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DC/DC SWITCHING REGULATORS EXCEED $350 MILLION IN AMERICAN MARKET
09 June 2005 - Venture Development Corporation
| A new market study by Venture Development Corporation finds that DC/DC switching regulator shipments in the Americas exceeded $350 million in 2004. Consumption is highly concentrated in three markets (Computer and Office Automation, Consumer Electronics, and Telecom/Datacom) because point of load regulation is common. DC/DC POLs are the fastest-growing product category in the DC/DC market, driven by the increased use of distributed power and intermediate bus architectures. |
A new market study by Venture Development Corporation finds that DC/DC switching regulator shipments in the Americas exceeded $350 million in 2004. Consumption is highly concentrated in three markets (Computer and Office Automation, Consumer Electronics, and Telecom/Datacom) because point of load regulation is common. DC/DC POLs are the fastest-growing product category in the DC/DC market, driven by the increased use of distributed power and intermediate bus architectures. In addition to growth of POLs, there are a number of important issues, forces, and trends within the largest vertical market segments, including: Consumption of DC/DC regulators is impacted by the growth of computer sales, for which notebook computers are growing at a faster rate than desktop PCs. Notebook computers have more regulator content to drive unit sales growth. DC/DC switching regulators are commonly used in cellular phones and other mobile devices. Sales of cellular communication handsets are growing 7% annually but represent a larger growth opportunity in developing countries. The total number of global wireless subscribers is expected to reach 1.6 billion by the end of 2005. Estimates suggest that between 40-50% of all subscribers replace their handsets each year. In 2004 the industry grew significantly. Much of the growth was a result of postponed projects from prior years as carriers upgrade their telecommunications infrastructure that is obsolete or in need of maintenance. Wireless infrastructure is required to support the growth of developing countries such as China and India. China has been the fastest-growing telecommunications market in the world over the past few years and is expected to continue to grow approximately 14% annually. For example, China added approximately 60 million new wireless subscribers in 2003. According to Peter Walsh, Senior Analyst at VDC, 'The increasing popularity of battery-operated mobile devices - such as notebook PCs and cellular phones, is driving the growth of IC DC/DC switching regulators. Users of mobile devices are demanding more functions, but with lower power consumption. Therefore, the development of more efficient regulators is the most important advance in DC/DC switching regulators. DC/DC manufacturers are addressing the need for higher efficiency by raising the switching frequency, powering only to meet the load requirements, and integrating the FETs more closely.'
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About: Venture Development Corporation
Venture Development Corporation (VDC) is an independent technology market research and strategy consulting firm that specializes in a number of industrial, embedded, defense and niche enterprise IT markets. VDC has been operating since 1971, when graduates of the Harvard Business School and Massachusetts Institute of Technology founded the firm. Today, we employ a talented collection of analysts and consultants who offer a rare combination of expertise in the market research process; experience in technology product and program management, and formal training in engineering and marketing. VDC's clients include thousands of the largest and fastest growing tech suppliers in the world and the most successful investors participating in the markets we cover. |
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