Japan Semiconductor Device Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 50.29 Billion |
| Market Size (2029) | USD 65.39 Billion |
| CAGR (2024 - 2029) | 5.39 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Japan Semiconductor Device Market Analysis
The Japan Semiconductor Device Market size is estimated at USD 50.29 billion in 2024, and is expected to reach USD 65.39 billion by 2029, growing at a CAGR of 5.39% during the forecast period (2024-2029).
The Japanese government is taking stringent measures to revive its industries, such as consumer electronics and automotive. Also, the government wishes to reduce the clustering of production facilities in one place to reduce production dependency on geographical constraints.
- The semiconductor industry is estimated to continue its robust growth during the forecast period to accommodate the increasing demand for semiconductor materials in emerging technologies, such as artificial intelligence (AI), autonomous driving, the Internet of Things, and 5G, coupled with competition among key players and consistent spending on R&D.
- By 2025, the semiconductor industry is set to experience significant benefits from the ongoing development and innovation in connectivity, communications, the automotive industry, and data centers. The increase in the consumption of electronic components used in the navigation of automobiles, safety, and infotainment further contributes to the growth of the semiconductor sector.
- Semiconductors are used extensively across electronic devices, such as smartphones, LED TVs, flat-screen monitors, and civil aerospace and military systems. The semiconductor industry is also likely to benefit from progress in biometrics capabilities. The growing demand for smartphones and technologically advanced products, such as wearable gadgets, etc., is also impacting the market's growth.
- The automation and electrification of automobiles have been driving increased demand for semiconductor wafers. Semiconductor ICs with varied functionalities are used in various automotive products, such as infotainment systems, navigation control, and collision detection systems. The inclusion of such features has an impact on automobile sales.
- Further, Data-heavy Internet of Things (IoT) devices represent another emerging market for the semiconductor industry. Industry 4.0 is one segment of industrial automation, and IoT also includes wearables, aviation, healthcare, smart homes, smart metering, smart farms, smart logistics, and more.
- Similarly, in August 2022, Toshiba Electronic Devices and Storage Corporation launched the TWxxNxxxC series, a third-generation silicon carbide (SiC) MOSFETs with low on-resistance and significantly reduced switching loss. The products reduce on-resistance per unit area (RDS(ON)A) by approximately 43%, allowing for an 80% reduction in the drain-source on-resistance gate-drain charge (RDS(ON) Qgd). This critical index represents the relationship between conduction loss and switching loss.
Japan Semiconductor Device Market Trends
Automotive is Expected to Hold Significant Market Share
- Semiconductor chips have become an integral part of modern-day vehicles, owing to their widespread use in various functions of vehicles. Chips used in cars can take many forms ranging from single components containing a single transistor to intricate integrated circuits controlling a complex system.
- For instance, chips are found in the LED light elements of vehicles. Every single diode inside an LED light unit is a chip that emits light. LED headlights alone account for a considerable number of chips in modern-day cars. The headlights also need control units to make them function.
- The growing need for better safety and advanced driver assistance systems (ADAS) in cars has accelerated the demand for semiconductors. Intelligent functions, like backup cameras, adaptive cruise control, blind-spot detection, lane change assist, airbag deployment, and emergency braking systems, are made possible by integrating semiconductor technologies.
- Further, ADAS covers a broad array of sensors, including image and camera sensors for vision-based features, ultrasonic sensors for short-range features like parking assist, and radar and lidar sensors for object detection under dark or foggy conditions.
- In September 2022, onsemi, a provider of intelligent power and sensing technologies, announced a trio of silicon carbide (SiC) based power modules in transfer molded technology that is intended for use in onboard charging and high voltage (HV) DCDC conversion within all types of electric vehicles (xEV). The APM32 series is the first-of-its-kind that adopts SiC technology into a transfer molded package to enhance efficiency and shorten the charge time of xEVs and is specifically designed for high-power 11-22kW onboard chargers (OBC).
Industrial Sector is Expected to Drive the Market
- Industry 4.0 is transforming the way companies manufacture their products. The term Industry 4.0 refers to the smart and connected production systems designed to sense, predict, or interact with the physical world, making real-time decisions that support production. It can increase productivity, energy efficiency, and sustainability in manufacturing.
- One of the essential components of Industry 4.0 is the Industrial Internet of Things (IIoT), which refers to the extension and use of the IoT in industrial sectors and applications. Semiconductors' underlying core capabilities for IIoT include sensing, connectivity, and computing. For instance, in the context of IIoT, sensors are widely used in different industries to monitor equipment, assets, systems, and overall performance.
- Industrial robots require sophisticated sensors that obtain essential information. Sensors can use semiconductor processing units to gather external information like images, infrared light, sound, and internal temperature, moisture, movement, and position data. Today, many industrial robots are equipped with 3D vision systems, which are usually comprised of multiple cameras or one or more laser displacement sensors.
- In June 2022, Analog Devices announced the launch of a high-resolution, industrial quality, indirect Time-of-Flight (iToF) module for 3D depth sensing and vision systems. Enabling cameras and sensors to perceive 3D space in one-megapixel resolution, the new ADTF3175 module is suitable for applications in industrial automation.
- Further, in November 2022, Sony Semiconductor Solutions Corporation announced the launch of a fee-based service on its edge AI sensing platform AITRIOS. The service is designed to streamline developing and implementing sensing solutions using edge devices such as AI cameras. These developments in the market will also drive the studied market in the country.
Japan Semiconductor Device Industry Overview
The Japan semiconductor device market is highly fragmented and is expected to reach in competition during the forecast period owing to the entry of several MNCs. The vendors are focusing on developing customized solution portfolios to fulfill local requirements. Some of the major players operating in the market include Intel Corporation, Nvidia Corporation, Kyocera Corporation, Qualcomm Incorporated, STMicroelectronics NV, Micron Technology Inc., Xilinx Inc., NXP Semiconductors NV, Toshiba Corporation, Texas Instruments Inc., Taiwan Semiconductor Manufacturing Company (TSMC) Limited, SK Hynix Inc., and Samsung Electronics Co. Ltd.
In November 2022, Micron Technology announced that it started mass production of its new high-capacity, low-power 1-beta dynamic random access memory (DRAM) chips at its plant in Hiroshima, Japan.
In April 2022, DENSO Corporation, a mobility supplier, and United Semiconductor Japan Co., Ltd., a subsidiary of global semiconductor foundry United Microelectronics Corporation, announced that the companies have agreed to collaborate on the production of power semiconductors at USJC's 300mm fab to serve the growing demand in the automotive market.
Japan Semiconductor Device Market Leaders
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Intel Corporation
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Nvidia Corporation
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Kyocera Corporation
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Qualcomm Incorporated
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STMicroelectronics NV
*Disclaimer: Major Players sorted in no particular order
Japan Semiconductor Device Market News
- May 2024: Toshiba marked the completion of a new 300-millimeter wafer fabrication facility for power semiconductors and an office building at KagaToshiba Electronics Corporation in Ishikawa Prefecture, Japan, one of Toshiba’s key group companies. Toshiba will now proceed with equipment installation, toward starting mass production in the second half of fiscal year 2024.
- MSK Hynix has unveiled ZUFS 4.0, a solution designed specifically for on-device AI applications in mobile devices, with a primary focus on smartphones. Positioned as a top-tier offering, the company anticipates that ZUFS 4.0 will not only solidify its leadership in AI memory within the NAND segment but also further leverage its success in high-speed DRAM, as seen with HBM.
Japan Semiconductor Device Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Technological Trends
4.3 Industry Value Chain Analysis
4.4 Industry Attractiveness - Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
4.5 Assessment of Impact of COVID-19 on the Industry
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Growing Adoption of Technologies like IoT and AI
5.1.2 Increased Deployment of 5G and Rising Demand for 5G Smartphones
5.2 Market Restraints
5.2.1 Supply Chain Disruptions Resulting in Semiconductor Chip Shortage
6. MARKET SEGMENTATION
6.1 By Device Type
6.1.1 Discrete Semiconductors
6.1.2 Optoelectronics
6.1.3 Sensors
6.1.4 Integrated Circuits
6.1.4.1 Analog
6.1.4.2 Logic
6.1.4.3 Memory
6.1.4.4 Micro
6.1.4.4.1 Microprocessors (MPU)
6.1.4.4.2 Microcontrollers (MCU)
6.1.4.4.3 Digital Signal Processors
6.2 By End-user Vertical
6.2.1 Automotive
6.2.2 Communication (Wired and Wireless)
6.2.3 Consumer Electronics
6.2.4 Industrial
6.2.5 Computing/Data Storage
6.2.6 Other End-user Verticals
7. SEMICONDUCTOR FOUNDRY LANDSCAPE
7.1 Foundry Business Revenue and Market Shares by Foundries
7.2 Semiconductor Sales - IDM vs Fabless
7.3 Wafer Capacity by end of December 2022 based on Fab Location
7.4 Wafer Capacity by the Top Five Semiconductor Companies and an Indication Of Wafer Capacity By Node Technology
8. COMPETITIVE LANDSCAPE
8.1 Company Profiles
8.1.1 Intel Corporation
8.1.2 Nvidia Corporation
8.1.3 Kyocera Corporation
8.1.4 Qualcomm Incorporated
8.1.5 STMicroelectronics NV
8.1.6 Micron Technology Inc.
8.1.7 Xilinx Inc.
8.1.8 NXP Semiconductors NV
8.1.9 Toshiba Corporation
8.1.10 Texas Instruments Inc.
8.1.11 Taiwan Semiconductor Manufacturing Company (TSMC) Limited
8.1.12 SK Hynix Inc.
8.1.13 Samsung Electronics Co. Ltd
8.1.14 Fujitsu Semiconductor Ltd
8.1.15 Rohm Co. Ltd
8.1.16 Infineon Technologies AG
8.1.17 Renesas Electronics Corporation
8.1.18 Advanced Semiconductor Engineering Inc.
8.1.19 Broadcom Inc.
8.1.20 ON Semiconductor Corporation
- *List Not Exhaustive
9. FUTURE OUTLOOK OF THE MARKET
Japan Semiconductor Device Industry Segmentation
A semiconductor device is an electronic element that relies on the electronic properties of semiconductor material for its function. Its conductivity lies between conductors and insulators. Semiconductor devices have substituted vacuum tubes in most applications. They conduct electric current in the solid state instead of as free electrons across a vacuum or as free electrons and ions through an ionized gas.
The study includes different device types, such as discrete semiconductors, optoelectronics, sensors, and integrated circuits (analog, logic, memory, and micro (microprocessors, microcontrollers, and digital signal processors)) for different end-user verticals, including automotive, communication (Wired and Wireless), consumer electronics, industrial, and computing/data storage. The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Device Type | ||||||||||
| Discrete Semiconductors | ||||||||||
| Optoelectronics | ||||||||||
| Sensors | ||||||||||
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| By End-user Vertical | |
| Automotive | |
| Communication (Wired and Wireless) | |
| Consumer Electronics | |
| Industrial | |
| Computing/Data Storage | |
| Other End-user Verticals |
Japan Semiconductor Device Market Research Faqs
How big is the Japan Semiconductor Device Market?
The Japan Semiconductor Device Market size is expected to reach USD 50.29 billion in 2024 and grow at a CAGR of 5.39% to reach USD 65.39 billion by 2029.
What is the current Japan Semiconductor Device Market size?
In 2024, the Japan Semiconductor Device Market size is expected to reach USD 50.29 billion.
Who are the key players in Japan Semiconductor Device Market?
Intel Corporation, Nvidia Corporation, Kyocera Corporation, Qualcomm Incorporated and STMicroelectronics NV are the major companies operating in the Japan Semiconductor Device Market.
What years does this Japan Semiconductor Device Market cover, and what was the market size in 2023?
In 2023, the Japan Semiconductor Device Market size was estimated at USD 47.58 billion. The report covers the Japan Semiconductor Device Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Japan Semiconductor Device Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Japan Semiconductor Device Industry Report
Statistics for the 2024 Japan Semiconductor Device market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Japan Semiconductor Device analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
