Apple, Hyundai Motor to Begin Using Compound Semiconductors
The author is an analyst of NH Investment & Securities. He can be reached at hwdoh@nhqv.com. -- Ed.
In 2021, major players such as Apple and HMC are to begin adoption of SiC and GaN transistors. We expect related market growth to take off in earnest.
In 2021, Apple, HMC, and others to begin using compound semiconductors
According to media reports, Apple is to unveil a notebook PC charger utilizing a GaN-on-Si transistor this year. Hyundai Motor Company (HMC) has recently announced its intention to apply SiC semiconductor-equipped inverters to its E-GMP platform. Similar application has also begun at other large IT and auto companies. Going forward, SiC and GaN compound semiconductor market growth should accelerate in earnest. Among related plays, we highlight Power Integrations, Cree, Veeco, STMicro, and RFHIC.
Unikorn Semiconductor, a GaN semiconductor foundry company, has said that it will significantly ramp up its GaN-on-Si chip production for chargers in 2021. Currently, TSMC has three~four MOCVD units capable of producing 6-inch epi GaN wafers, with production capacity of 1.5~2K wpm. Due to anticipated order growth, GaN wafer capacity is likely to fall short this year. Accordingly, further capacity investment is expected.
Suitable for EVs, solar power generation, and light/thin IT devices
A compound semiconductor is a semiconductor manufactured using wide-bandgap (WBG) materials such as SiC and GaN. Band gaps for GaN and 4H-SiC stand at 3.4eV and 3.2eV, respectively, far above the 1.1eV level of the currently-used Si. Able to withstand voltages of more than 10x versus those found in conventional Si-based semiconductors, compound semiconductors are also advantageous for manufacturing light/thin IT equipment.
Going forward, we expect to see rising adoption of GaN and SiC semiconductors in inverters for EVs (to convert high voltage DC battery current for use in AC motors), small and easy-to-carry IT device chargers, and solar power generation applications that utilize high switching frequencies in conjunction with low conductivity and minimal switching loss.