Batteries for Semiconductors Market Forecasts to 2028 – Global Analysis By Type (Lithium-Ion Battery, Lithium-Ion Polymer, Nickel-Metal Hydride and Sodium-Ion Battery), Application (Digital Cameras, Electric Vehicles, Laptops, Mobile Phones, Wearable Devi

Batteries for Semiconductors Market Forecasts to 2028 – Global Analysis By Type (Lithium-Ion Battery, Lithium-Ion Polymer, Nickel-Metal Hydride and Sodium-Ion Battery), Application (Digital Cameras, Electric Vehicles, Laptops, Mobile Phones, Wearable Devices and Other Applications) and By Geography

According to Stratistics MRC, the Global Batteries for Semiconductors Market is growing at a CAGR of 7.0% during the forecast period. Batteries are electrical energy storage devices that use electrochemical cells to convert chemical energy into electrical energy. They are used in a variety of devices, including laptops, mobile phones, digital cameras, and other electronic devices. The main drivers of the growth of the global batteries for the semiconductor market are the rising popularity of portable electronic devices and the rising number of end-use electronic device manufacturers.

According to the Semiconductor Industry Association (SIA), global semiconductor industry sales in August 2021 totaled US$47 billion, a 29.7% increase over August 2020's total of $36 billion and a 3.3 percent increase over July 2021's total of $45 billion.

Market Dynamics:

Driver:

Increasing popularity of portable electronic gadgets

The market is being driven by the rising number of end-use electronic device manufacturers as well as the rising popularity of portable electronic devices. Semiconductor devices associated with power management functions have become more application-specific in order to address important portable system prerequisites like reduced size, lighter weight, and heat dissipation. Additionally, developments in power semiconductor devices and high-voltage ICs continue to drive the fast evolution, along with increased innovation in portable products.

Restraint:

Expensive batteries

Batteries can have a big impact on how much semiconductor devices cost. The cost of producing high-performance batteries, like lithium-ion batteries, can raise the device's overall cost. The cost of battery components like lithium and cobalt can also change, making it challenging to forecast battery prices, which in turn hampers market expansion.

Opportunity:

Adoption of electric vehicles

The market is being driven by electric vehicles adoption. As more charging stations appear in urban areas throughout developed nations, the popularity of electric vehicles is clearly on the rise. Although there are more charging stations, battery life is still a concern for many owners and manufacturers of electric vehicles. As a result, advances in semiconductor technology are increasingly being used in electric vehicles, and chips made from precious metals are powering the systems that store and apply firmware updates.

Threat:

Prone to overheating and explosion

Batteries are susceptible to overheating and explosion if they are not manufactured and used properly. Batteries can only be of certain types in semiconductor devices due to safety concerns, especially when high power densities are needed. Additionally, batteries have potentially dangerous components like lithium and cobalt that, if not disposed of properly, can damage the environment. Batteries can produce significant environmental effects during production and disposal, which even restrains market growth.

Covid-19 Impact

The market was adversely affected by COVID-19. Efforts are also being made to lessen the devastating economic effects of COVID-19, which include business closures, record unemployment, and unheard-of drops in the global gross domestic product (GDP). The demand for major semiconductor end applications has changed as a result of COVID-19, and one of the many industries has historically been a significant source of high-tech employment has had to adjust its production planning and operations. The market is currently on track to recover to pre-pandemic levels. However, long-term market growth is anticipated to be driven by rising consumer demand for electric and hybrid vehicles as well as rising demand from energy storage systems.

The lithium-ion battery segment is expected to be the largest during the forecast period

Owing to their wide usage in mobile devices like smartphones, laptops, tablets, wearable technology, and other home appliances, the lithium-ion battery segment is expected to be the largest during the forecast period. Numerous portable devices and pieces of industrial equipment also use lithium-ion batteries. The use of new anode materials has improved these batteries' energy efficiency, and they are easily customizable to meet requirements. To make lithium-ion batteries compatible with cutting-edge products, manufacturers are conducting research. Additionally, the demand for lithium-ion batteries is anticipated to increase over the forecast period due to the growing use of plug-in hybrid electric vehicles (PHEVs) around the world.

The electric vehicles segment is expected to have the highest CAGR during the forecast period

The electric vehicles segment is anticipated to have lucrative growth over the forecast period. In the near future, one of the key end-user markets for batteries is anticipated to be electric vehicles. Each automotive manufacturer has embraced a dual power supply system known as a mild hybrid system or micro-hybrid system that has been able to build a system at a much lower cost. Additionally, it is anticipated that the adoption of electric vehicles will spur significant innovation and that, in the years to come, these vehicles' average battery densities will increase significantly.

Region with largest share:

Due to government support at the policy level, battery companies are expected to invest heavily in China and India, due to this, the Asia Pacific region is expected to register the largest market share during the forecast period. It is anticipated that the widespread use of electric vehicles and the significant uptake of renewable energy sources in China and India will lead to a huge demand for batteries, effectively driving the market. Siemens recently partnered with TIES, a Chinese R&D center, in September 2019 to create new technologies for electric vehicle batteries. This innovation hub will offer comprehensive digital services, such as design and simulation, testing and analysis, pilot verification, and engineering simulation, to the advanced battery innovation chain and industry chain. Such elements are promoting market expansion in this region.

Region with highest CAGR:

During the projected timeframe, the North America region is estimated to exhibit dynamic growth driven by increasing investments in R&D activities. The Semiconductor Industry Association (SIA) reports that between 1999 and 2019, R&D spending in the U.S. industry grew at a compound annual growth rate of about 6.6 percent. Despite fluctuations in annual sales, U.S. businesses typically spend a lot on R&D, which emphasizes the value of making investments in this area. To benefit from the region's capacity to create innovative products and meet consumer demand for semiconductors, large corporations like Intel and AMD continue to invest in North America. As a result, North America will play a larger role in the sector of semiconductor manufacturing in the long run.

Key players in the market

Some of the key players profiled in the Batteries for Semiconductors Market include ABB, AGM Batteries Ltd, AkzoNobel, Aquion Energy, BASF SE, BYD Company, Cymbet, Duracell, Electrochem Automation, Energizer, EnerSys, Enovix, Faradion Limited, GS Yuasa Corporation, Johnson Controls International, LG Chem, Lithium Werks, Panasonic Corporation, Routejade, Samsung SDI Co Ltd, Sanyo Electric, Shenzhen Bak Battery, Sony Corporation, Spectrum Brands, TianJin Lishen Battery Joint-Stock Co. Ltd., Toshiba Corporation, Ultralife, Varta AG and Vionex Energy.

Key Developments:

In March 2023, At the international trade fair for intralogistics in Stuttgart, VARTA presents the new VARTA EasyBlade battery pack, which has been developed for automated guided vehicles (AGVs), autonomously moving robots (AMRs) and for material handling systems.

In February 2022, Ultralife Corporation has extended its ER Generation X family of Lithium Thionyl Chloride (LiSOCl2) batteries for critical applications, with two new products added to the range of rugged, energy-dense batteries. The new additions are the low rate UHE-ER14250-X 1/2AA size bobbin cell for asset tracking and more, plus the high-rate UHR-ER18505-X A size spiral cell for higher power applications (such as radio communications and cellular transmission).

In January 2022, Toshiba Corporation, a company dedicated to advancing carbon neutrality through its technologies, products and services, today expanded its SCiB™ product offering with the launch of an innovative 20Ah-HP rechargeable lithium-ion battery cell that delivers high energy and high power at the same time.

Types Covered:
• Lithium-Ion Battery
• Lithium-Ion Polymer
• Nickel-Metal Hydride
• Sodium-Ion Battery

Applications Covered:
• Digital Cameras
• Electric Vehicles
• Laptops
• Mobile Phones
• Wearable Devices
• Other Applications

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements