Crises coexist! 5G PCB over 100 billion scale market is about to erupt
1. Overview of Printed Circuit Board (PCB)
The downstream of the PCB industry covers almost all electrical circuit products. The most core and largest application areas include communication equipment, computers, consumer electronics, and automotive electronics. With the development of human society towards electrification and automation, the application scope of PCB is becoming wider and wider, and there are no other alternatives for the time being.
2. Why is the printed circuit board (PCB) industry about to break out?
The downstream of PCB is mainly affected by the explosion of demand for 5G, Internet of Things, cloud computing, etc., and the industry's prosperity has shown an accelerating trend. At present, the PCB industry is developing rapidly. From the previous application in home appliances, desktop computers, notebooks, and smartphones to the current 5G, Internet of Things, and cloud computing applications, it can be said that it has entered the fifth period. In recent years, global PCB board production capacity has gradually shifted to the east. China, Japan, and some Asian countries have become major contributors to PCB production capacity. China ’s PCB output value has also increased from 31% of the world in 2008 to more than 50 %. Occupies half of the world. As a result, the PCB industry's downstream boom has driven PCB development.
3. Specific application requirements for printed circuit boards (PCBs)
1) High growth in 5G and server industries is driving demand.
According to statistics, the PCB market size of the downstream communications industry in 2018 was 11.692 billion U.S. dollars, which will reach 13.747 billion U.S. dollars in 2022, with a compound annual growth rate of 6.2% in 2017-2022. Mainly due to the advent of the 5G era, the acceleration of 5G base station construction, cloud computing, and the Internet of Things has led to a significant increase in the demand for PCB applications. The explosive growth of the server market in 2018 has driven demand for high-level boards. In the future, 5G construction will further expand server demand and promote server product upgrades. The server PCB market is expected to continue to expand.
2) Automotive electrification and intelligence bring new space to automotive PCB.
The automotive PCB output value in 2018 was USD 7.6 billion, and the global automotive PCB output value is expected to reach USD 10.171 billion in 2023, with a compound growth rate of 6%. Such as smart cars, the beginning and imminent popularity of driverless technology have brought many new opportunities to the PCB industry.
3) There is a lot of room for growth in consumer electronics PCBs.
According to statistics, the PCB output value for consumer electronics in 2018 was US $ 24.171 billion, and it is expected to reach US $ 28.087 billion in 2022, with CAAGR at 4.2%. For example, in 2020, with the large-scale commercial launch of 5G, the replacement wave of 5G mobile phones to replace 4G mobile phones will also come, which will also greatly drive the demand for PCBs.
All in all, the demand for the PCB market is on the eve of the outbreak, and the size of this market is extremely large. If predicted, the global demand for PCB output value around 2022 will reach about USD 52 billion, or about RMB 350 billion. It is also a huge market.