Next Generation Transistors Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Type (Bipolar Junction Transistor (BJT), Metal-Oxide-Semiconductor Field Effect Transistor (MOSFET), High Electron Mobility Transistor (HEMT), Others), By Type Of Material (Indium Arsenide (InAs), Gallium Arsenide (GaAs), Indium Phosphide (InP), Gallium Nitride (GaN)), By End-User Industry, (Aerospace And Defense, Consumer Electronics, Communication And Technology, Industrial), And By Geography - Forecasts From 2022 To 2027

The next generation transistor market was estimated at US$16.524 billion in 2020.

There has been a substantial increase in investment in the development of high-powered and more efficient transistors. They find their applications across multiple devices that are including but are not limited to smartphones, tablets, and notebooks. Nevertheless, in the face of a reportedly shrinking scale as opposed to that of Moore’s Law, chip manufacturers have also increased their investment in research and development towards developing transistors with narrow fin width.

Transistors are undoubtedly the essential component for many devices that are an integral part of the offerings of various sectors. Furthermore, consumers are increasingly becoming connected at an increasing rate and more than 3.5 billion people are using the internet, with 54% of households now having the internet at home, with global broadband subscriptions increasing threefold and have crossed 4 billion active subscriptions in 2017 (Source: IEA). This has come at the cost of increasing energy consumption. The same aspect is also applicable to the increasing number of data centres across the world to cater to analytics and the growing need for enhancing customer experience as well.

The semiconductor sector is subjected to new opportunities, thus pushing the benchmark beyond next-generation transistors.

 In this instance, it can be noted that the need to come up with new ways of adding transistors to an already allegedly saturated space has resulted in quite a few discoveries and possibilities that could be later put to commercial scale. In February 2020, a team of researchers who have been funded by the US Army reportedly discovered a means of turning twisted nanowires of the rarest rare earth metal, tellurium, into a material to make it into an ideal transistor. The semiconductor wire created with tellurium was only 2 nm across. Previously in 2019, Imec, whose role as a research institution for process technology is to explore the limits of semiconductor device scaling through new and enhanced technologies, fabricated nanoscale transistors from molybdenum disulfide, a two-dimensional semiconductor that’s just 3 atoms thick. Such transistors have the potential to replace FinFETS and contribute to the continuation of transistor scaling.

Competitive Strategies that are putting the evolution of Next Generation Transistors at the forefront are evidenced by the growing research and development trend and slow rollout of new and coming-of-age transistors.

Key players in the semiconductor industries are focusing more on breaking the barriers of present-generation transistors as a response to an increasing need to respond to the increasing challenge of energy wasted in modern computing while simultaneously enhancing the processing capabilities at the same time widening the applicability of ICs.  In 2019, Samsung’s foundry division announced the plans for a speedy rollout of 3-nm gate-all-around (GAA) technology (GAAFET) starting with risk production of one of two 3-nm GAA processes that it plans to offer by the second half of 2020 and mass production expected in 2021. This change in technology reduces the total silicon size by 35% while using 50% less power. This enables a 33% performance increase over the 5 nm FinFET process. In February 2020, TSMC, globally the largest dedicated semiconductor foundry, and STMicroelectronics, a global semiconductor leader that caters to a broad range of electronic applications, announced their collaboration with the objective of accelerating the development of Gallium Nitride (GaN) process technology and the supply of both discrete and integrated GaN devices to the market. Through the means of this collaboration, ST’s innovative and strategic GaN products will be manufactured using TSMC’s leading GaN process technology.

GaN Transistors are faster and more efficient silicon-enabled devices also enable the design of more compact devices for improved form factors. It also aids in greater energy efficiency at higher power, leading to a good reduction of power losses.  TSMC will start producing 5nm system chips for Apple in the second quarter of 2020. Optimized for both mobile and high-performance computing applications, TSMC also has its own 5nm Fin Field-Effect Transistor (FinFET) process technology. Currently, TSMC is running a risk production line for the same in a few months.

The aerospace and defense industry offers good growth opportunities for transistor manufacturers.

 The aerospace and defense industries around the world are increasingly increasing their budgets. A few businesses have emerged in the aerospace industry and are effectively entering the market. For instance, the 2020 Mars spaceship project by Elon Musk's SpaceX has gotten approval. Additionally, the U.S. military has suggested that in February 2020 communication over the arctic region will be unreliable, it has expressed interest in collaborating with Space X to initiate polar communication experiments in cooperation with SpaceX’s Starlink Airbus OneWeb Satellites. Once more, Firefly Aerospace and Satlantis inked a launch contract in 2020. Beginning in 2022, Satlantis launched its constellation of Earth Observation (EO) and remote sensing satellites using the Firefly Alpha launch vehicle.

Further, the advent of budget transcontinental airlines along with the rising availability of disposable income has increased the volume of passengers which has led to the expansion of aviation which in turn has led to a surge in the Next Generation Transistors Market. Further, the global military budget expenditure was to the tune of $1822 billion in 2018. This represented an increase of 2.6 % in 2017. The five biggest spenders in 2018 consisted of the United States, China, Saudi Arabia, India, and France, which collectively accounted for 60 % of global military spending. Total global military spending in 2018 was at the highest level since 1988. This higher level is mainly contributed by the spending of the US and China. Military spending in Asia totalled $507 billion, accounting for 28 per cent of total global military spending (Source: The SIPRI Military Expenditure Database).  Thus, the defense sector will lead to a surge in the next-generation transistor market.

Key Developments

• June 2022: As per the June 2022 press release by Samsung, the gate-all-around (GAA) transistor architecture used in Samsung Electronics' 3-nanometer (nm) manufacturing node, the market leader in semiconductor technology, began initial production. Samsung's GAA technology, Multi-Bridge-Channel FET, overcame the performance restrictions of FinFET by increasing performance by increasing drive current capability while simultaneously increasing power efficiency by lowering the supply voltage level.
• February 2020: As per the 20 February 2020 article published by Taiwan Semiconductor Manufacturing Company, to speed up the development of Gallium Nitride (GaN) process technology and the supply of both discrete and integrated GaN devices to market, STMicroelectronics and TSMC, the world's largest dedicated semiconductor foundry, started working together. STMicroelectronics is a semiconductor manufacturing firm serving customers across the spectrum of electronics applications. Through this partnership, the industry-leading GaN process technology of TSMC will be used to produce ST's cutting-edge and strategic GaN products.

Impact of COVID-19 on the Next Generation Transistors Market

The entire electronic industry was severely disrupted by the coronavirus pandemic. Production was severely impacted by the global supply chain disruption brought on by the closing of international borders. Similar to how component availability has been severely disrupting transistor manufacturing. Additionally, the capacity to produce transistors is being adversely affected by the permission of 50% of the entire staff. So, in contrast to earlier projections, the market's growth rate in 2020 was modest. Every facet of the business model, including capital investments, product portfolio composition, demand projections, R&D strategy, supply-chain footprints, alternatives for mergers and acquisitions (M&A), and production choices, could vary over time. In order to move forward, market players must establish a solid foundation. These companies can chart a path to the next normal using this foundation. Additionally, the market is anticipated to develop significantly in the anticipated period as a result of the quick uptake of renewable energy, rising interest in electric vehicles, and increased industrialization and automation. Additionally, post-pandemic industry growth is projected to be fueled by an increase in demand for cloud services and data centers as a result of increasing remote working.

Next Generation Transistors Market Scope:

 

Report Metric	Details
Market Size Value in 2020	US$16.524 billion
Growth Rate	CAGR during the forecast period
Base Year	2020
Forecast Period	2022–2027
Forecast Unit (Value)	USD Billion
Segments Covered	Type, Type of Material, End-user industry, And Geography
Regions Covered	North America, South America, Europe, Middle East and Africa, Asia Pacific
Companies Covered	Intel Corporation, Qualcomm Technologies, Inc., NXP Semiconductor, SK Hynix Inc., Texas Instruments, Toshiba Corporation, MediaTek, Inc., Fujitsu, Wolfspeed, Inc., Renesas Electronics Corporation, Infineon Technologies AG
Customization Scope	Free report customization with purchase

 

Segmentation:

• By Type
  • Bipolar Junction Transistor (BJT)
  • Metal-Oxide-Semiconductor Field Effect Transistor (MOSFET)
  • High Electron Mobility Transistor (HEMT)
  • Others
• By Type of Material
  • Indium Arsenide (InAs)
  • Gallium Arsenide (GaAs)
  • Indium Phosphide (InP)
  • Gallium Nitride (GaN)
• By End-user industry
  • Aerospace and Defense
  • Consumer Electronics
  • Communication and Technology
  • Industrial
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • UK
    • Germany
    • France
    • Italy
    • Others
  • The Middle East and Africa
    • Saudi Arabia
    • UAE
    • Israel
    • Others
  • Asia Pacific
    • Japan
    • China
    • India
    • South Korea
    • Taiwan
    • Thailand
    • Indonesia
    • Others

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1. Introduction

1.1. Market Overview

1.2. COVID-19 Scenario

1.3. Market Definition

1.4. Market Segmentation

 

2. Research Methodology

2.1. Research Data

2.2. Assumptions

 

3. Executive Summary

3.1. Research Highlights

 

4. Market Dynamics

4.1. Market Drivers

4.2. Market Restraints

4.3. Porters Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. The threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

 

5. Next Generation Transistors Market Analysis, by Type

5.1. Introduction

5.2. Bipolar Junction Transistor (BJT)

5.3. Metal-Oxide-Semiconductor Field Effect Transistor (MOSFET)

5.4. High Electron Mobility Transistor (HEMT)

5.5. Others

 

6. Next Generation Transistors Market Analysis, by Type of Materials

6.1. Introduction

6.2. Indium Arsenide (InAs)

6.3. Gallium Arsenide (GaAs)

6.4. Indium Phosphide (InP)

6.5. Gallium Nitride (GaN)

 

7. Next Generation Transistors Market Analysis, by End-user Industry

7.1. Introduction

7.2. Aerospace and Defense

7.3. Consumer Electronics

7.4. Communication and Technology

7.5. Industrial

 

8. Next Generation Transistors Market Analysis, by Geography

8.1. Introduction

8.2. North America

8.2.1. United States

8.2.2. Canada

8.2.3. Mexico

8.3. South America

8.3.1. Brazil

8.3.2. Argentina

8.3.3. Others

8.4. Europe

8.4.1. UK

8.4.2. Germany

8.4.3. France

8.4.4. Italy

8.4.5. Others

8.5. The Middle East and Africa

8.5.1. Saudi Arabia

8.5.2. UAE

8.5.3. Israel

8.5.4. Others

8.6. Asia Pacific

8.6.1. Japan

8.6.2. China

8.6.3. India

8.6.4. South Korea

8.6.5. Taiwan

8.6.6. Thailand

8.6.7. Indonesia

8.6.8. Others

 

9. Competitive Environment and Analysis

9.1. Major Players and Strategy Analysis

9.2. Emerging Players and Market Lucrativeness

9.3. Mergers, Acquisitions, Agreements, and Collaborations

9.4. Vendor Competitiveness Matrix

 

10. Company Profiles

10.1. Intel Corporation

10.2. Qualcomm Technologies, Inc.

10.3. NXP Semiconductor

10.4. SK Hynix Inc.

10.5. Texas Instruments

10.6. Toshiba Corporation

10.7. MediaTek, Inc.

10.8. Fujitsu

10.9. Wolfspeed, Inc.

10.10. Renesas Electronics Corporation

10.11. Infineon Technologies AG

Intel Corporation

Qualcomm Technologies, Inc.

NXP Semiconductor

SK Hynix Inc.

Texas Instruments

Toshiba Corporation

MediaTek, Inc.

Fujitsu

Wolfspeed, Inc.

Renesas Electronics Corporation

Infineon Technologies AG