What Has Been The Evolution of the Interconnect And Passive Components Market in Recent Years?
The interconnect and passive components market has seen considerable growth due to a variety of factors.
• The market size for interconnect and passive components has seen robust growth in the past few years. The market, which is poised to expand from $202.24 billion in 2024 to $216.26 billion in 2025, projects a compound annual growth rate (CAGR) of 6.9%.
The unprecedented growth in the historical period is credited to the surge in consumer electronics, advancements in telecommunications, industrial automation, and the expansion of automotive electronics.
How Will the Interconnect And Passive Components Market?
The interconnect and passive components market is expected to maintain its strong growth trajectory in upcoming years.
• The size of the interconnect and passive components market is projected to experience significant expansion in the coming years. The market is estimated to attain a value of $275.57 billion in 2029, growing at a compound annual growth rate (CAGR) of 6.2%.
Factors contributing to growth during the forecast period include the deployment of 5g networks, the uptake of electric vehicles (EVs), the proliferation of the internet of things (IoT), and advancements in aerospace and defense sectors. Notable trends for the forecast period encompass technology progressions and miniaturization, enhanced frequency and RF components, environmentally friendly and sustainable components, and the advancement in customization and modular designs.
Which Factors Are Boosting Growth In The Interconnect And Passive Components Market?
The rising production of consumer electronic devices is anticipated to boost the expansion of the interconnect and passive components market in the future. These electronics are electronic products and gadgets created for personal use, encompassing entertainment, communication, productivity, and daily utility. The manufacturing of these consumer electronics will intensify the demand for interconnect and passive components due to their ability to facilitate smooth connectivity, miniaturization, and improved performance in consumer electronic products, catering to the needs of the dynamic product intricacy and amalgamation. For example, in May 2023, as per Japan's trade association, the Japan Electronics and Information Technology Industries Association, the complete electronic equipment production in Japan amounted to $6,722 million (¥771,457 million). Furthermore, the production of consumer electronics hit $280 million (¥ 32,099 million) in May 2023, a jump from $230.9 million (¥25,268 million) in May 2022. Therefore, the rising manufacturing of consumer electronics will spur the expansion of the interconnect and passive component market. The Interconnect And Passive Components Market is being driven by the substantial adoption of IoT devices. The Internet of Things (IoT), a network of tangible objects equipped with sensors, software, and connectivity that allows them to gather and exchange data over the Internet, is expected to propel the growth of the interconnect and passive components market. In terms of the interconnect and passive components (IPC) industry, IoT devices are critical as they not only generate the demand for specialized IPC components but also utilize these components to operate efficiently. For instance, in January 2022, according to projections from the GSM Association, a non-profit industry organization based in the UK, global IoT connections are expected to skyrocket to 23.3 billion by 2025, a significant upsurge from the 15.1 billion connections reported in 2021. Hence, the considerable adoption of IoT devices contributes to the growth of the interconnect and passive components market.
What Key Areas Define The Segmentation Of The Global Interconnect And Passive Components Market?
The interconnect and passive components market covered in this report is segmented –
1) By Product: Passive Components, Interconnects
2) By Application: Consumer Electronics, Data Processing, Telecommunication, Military And Aerospace, Automotive, Industrial, Healthcare
Subsegments:
1) By Passive Components: Resistors, Capacitors, Inductors, Filters, Crystals And Oscillators, Sensors
2) By Interconnects: Connectors, Cables And Wires, Circuit Board Connectors, Terminals, Adapters, Sockets And Plugs
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What Trends Are Reshaping The Future Of The Interconnect And Passive Components Market?
Leading companies in the interconnect and passive components market are concentrating on producing innovative components, like high-frequency passive components, in order to ensure dependable, high-performing satellite communication and retain their market standing. Take for example, in August 2023, Smiths Interconnect Inc., an electronics components producer based in the US, unveiled its E-Band passive components which come with WR12 couplers, loads, and isolators. These advanced WR12 waveguide components have been engineered for future E-Band terrestrial uplinks to Low Earth Orbit (LEO) constellations and payloads, and are fine-tuned to handle the high RF power necessary for strong communication links. This product series is perfect for dependable applications such as high-profile space missions, and benefits from in-house design, manufacture, and testing. The WR12 waveguide hybrids, which offer widespread tuning, high power termination, and consistent performance across the 71–76 and 81–86 GHz bands, are apt for global utilization.
Who Are the Key Players In The Interconnect And Passive Components Market?
Major companies operating in the interconnect and passive components market are:
• Foxconn Electronics Inc.
• Nichicon Corporation
• Koch Industries Inc.
• Panasonic Corporation
• Cisco Systems Inc.
• KYOCERA AVX Components Corporation
• TE Connectivity Corporation
• TDK Corporation
• Molex Incorporated
• YAZAKI Corporation
• Amphenol Corporation
• Murata Manufacturing Co. Ltd.
• Samsung Electro-Mechanics Co. Ltd.
• AMETEK Inc.
• Hubbell Inc.
• Delphi Technologies PLC
• Yageo Corporation
• Vishay Intertechnology Inc.
• Bourns Inc.
• Taiyo Yuden Co. Ltd.
• Japan Aviation Electronics Industry Ltd.
• KEMET Electronics Corporation
• HIROSE ELECTRIC CO.
• Sumida Corporation
• TT Electronics PLC
• Rubycon Corporation
• Pulse Electronics Corporation
• J.S.T. Mfg. Co.
• Chogori Technology Co. Ltd.
• Zeeteq Electronics Co. Ltd.
What Is The Most Dominant Region In The Interconnect And Passive Components Market?
Asia-Pacific was the largest region in the interconnect and passive components market in 2024. The regions covered in interconnect and passive components market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
