Electronic Components Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

Electronic Components Market Analysis

The Electronic Components Market size is estimated at USD 0.7 billion in 2024, and is expected to reach USD 1.06 billion by 2029, at a CAGR of 8.80% during the forecast period (2024-2029).

• Rapid technological advancements, increasing demand for smarter devices, and new applications in consumer electronics, automotive, and industrial sectors are driving significant growth in the electronic component market.
• In recent years, the electronic components market has experienced substantial growth, primarily due to the increasing digitalization across various sectors. This trend has led to greater adoption of consumer electronics and a rising demand for connectivity and mobility. Consequently, the complexity of electronic products has increased, driving the need for components, especially in the automotive and consumer electronics industries. 
• The global rollout of 5G networks fuels the demand for RF (radio frequency) components, semiconductors, and modems. These are integral to smartphones, tablets, laptops, and wearable devices. As consumer devices become more interconnected, components such as 5G chipsets, transistors, and connectors are gaining prominence. Additionally, with the rising popularity of Wi-Fi 6/6E and Bluetooth 5.0+, there's an increased need for advanced wireless communication chips and networking components to ensure faster and more efficient connectivity. 
• As smart home devices like speakers, thermostats, and lighting systems become more prevalent, there's a surging demand for sensors, microcontrollers, actuators, and wireless modules. With the Internet of Things (IoT) integrating smart technology into daily appliances, the need for communication chips, electronics components, and power management ICs is on the rise.
• Consumers increasingly prioritize energy efficiency and sustainability, there's a heightened emphasis on low-power components, power-efficient semiconductors, and recyclable materials. Technologies like energy-efficient displays, OLEDs, and micro-LEDs are becoming more prevalent in TVs, smartphones, and other consumer electronics.
• In recent years, the electronics components industry has grappled with global supply chain disruptions. Geopolitical tensions, natural disasters, and logistics bottlenecks have led to notable delays in the production and delivery of essential raw materials and components. The production of electronic components heavily relies on rare earth metals, silicon wafers, and other essential materials, predominantly sourced from a select few countries. This concentrated sourcing heightens the risk of disruptions due to political instability, export restrictions, or challenges in mining, potentially resulting in supply chain delays and price surges.
• Various electronic components are manufactured using specific materials such as semiconductors, silicon, gold, copper, rare earth elements, and plastics. Inflation typically increases the prices of these crucial raw materials, which is expected to reduce the demand for electronic components.

Electronic Components Market Trends

Automotive is Expected to Witness Remarkable Growth

Electronic Components Industry Segmentation

Electronic components are the foundational elements of electronic circuits, systems, and devices. Active electronic components, such as integrated circuits, transistors, and diodes, necessitate an external power source to function within a circuit. In contrast, passive electronic components, including capacitors, resistors, and inductors/magnetics, operate independently without the need for an external power source.

The study tracks the revenue accrued through the sale of electronic components by various players across the globe. The study also tracks the key market parameters, underlying growth influencers, and major vendors operating in the industry, which supports the market estimations and growth rates over the forecast period. The study further analyses the overall impact of COVID-19 aftereffects and other macroeconomic factors on the market. The report’s scope encompasses market sizing and forecasts for the various market segments.

The electronic components market is segmented by component( active components [transistors, diode, integrated circuits (ICs), amplifiers, and vacuum tubes], and passive components [capacitors, inductors, and resistors]), end-user industry (automotive, consumer electronics and computing, medical, industrial, communications, and other end-user industries), and geography (North America, Europe, Asia Pacific, Middle East & Africa, Latin America). The market sizes and forecasts regarding value (USD) for all the above segments are provided.