by Thermal interface materials are anisotropic materials which are used to fill air voids and ensure uniform contact between the heat sink and the heat source, thereby allowing efficient thermal conduction. They play a vital role in dissipating heat from numerous electronic components such as central processing units, chipsets, graphics processing units, light emitting diodes and power supply modules. With continued advancement in semiconductor technology and miniaturization of electronic chips, thermal interfaces are increasingly becoming important for heat transfer management. The demand for smaller and more powerful electronic devices has necessitated efficient cooling of electronics using thermal interfaces, which improves reliability and longevity of devices by preventing overheating. Key applications of thermal interface materials include computers, smartphones, automotive electronics, medical devices, industrial machinery and telecom infrastructure equipment.
The global Thermal Interface Materials Market is estimated to be valued at US$ 2.9 billion in 2023 and is expected to exhibit a CAGR of 6.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the major trends gaining traction in the thermal interface materials market is the rising adoption of phase change materials. Phase change materials have high thermal conductivity and are attractive for advanced thermal management applications. They absorb and release heat at a certain temperature without any significant change in their own temperature. This allows efficient thermal dissipation from heat generating components. Another key trend is the growing preference for thermally conductive adhesives due to their advantages over conventional greases and pastes. Adhesives offer better bonding strength to dissipate heat across larger interface areas. They also eliminate the need for pressure mounts. Manufacturers are focused on developing adhesive formulations optimized for next generation chips and miniaturized devices. Development of bio-based and environment-friendly thermal interface materials using plant oils and natural rubbers is also gaining importance due to strict regulations on hazardous substances.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate due to the presence of significant capital requirements and intellectual property rights associated with R&D.
Bargaining power of buyers: The bargaining power of buyers is high owing to the existence of multiple global manufacturers across the segments.
Bargaining power of suppliers: The bargaining power of suppliers is moderate due to the availability of raw material substitutes and less differentiation in products.
Threat of new substitutes: The threat of new substitutes is moderate with the emergence of new thermal technologies.
Competitive rivalry: The competitive rivalry is high among global players.
Key Takeaways
The Global Thermal Interface Materials Market Share is expected to witness high growth. The global Thermal Interface Materials Market is estimated to be valued at US$ 2.9 billion in 2023 and is expected to exhibit a CAGR of 6.4% over the forecast period 2023 to 2030.
Regional analysis shows that Asia Pacific dominates the market due to increased use of thermal interface materials in the electronics industry. Rapid industrialization and increasing demand for consumer electronics from countries such as China, India, South Korea, and Japan are driving the growth of the Thermal Interface Materials market in the Asia Pacific region.
Key players operating in the Thermal Interface Materials market include Henkel AG & Co. KGaA , Bergquist Company, Dow Inc., Laird Technologies, Inc., 3M Company, Honeywell International Inc., Parker Hannifin Corporation, Momentive Performance Materials Inc., Zalman Tech Co., Ltd., Indium Corporation, and Wakefield-Vette, Inc. The major players are focusing on developing innovative and greener thermal interface materials to gain a competitive advantage in the market.
Note:
Source: Coherent Market Insights, Public sources, Desk research
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Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
