles by 2030, backed by the proposal of the building of 500 000 charging stations to assist boost customer confidence. Similarly, in Europe according to EU Commission, the CO2 emission requirement for new cars in Europe would be zero by 2035. Several automakers have also revealed their electrification goals at the same time. For instance, Volkswagen predicted that by 2030, half of its sales would be electric. Similarly, by the end of the decade, Ford predicted that 40% to 50% of its sales would be electric vehicles. With the advancement of automation in electric vehicles rising, the demand for semiconductors in electric vehicles will also increase in the coming future.
| Canada | China | China | India | Japan | US | ||
| Regulations (Vehicles) | ZEV Mandate | YES | YES | YES | |||
| Fuel Economy Standards | YES/td> | YES | YES | YES | YES | YES | |
| Incentives (Vehicles) | Fiscal incentives | YES | YES | YES | YES | YES | |
| Incentives (Vehicles) | YES | YES | YES | YES | YES | YES | |
| Industrial polices | Subsidy | YES | YES | YES | YES | ||
| Regulations (Chargers) | Hardware Standards | YES | YES | YES | YES | YES | YES |
| Building Regulations | YES | YES | YES | YES | YES | YES | |
| Incentives (Chargers) | Fiscal incentives | YES | YES | YES | YES | YES | |
| Target (Chargers) | YES | YES | YES | YES | YES | YES |
Opportunities: Rise of Autonomous Vehicles and enhanced connectivity in electric vehicles offers growth opportunities for semiconductors
Recent years have seen a significant amount of innovative technology being incorporated into mass production in the automotive industry. Few examples include matrix LED lighting, LiDAR sensors, 3D mapping software, electric vehicle batteries, and solutions for augmented reality.
Advanced features like auto emergency braking and adaptive cruise control that were developed in recent years have undoubtedly increased in popularity. The real autonomous future is yet ahead, though. Major corporations like Intel and NVIDIA have already made significant investments in semiconductors for the advent of self-driving cars. Earlier, both these companies were well-known for their contributions to the PC industry. However, their inclination towards self-driving cars indicates the promising opportunity for semiconductors in the automotive industry. With these digital giants investing in semiconductors for self-driving cars, this is one trend that will undoubtedly shake up the sector soon.
Challenge: Uncertainty in semiconductor supply due to global tensions is expected to impact the market
The ongoing chip shortage is one of the major concerns of automotive industry supply chain in the current scenario. Despite plants running at full capacity, lead times for products have reached six months or longer because they were unable to fulfil demand. Nowadays, the persistent semiconductor crisis frequently hits the limelight, particularly when it pushes automobile OEMs to postpone the vehicle manufacturing.
Although it is commonly believed that electric vehicles are less sophisticated than those powered by internal combustion engines, all electric vehicles excluding e-rickshaws require more operational power than those powered by IC engines. This is necessary for the battery management software (BMS), which controls how the vehicle's cells are managed, to optimize everything, including how quickly it can charge, how far it can travel, and how to prevent the vehicle's lithium-ion batteries from overheating and breaking down. Along with the nickel price explosion that has been going insane since the Russian war on Ukraine, the London Metal Exchange had to halt trading in the metal.
With geopolitical tensions and automotive OEMs changing orders from typical “just in time” to increase their inventory and have reserves on hand, they have started ordering more chips than they need. However, this action has temporarily widened the gap between supply and demand. Many automakers have predicted that, there may be a severe shortage of everything from Lithium-Ion batteries to crucial processing units for electric cars in the upcoming years.
Key Players
Infineon technologies (Germany), Renesas Electronics (Japan), NXP Semiconductors (Netherlands), STMicroelectronics (Switzerland), Texas Instruments (US), ON Semiconductors (US) and others are the key companies operating in the Electric Vehicle Semiconductor market. These companies adopted new product launches, partnership, and supply contracts to gain traction in the Electric Vehicle Semiconductor market.
TABLE OF CONTENTS
1 INTRODUCTION
1.1 OBJECTIVES OF THE STUDY
1.2 MARKET DEFINITION
1.3 MARKET SCOPE
1.4 CURRENCY
1.5 LIMITATIONS
1.6 STAKEHOLDERS
2 RESEARCH METHODOLOGY
2.1 SECONDARY DATA
2.2 PRIMARY DATA
2.3 FACTOR ANALYSIS
2.3.1 INTRODUCTION
2.3.2 DEMAND SIDE ANALYSIS
2.3.3 SUPPLY SIDE ANALYSIS
2.4 MARKET SIZE ESTIMATION
2.5 MARKET BREAKDOWN AND DATA TRIANGULATION
2.6 ASSUMPTIONS
2.7 RISK ASSESSMENT & RANGES
3 EXECUTIVE SUMMARY
4 PREMIUM INSIGHTS
5 MARKET OVERVIEW
5.1 INTRODUCTION
5.2 MARKET DYNAMICS
5.2.1 DRIVERS
5.2.2 RESTRAINTS
5.2.3 OPPORTUNITIES
5.2.4 CHALLENGES
5.2.5 IMPACT OF MARKET DYNAMICS
5.3 TECHNOLOGY ANALYSIS
5.4 PORTER’S FIVE FORCES MODEL
5.5 ECOSYSTEM ANALYSIS
5.6 SUPPLY CHAIN ANALYSIS
5.7 CASE STUDY ANALYSIS
5.8 ELECTRIC VEHICLE SEMICONDUCTOR MARKET, SCENARIOS (2022–2027)
5.8.1 ELECTRIC VEHICLE SEMICONDUCTOR MARKET, MOST LIKELY SCENARIO
5.8.2 ELECTRIC VEHICLE SEMICONDUCTOR MARKET, OPTIMISTIC SCENARIO
5.8.3 ELECTRIC VEHICLE SEMICONDUCTOR MARKET, PESSIMISTIC SCENARIO
6 ELECTRIC VEHICLE SEMICONDUCTOR MARKET, BY TYPE
6.1 INTRODUCTION
6.2 OPERATIONAL DATA
6.3 RESEARCH METHODOLOGY
6.4 ASSUMPTIONS
6.5 GALLIUM NITRIDE SEMICONDUCTOR
6.6 SILICON SEMICONDUCTOR
6.7 SILICON CARBIDE SEMICONDUCTOR
6.8 KEY INDUSTRY INSIGHTS
7 ELECTRIC VEHICLE SEMICONDUCTOR MARKET, BY PROPULSION
7.1 INTRODUCTION
7.2 OPERATIONAL DATA
7.3 RESEARCH METHODOLOGY
7.4 ASSUMPTIONS
7.5 BEV
7.6 PHEV
7.7 FCEV
7.8 KEY INDUSTRY INSIGHTS
8 ELECTRIC VEHICLE SEMICONDUCTOR MARKET, BY VEHICLE TYPE
8.1 INTRODUCTION
8.2 OPERATIONAL DATA
8.3 RESEARCH METHODOLOGY
8.4 ASSUMPTIONS
8.5 PASSENGER CARS
8.6 LIGHT COMMERCIAL VEHICLES
8.7 HEAVY COMMERCIAL VEHICLES
8.8 KEY INDUSTRY INSIGHTS
9 ELECTRIC VEHICLE SEMICONDUCTOR MARKET, BY COMPONENT
9.1 INTRODUCTION
9.2 OPERATIONAL DATA
9.3 RESEARCH METHODOLOGY
9.4 ASSUMPTIONS
9.5 PROCESSORS & CONTROLLERS
9.6 ANALOG IC
9.7 POWER MODULES
9.8 SENSOR
9.9 MEMORY
9.1 DIODES
9.11 KEY INDUSTRY INSIGHTS
10 ELECTRIC VEHICLE SEMICONDUSTOR MARKET, BY APPLICATION
10.1 INTRODUCTION
10.2 OPERATIONAL DATA
10.3 RESEARCH METHODOLOGY
10.4 ASSUMPTIONS
10.5 CHASSIS & POWERTRAIN
10.7 SAFETY
10.8 BODY CONTROL
10.9 INFOTAINMENT
10.10 BATTERY MANAGEMENT
10.11 CHARGING MANAGEMENT
10.12 KEY INDUSTRY INSIGHTS
*MNM will provide regional level market in terms of value (USD million)
11 ELECTRIC VEHICLE SEMICONDUCTOR MARKET, BY REGION
11.1 INTRODUCTION
11.2 ASIA PACIFIC
11.2.1 CHINA
11.2.2 INDIA
11.2.3 JAPAN
11.2.4 SOUTH KOREA
11.3 NORTH AMERICA
11.3.1 CANADA
11.3.2 US
11.4 EUROPE
11.4.1 FRANCE
11.4.2 GERMANY
11.4.3 ITALY
11.4.4 UK
11.4.6 SPAIN
11.4.7 NORWAY
11.4.8 SWEDEN
11.4.9 SWITZERLAND
11.4.10 THE NETHERLANDS
12 COMPETITIVE LANDSCAPE
12.1 OVERVIEW
12.2 MARKET SHARE/RANKING ANALYSIS, 2021
12.3 COMPETITIVE SCENARIO
12.3.1 NEW PRODUCT DEVELOPMENTS
12.3.2 ACQUISITIONS
12.3.3 JOINT VENTURES AND AGREEMENTS
12.3.4 EXPANSIONS
12.3 COMPANY EVALUATION QUADRANT
12.3.1 STARS
12.3.2 EMERGING LEADERS
12.3.3 PERVASISVE
12.3.4 PARTICIPANTS
12.4 STARTUP/SME EVALUATION QUADRANT
12.6 RIGHT TO WIN
13 COMPANY PROFILES
(Company overview, Strength of product portfolio, Product offerings, Business strategy excellence, Recent developments) *
13.1 KEY PLAYERS
13.1.1 INFINEON
13.1.2 NXP SEMICONDUCTOR
13.1.3 RENESAS
13.1.4 STMICROELECTRONICS
13.1.5 TEXAS INSTRUMENTS INC
13.1.6 TOSHIBA CORPORATION
13.1.7 MICRON TECHNOLOGY
13.1.8 ASML HOLDING
13.1.9 MICROCHIP TECHNOLOGY
13.1.10 CREE, INC. (WOLFSPEED)
13.1.11 ANALOG DEVICES
13.1.12 ON SEMICONDUCTOR
13.1.13 ROHM SEMICONDUCTOR
13.2 OTHER KEY PLAYERS
*Details on Company overview, Strength of product portfolio, Product offerings, Business strategy excellence, Recent developments might not be captured in case of unlisted companies.
14 APPENDIX
Growth opportunities and latent adjacency in Electric Vehicle Semiconductor Market