GaN Power Devices Market Set for Rapid Growth as AI Data Centers, EVs and Fast Charging Drive Demand - TimesTech

The convergence of AI data center 800V HVDC architectures, 800V EV platforms, and ultra-fast charging is pushing GaN power devices from niche into architectural necessity. Switching frequency demands at 800V have hit the physical ceiling of Si MOSFETs—this is a generational shift, not a cyclical bump. Upstream, China's August 2023 gallium export controls have structurally raised substrate costs for Western and Japanese players. Steady Microelectronics (Taiwan, China) and JFE face raw-material constraints. Infineon's acquisition of GaN Systems and onsemi's Navitas deal are fundamentally about locking in epitaxy capacity and automotive qualification barriers, not mere capacity expansion. The competitive fracture is accelerating. Innoscience and Sanan have mass-produced 650V-1200V GaN MOSFETs at 15-25% below Western ASPs. Within 12-24 months, global GaN device pricing will likely compress 20%+, squeezing Infineon's and onsemi's margins. The real long-tail effect sits at the system level: once GaN costs drop below 70% of SiC, SiC's share in sub-650V applications will be systematically eroded. By 2026, GaN-on-Si penetration in data center PSUs and OBCs could exceed 40%, fundamentally rewriting the power semiconductor landscape.