News: Markets
23 July 2021
Despite pandemic, GaAs device market bounces back
After 2019 saw the first decline in more than a decade, market revenue for RF gallium arsenide (GaAs) devices returned to growth in 2020 and will approach $9.5bn by 2025, according to the Strategy Analytics Advanced Semiconductor Applications (ASA) report ‘RF GaAs Device Technology and Market Forecast: 2020 – 2025’, which identifies 5G devices and networks as the primary driver. Wider deployment of millimeter-wave-capable 5G handsets and networks will be the main contributors to future RF GaAs device revenue growth.
“In the early part of 2020, things looked pretty serious for the GaAs device market,” notes Eric Higham director of Strategy Analytics’ Advanced Semiconductor Applications (ASA) and Advanced Defense System (ADS) service. “The market was starting to digest the impacts of the COVID pandemic and the US-China trade sanctions were weighing heavily on the entire electronics supply chain,” he adds. “As 2020 progressed, it became clear that 5G device and network deployments would propel revenue growth in GaAs devices. As millimeter-wave 5G devices and networks become more widely deployed, the increased RF content will become the growth engine for the entire RF GaAs device market,” Higham concludes.
COVID-19 to reduce GaAs revenue in 2020, but recovery could be swift
