Thermal Management Technologies Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 12.62 Billion |
| Market Size (2029) | USD 18.80 Billion |
| CAGR (2024 - 2029) | 8.30 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Thermal Management Technologies Market Analysis
The Thermal Management Technologies Market size is estimated at USD 12.62 billion in 2024, and is expected to reach USD 18.80 billion by 2029, growing at a CAGR of 8.30% during the forecast period (2024-2029).
The electronic packaging trend has resulted in increased performance and reduced product sizing. This has led to a significant increase in power consumption, which, in turn, demands thermal management for good system performance and reliability by removing the high heat flux generated by electronic devices.
- Significant growth in the electronics industry worldwide is one of the key factors driving market growth. There is an increasing demand for miniaturized devices with enhanced power densities, with improvements in the manufacturing technologies of consumer electronics. This, in turn, positively impacts the demand for thermal management technologies to minimize the high heat flux generated by these devices.
- Over the past few years, chip-cooling solutions have evolved to accommodate the increase in heat flux. Many manufacturers are working on the development of advanced cooling solutions based on multi-phase heat transfer technologies. Technologies like jet impingement mechanisms, cold plates, and heat vapor chambers have transformed the future of these systems.
- Also, the increasing adoption of renewable energy resources is the major factor driving the thermal energy storage market. In addition, rapid industrialization across the world has increased the need for continuous power supply, which positively leads to the overall thermal energy storage market growth during the forecast period.
- However, due to the use of various transistors, the design complexities in components used in thermal management, specifically in electronic devices, are restraining the market's growth.
- One of the most common applications of thermal management technologies is in consumer electronics. At the onset of the pandemic, the consumer electronics industry faced a heavy headwind due to supply chain disruptions. However, with an increase in demand for virtual learning, remote work, and media consumption brought about by the pandemic, the demand for many consumer electronics devices, such as tablets and laptops, has experienced significant growth in recent times, which is expected to accelerate the market demand.
Thermal Management Technologies Market Trends
This section covers the major market trends shaping the Thermal Management Technologies Market according to our research experts:
Increasing Demand for Consumer Electronics will Enhance the Market Growth
- Due to developments in the electronics industry, the introduction of smaller and smarter products are increasing. These advancements in the industry have led to an increased need for innovative thermal management technologies to improve system performance and reliability by eliminating the heat generated by devices.
- The smartphone and tablet material market has witnessed considerable growth in the past decade. Due to the sensitivity toward weight and costs, the said market is expected to rely mostly on advanced materials for cooling solutions rather than secondary heat sinks.
- Further, owing to the increasing adoption of the Internet of things (IoT), the technology that enables the communication between things or between things and people using the Internet and IP-enabled protocols, the number of connected devices has been rising rapidly in recent years. For instance, as per Cisco, there will be 29.3 billion networked devices by 2023.
- Most IoT devices (wearables, smart home systems, etc.) carry such small form factors that active thermal management strategies (cooling fans or liquid cooling) cannot be implemented. In these products, implementing passive thermal management techniques at the board level alongside circuit optimization is key to preventing overheating of critical components.
- Further, with the increasing penetration of 5G in recent years, the demand for 5G-enabled devices, such as smartphones, is increasing. Such devices contain a greater density of high-power components in smaller spaces. This increased power requires more energy consumption, which generates more heat. As a consequence, there is an increased need for thermal management in such devices.
North America to Hold Major Share
- The North American region is expected to account for the largest market share, attributed to the increasing investments in technological innovation and adoption of thermal management technologies by various domains. Some of the prominent players in the market, such as Parker-Hannifin Corp, Advanced Cooling Technologies Inc., Honeywell International Inc., and Gentherm Inc., are headquartered in this region.
- The proliferating consumer electronics industry in the region is one of the primary factors driving the market's growth. According to a recent forecast from CTA, the consumer technology industry in the United States is projected to generate over USD 505 billion in retail sales revenue for the first time. The projection represents a 2.8% revenue increase from the impressive growth of 9.6% in 2021 over 2020. As per the organization, strong demand for smartphones, automotive tech, health devices, and streaming services will help propel a significant portion of the projected revenue.
- The automotive industry's transition toward electrification is also fueling the demand for the market. Thermal management in EVs (electric vehicles) powered by batteries is essential as it affects the performance, reliability, and robustness of these vehicles.
- The United States is one of the largest markets for electric vehicles, and the country has also recorded rapid growth in EV sales in recent years. For instance, as per the United States Department of Energy, EV sales grew by 85% from 2020 to 2021, while plug-in hybrid electric vehicles (PHEVs) more than doubled in 2021, with an increase of 138% over the previous year.
- Many regulations have also been implemented in recent years to promote the use of electric vehicles in the country. For instance, in April 2021, New York state lawmakers passed a bill that would essentially mandate that all new passenger cars sold in the state run on electric power by 2035. Moreover, the United States has set a target to ensure half of the vehicles sold in the country are electric by 2030.
Thermal Management Technologies Industry Overview
The thermal management technologies market is significantly fragmented, with no player accounting for a significant market share. Also, the number of local players is increasing in this market, resulting in increasing competition.
In January 2022 - Parker Lord, a division of Parker Hannifin, expanded its portfolio of products for electric vehicle manufacturers to include new thermally conductive adhesives and one-component (1K) low-density gap fillers to support their product offering of thermal management encapsulants, adhesives, and gap fillers.
In June 2021 - Gentherm announced that it had emerged as the lead investor in a seed round of financing in Israel-based Carrar, a technology developer of advanced thermal management systems for the electric mobility market.
Thermal Management Technologies Market Leaders
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Parker Hannifin Corporation
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Advanced Cooling Technologies Inc.
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Honeywell International Inc.
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Gentherm Incorporated
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Autoneum Holding AG
*Disclaimer: Major Players sorted in no particular order
Thermal Management Technologies Market News
- July 2022: Honeywell and British aerospace company Reaction Engines Limited signed a memorandum of understanding to collaborate on developing thermal management technologies as a key enabler to reduce aircraft emissions, regardless of the fuel type used in the aircraft.
- December 2021: The Chomerics division of Parker Hannifin Corporation introduced THERM-A-GAPTM PAD 30 and 60, its next generation of thermal gap filler pads for all heat transfer applications between electronic components and heat sinks.
Thermal Management Technologies Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Deliverables and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Industry Attractiveness - Porter Five Forces
4.2.1 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Consumers
4.2.3 Threat of New Entrants
4.2.4 Intensity of Competitive Rivalry
4.2.5 Threat of Substitutes
4.3 Market Drivers
4.3.1 Increase in Vehicle Energy Efficiency and Performance
4.3.2 Thermal Management Technology Proliferation
4.4 Market Challenges
4.4.1 Design Complexities in Components
4.5 Industry Value Chain Analysis
4.6 Assessment of COVID-19 Impact on the Industry
5. MARKET SEGMENTATION
5.1 By Product Type
5.1.1 Software
5.1.2 Hardware
5.1.3 Substrate
5.1.4 Interface
5.2 By Application
5.2.1 Computers
5.2.2 Consumer Electronics
5.2.3 Automotive Electronics
5.2.4 Telecommunication
5.2.5 Renewable Energy
5.2.6 Other Applications
5.3 Geography
5.3.1 North America
5.3.2 Europe
5.3.3 Asia Pacific
5.3.4 Rest of the World
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 Parker-Hannifin Corp.
6.1.2 Advanced Cooling Technologies Inc.
6.1.3 Honeywell International Inc.
6.1.4 Gentherm Inc.
6.1.5 Autoneum Holding AG
6.1.6 Sapa Extrusions Inc.
6.1.7 AllCell Technologies
6.1.8 Thermacore Inc.
6.1.9 Laird Technologies Inc.
6.1.10 Pentair Thermal Management
6.1.11 Outlast Technologies LLC
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. FUTURE OF THE MARKET
Thermal Management Technologies Industry Segmentation
Manufacturers generally apply a broad range of material technologies and problem-solving design tools to regulate the unwanted heat emitted from the normal functioning of an electronic system are considered thermal management technologies, which are classified as hardware, software, interfaces, and substrates.
The Thermal Management Technologies Market is segmented by Product Type (Software, Hardware, Substrate, Interface), Application (Computers, Consumer Electronics, Automotive Electronics, Telecommunication, Renewable Energy), and Geography (North America, Europe, Asia Pacific, Rest of the World). The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
| By Product Type | |
| Software | |
| Hardware | |
| Substrate | |
| Interface |
| By Application | |
| Computers | |
| Consumer Electronics | |
| Automotive Electronics | |
| Telecommunication | |
| Renewable Energy | |
| Other Applications |
| Geography | |
| North America | |
| Europe | |
| Asia Pacific | |
| Rest of the World |
Thermal Management Technologies Market Research FAQs
How big is the Thermal Management Technologies Market?
The Thermal Management Technologies Market size is expected to reach USD 12.62 billion in 2024 and grow at a CAGR of 8.30% to reach USD 18.80 billion by 2029.
What is the current Thermal Management Technologies Market size?
In 2024, the Thermal Management Technologies Market size is expected to reach USD 12.62 billion.
Who are the key players in Thermal Management Technologies Market?
Parker Hannifin Corporation, Advanced Cooling Technologies Inc., Honeywell International Inc., Gentherm Incorporated and Autoneum Holding AG are the major companies operating in the Thermal Management Technologies Market.
Which is the fastest growing region in Thermal Management Technologies Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Thermal Management Technologies Market?
In 2024, the North America accounts for the largest market share in Thermal Management Technologies Market.
What years does this Thermal Management Technologies Market cover, and what was the market size in 2023?
In 2023, the Thermal Management Technologies Market size was estimated at USD 11.65 billion. The report covers the Thermal Management Technologies Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Thermal Management Technologies Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Thermal Management Technologies Industry Report
Statistics for the 2024 Thermal Management Technologies market share, size and revenue growth rate, created by Mordor Intelligenceā¢ Industry Reports. Thermal Management Technologies analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
