The general electronic components market includes a variety of passive and active electronic components that serve various macro and micro functions in electronic devices and systems. Some of the key products in this market include resistors, capacitors, inductors, display components, and optical components. With the growing consumer electronics industry and proliferation of IoT devices, the demand for general electronic components is experiencing steady growth. Factors such as miniaturization, improved functionality, and low power consumption are driving innovations in the components sector.
Market key trends:-
One of the major trends in the general electronic components market is the rise of 5G technology and networks. 5G brings significantly higher bandwidth and lower latency which will open up opportunities for new applications and devices. However, it will also place stringent requirements on the electronic components in terms of speed, power-efficiency and thermal conductivity. Component manufacturers are actively developing new materials and technologies to deliver 5G-ready solutions. Another key trend is the increasing focus on eco-friendly components. Strict environmental regulations are propelling vendors to invest in clean manufacturing processes and utilize more sustainable materials like gallium nitride. Recycling capabilities are also being enhanced.
- Threat of new entrants:- The threat of new entrants into the general electronic components market is moderate due to the presence of established players and requirement of high initial investments.
- Bargaining power of buyers:- The bargaining power of buyers is high given the presence of several component manufacturers and availability of substitutes. Buyers can switch between suppliers easily.
- Bargaining power of suppliers:- The bargaining power of suppliers is moderate as raw materials used in manufacturing components are available from multiple sources and switching costs are low.
- Threat of new substitutes:- The threat of substitutes is low as general electronic components have applications across diverse industries and replacements are difficult.
- Competitive rivalry:- The competitive rivalry among existing players is high due intense competition.
The global general electronic components market size is expected to witness high growth, exhibiting CAGR of 6.8% over the forecast period 2023 to 2030, due to increasing demand for consumer electronics and automation across industries.
The Asia Pacific region dominates the general electronic components market and is expected to continue its dominance over the forecast period. This is attributed to growth of the electronics industry, strong manufacturing base and availability of cheap labor in the region. China accounts for the largest share in the region.
Key players operating in the general electronic components market are Panasonic Corporation, Samsung Electronics Co. Ltd., Intel Corporation, Texas Instruments Incorporated, Toshiba Corporation, Sony Corporation, STMicroelectronics N.V., NXP Semiconductors N.V., Infineon Technologies AG, Broadcom Inc., Analog Devices Inc., Murata Manufacturing Co. Ltd., Vishay Intertechnology Inc., ON Semiconductor Corporation, Renesas Electronics Corporation. Major players are focusing on introducing innovative solutions through investments in R&D to gain a competitive advantage.