Integrated Passive Devices Market

• The growing adoption of integrated passive devices in consumer durables is driving the market growth.

Market CAGR for integrated passive devices is being driven by the rising adoption of integrated passive devices in consumer durables. The advancement in IPDs using through-glass-via (TGV) substrate for high-frequency applications. The requirement for high-speed mobile communication is increasing substantially, and thus, there is growth in the implementation of the 5G networks. The IPD applications have strong penetration in the consumer and automotive electronics market, which helps to minimize the system costs of the manufacturers.

White goods are the biggest applications of IPD technology, having great penetration in the consumer electronics sector, including smartphones, portable media players, tablets, digital TVs & set-top boxes, and others. The demand for the miniaturization of these devices is consistently increasing, thus strengthening the demand for IPDs in the market. For instance, smartphones have experienced strong demand for these devices as many features need to be packed in a smaller package. 

This maximized the utilization of IPD due to its several benefits offered like improved performance, reduced package footprint, enhanced reliability, and easy interconnection ability. Further, IPDs have an increasing application in automotive and consumer electronics, IoT, the healthcare sector, and LED products as it provides energy and performance efficiency, thus increasing the growth of the IPD market globally.

The inclusion of integrated passive devices that provides performance and efficiency has drastically increased the subscriptions in AI and 5G terminal devices, offering an opportunity for the growth of the market. The IPDs that are created using thin glass films are increasingly being adopted over IPDs that are developed using through-silicon via (TSV) substrate as the former has high thermal stability, high resistivity, low dielectric loss, and adjustable coefficient of thermal expansion. 

Thus, the integrated passive devices market is expected to grow due to the advancement in IPDs using through-glass-via (TGV) substrate. The IPDs offering high stability in harsh conditions are suitable for 5G telecom equipment due to their high power. IPDs are largely being adopted in various applications like telecom base stations and other internet networking hardware due to their reliability and stability. Thus, driving the Integrated Passive Devices market revenue.

However, the high price of IPDs, when compared to other diverse components, is the major factor hampering the growth of the market. Further, the cycle time for the designing of products for RF tuning of IPDs is the main challenge and the factor limiting the growth of the integrated passive devices market throughout the forecast period.

The Global Integrated Passive Devices Market Industry is projected to experience substantial growth over the next decade. The market is expected to reach 1.4 USD Billion in 2024 and is anticipated to grow to 3.2 USD Billion by 2035. This growth trajectory indicates a CAGR of 7.8% from 2025 to 2035, reflecting the increasing adoption of integrated passive devices across various sectors. The demand for miniaturization, advancements in manufacturing technologies, and the expansion of applications in automotive and IoT sectors are key factors driving this growth. These projections highlight the market's potential and the critical role of integrated passive devices in future technological developments.

The Global Integrated Passive Devices Market Industry benefits from the increasing investments in the renewable energy sector. As the world shifts towards sustainable energy solutions, integrated passive devices are essential for optimizing energy conversion and storage systems. For example, solar inverters and energy management systems rely on these components to enhance efficiency and reliability. The growing emphasis on green technologies is likely to drive demand for integrated passive devices, as they play a crucial role in the performance of renewable energy systems. This trend aligns with the market's projected growth, potentially reaching 3.2 USD Billion by 2035.

The Global Integrated Passive Devices Market Industry experiences a notable surge in demand for miniaturization across various sectors, particularly in consumer electronics and telecommunications. As devices become increasingly compact, manufacturers seek integrated passive devices to optimize space and enhance performance. This trend is exemplified by the growing adoption of smartphones and wearables, which require smaller components without compromising functionality. The market is projected to reach 1.4 USD Billion in 2024, reflecting a robust interest in miniaturized solutions. Furthermore, the anticipated growth in this sector indicates that integrated passive devices will play a critical role in meeting the evolving needs of modern technology.

The expansion of automotive electronics significantly impacts the Global Integrated Passive Devices Market Industry. With the rise of electric vehicles and advanced driver-assistance systems, there is an increasing need for reliable and efficient passive components. Integrated passive devices are crucial for managing power distribution, signal integrity, and thermal performance in automotive applications. The automotive sector's transition towards electrification and automation is likely to drive demand for these components, as they are integral to the functionality of modern vehicles. This trend suggests a sustained growth trajectory for the market, reflecting the automotive industry's evolving technological landscape.

The Global Integrated Passive Devices Market Industry is poised for growth due to the increased focus on Internet of Things (IoT) applications. As industries adopt IoT technologies for enhanced connectivity and data exchange, the demand for integrated passive devices rises. These components are vital for ensuring signal integrity and power efficiency in IoT devices, which range from smart home appliances to industrial sensors. The proliferation of IoT solutions is expected to drive market growth, as companies seek to enhance device performance and reliability. This trend underscores the importance of integrated passive devices in the broader context of digital transformation.

Technological advancements in manufacturing processes significantly influence the Global Integrated Passive Devices Market Industry. Innovations such as automated production lines and advanced materials contribute to improved efficiency and reduced costs. For instance, the introduction of 3D printing technology allows for the rapid prototyping of integrated passive devices, enabling quicker iterations and enhanced design flexibility. These advancements not only streamline production but also enhance the performance characteristics of passive components. As a result, the market is expected to grow at a CAGR of 7.8% from 2025 to 2035, indicating a strong correlation between manufacturing innovations and market expansion.

By region, the study gives market insights into the North America, Europe, Asia-Pacific, and the Rest of the World. The North American Integrated Passive Devices market area dominates the market because of the growing penetration of the Internet of Things (IoT), increase in investment in 5G communication, and spread of the semiconductor section in this region. Additionally, the increasing demand for IPDs in consumer durables is boosting the market growth of the integrated passive device industry in the North American region.

Further, the main countries studied in the market report are the US, Canada, German, France, the UK, Italy, Spain, Japan, India, China, Australia, South Korea, and Brazil.

Figure 2: Integrated Passive Devices Market SHARE BY REGION 2022 (USD Billion)

Source: The Secondary Research, Primary Research, MRFR Database, and Analyst Review

Europe's Integrated Passive Devices market accounts for the second-largest market revenue due to the increase in the adoption of in-vehicle infotainment systems in the automotive section of this region. Further, the German Integrated Passive Devices market held the largest market share, and the UK Integrated Passive Devices market was the fastest-growing market in the European region.

The Asia-Pacific Integrated Passive Devices Market is expected to grow at the rapid CAGR from 2023 to 2032. This is due to the increase in demand for portable medical equipment owing to the rising healthcare service cost. Moreover, China’s Integrated Passive Devices market held the largest market share, and the Indian Integrated Passive Devices market was the fastest-growing market in the Asia-Pacific region.

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Integrated Passive Devices market grow even more. Market players are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, mergers and acquisitions, contractual agreements, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Integrated Passive Devices industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Integrated Passive Devices industry to benefit clients and increase the market sector. In recent years, the Integrated Passive Devices industry has offered some of the most significant advantages to the consumer electronics sector. Major players in the Integrated Passive Devices market, including CTS Corporation, SiTime Corporation, Apple Inc., Global Communication Semiconductors LLC, Maruta Manufacturing Co Ltd, ON Semiconductors, STMicroelectronics, Johnson Technology Inc, NXP Semiconductors, and others, are attempting to increase market demand by investing in research and development operations.

SiTime Corporation is the market leader in silicon MEMS timing, an analog and semiconductor company that is revolutionizing the timing market. It is a USA-based company that designs, manufactures, and markets silicon timing systems solutions for several industries like infrastructure, automotive, aerospace-defense, internet of things, consumer, and industrials. The company offers Stratum 3E DCOCXOs, MHz Oscillators, Programmable OCXOs, embedded resonators, and many others. 

In October 2020, the company announced that it had entered the two bn US dollar precision resonator market with the ApexMEMS family of MHz resonators. These devices are the third-generation silicon MEMS technology o SiTime and are present in different MHz frequencies for high-volume electronics. The company's main applications include microcontrollers, Bluetooth wearables and wearables, and high-speed connectivity interfaces.

Apple Inc designs manufactures, and distributes tablets, smartphones, personal computers, and wearable devices. The company also provides software applications and related services, third-party digital content, and accessories. The product portfolio of the company includes iPad, iPhone, Mac, iPod, Apple Watch, and Apple TV. The company provides several consumer and professional software applications like iOS, iPadOS, and watchOS. 

In August 2021, the company announced to include integrated passive devices (IPD) in 3nm 2022 iDevices to improve the battery size. Apple is anticipated to increase the adoption of IPDs in new iPhones and other iOS products in the future, offering strong business opportunities for manufacturing partners TSMC and Amkor Technology.