Active Electronic Components Market Size

Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

Active Electronics Components Market is expected to grow at a CAGR of 7.3% from 2024 to 2035. This growth will result in a CAGR of 4.36% from 2025 to 2035. The market is expected to grow due to several factors, including the growing demand for consumer electronics, the development of telecommunications, and the increasing use of smart devices in various industries. The increasing digitalization of the industry is driving the demand for active electronic components. IoT, AI, and 5G are expected to drive innovation and investment in active components. The leading companies such as TI, Analog Devices, and Infineon are expected to lead the way with strategic initiatives such as M&A and product launches. Recent collaborations to develop next-generation semiconductors are expected to increase the competition in the market. The goal is to meet the growing needs of applications such as automobiles and industrial automation.

Regional Market Size

Regional Deep Dive

The Active Electronic Components market is characterized by rapid technological development and increasing demand in various fields such as consumer electronics, automobiles, and telecommunications. In each region, the market has its own characteristics, which are influenced by the local economic conditions, the regulatory environment, and the development of technology. The market is expected to benefit from the trend of miniaturization and integration of smart technology, which drives the innovation and investment of active components.

Europe

• Europe is focusing on sustainability and energy efficiency, with initiatives like the European Green Deal driving demand for innovative active electronic components that support renewable energy and energy-efficient technologies.
• Key players such as STMicroelectronics and Infineon Technologies are leading the charge in developing components for electric vehicles and smart grid applications, aligning with the region's commitment to reducing carbon emissions.

Asia Pacific

• In Asia-Pacific, the main markets for active components are still China, Japan and South Korea, where the demand for consumer electronics is booming and where the industry is driven by companies like Samsung and TSMC.
• The region is also experiencing a surge in demand for 5G technology, with significant investments from governments and private sectors in infrastructure development, which is expected to further accelerate the growth of active electronic components.

Latin America

• Latin America is witnessing a growing interest in active electronic components, particularly in Brazil and Mexico, where local governments are promoting technology adoption in various industries, including automotive and telecommunications.
• The region is also seeing an increase in foreign direct investment from companies like Flex and Jabil, which are setting up manufacturing facilities to cater to the rising demand for electronic components.

North America

• The North American market is witnessing significant growth due to the presence of major technology companies such as Intel, Texas Instruments, and Analog Devices, which are heavily investing in R&D for advanced semiconductor technologies.
• In the United States, the CHIPS Act is expected to encourage the manufacture of active components in the country, reducing imports and enhancing the security of the supply chain.

Middle East And Africa

• The Middle East and Africa are gradually emerging as potential markets for active electronic components, with increasing investments in technology infrastructure and smart city projects, particularly in the UAE and Saudi Arabia.
• Government initiatives aimed at diversifying economies away from oil dependency are fostering growth in the electronics sector, with companies like STMicroelectronics establishing partnerships to enhance local manufacturing capabilities.

Did You Know?

“Did you know that the global semiconductor industry, which includes active electronic components, is projected to reach a market size of over $1 trillion by 2030, driven by advancements in AI, IoT, and 5G technologies?” — Gartner Research

Segmental Market Size

The active components market is a crucial part of the electronics industry. It is currently experiencing stable growth, driven by the rising demand for newer electronic devices. The need for smarter devices and the growing importance of the Internet of Things and 5G mobile communication are the key factors driving this market. Also, government policies promoting energy efficiency are also a major driver of innovation and growth in this market. In terms of adoption, active components are currently at a mature stage, with market leaders like TI and Analog Devices leading the way in most regions, especially North America and Asia-Pacific. The main application areas of active components are consumer electronics, automobiles and industrial automation. These applications mainly use components like microcontrollers and power amplifiers. These components are mainly used in smart devices like mobile phones and smart home appliances. Moreover, macro trends like energy conservation and digitalization of industry are driving the market. Technological trends like artificial intelligence and machine learning are enabling active components to become smarter and more efficient.

Future Outlook

From 2024 to 2035, the active electronic components market is expected to rise from $461.5 billion to $750 billion, at a CAGR of 4.51%. The growth is mainly due to the rising demand for advanced devices in various fields such as consumer electronics, automobiles, telecommunications, and industrial applications. The key to driving the development of these products is to combine active components such as semi-conductors, capacitors, and transistors, and make them perform better. The IoT is a major driver for the market, as is the development of artificial intelligence. The development of 5G networks is also a major driving force. In all these areas, the demand for high-speed data transmission and processing will lead to a higher demand for high-performance active components. In addition, government policies to encourage the development of renewable energy and smart grids will lead to an increase in investment in the components of electric vehicles and smart grids. As a result, the penetration of active components in next-generation products will be very high, and the role of active components in the economy will be further enhanced.