DS Investment & Securities: SiC & GaN

Market Growth & Opportunities:

> The adoption of 800V architectures creates new growth opportunities for 8inch foundries, challenging traditional Si power semiconductors.

> SiC Power Market: Expected to grow at a CAGR of +20%, scaling from $3.4 billion (2024–2025) to $10.3 billion by 2030F.

> GaN Power Market: Expected to experience even faster growth at a CAGR of +44%, rising from $0.6 billion to $3.0 billion by 2030F.

Role Breakdown & Material Specialization:

> SiC: Excels in high-voltage, high-power, and high-temperature environments, serving as a partial substitute for Si IGBT. Main applications include EV inverters/OBC, 800V EVs, AI datacenters (AI DC), and energy storage systems (ESS).

> GaN: Excels in high-frequency, high-power-density, and high-efficiency power conversion, serving as a partial substitute for Si MOSFETs. Key application areas include chargers, adapters, power supply units (PSU), AI datacenters, robots, and solar power.

Infrastructure & Trends:

> Datacenter Penetration: The penetration rate of SiC/GaN within datacenter power systems is projected to increase from 17% in 2026F to over 30% by 2030F, driven heavily by new high-frequency, high-density conversion needs (such as 800V to 54V/12V transitions in AI datacenters).

> Manufacturing Shifts: SiC is currently transitioning from 6-inch to 8-inch fabrication lines, while GaN relies heavily on 8-inch GaN-on-Si processes. Long-term transitions up to 12-inch wafers are also being evaluated.