The Global Digital Isolator Market size is expected to reach $3 billion by 2028, rising at a market growth of 8.9% CAGR during the forecast period.
A digital isolator is a device that is utilized in order to get a digital signal over a galvanic isolation boundary. They provide the same function as optocouplers, with the exception that optocouplers are significantly sluggish and error-prone for high-speed (1MHz+) digital transmissions. They also leverage a different coupling mechanism than optical links, commonly a transformer or RF link. Although digital isolators are designed to work with solely digital signals, they are routinely used to transport digitized versions of analog signals. In comparison to an optocoupler-based system, the resulting signal chain is expected to have superior bandwidth, precision, and linearity. Because optocouplers are nonlinear and have large unit-to-unit changes (+- 50% of thr signal), the circuit must be immune to these variations or each unit must be properly calibrated.
Multiplexing digital channels all over a single digital isolator line is simple, resulting in net cost savings while using a more expensive isolation technique. To summarize, digital isolators outperform optocouplers in practically every way. Silicon Labs, ADI, TI, Broadcom Corporation, Maxim Integrated, Vicor, Rhopoint Components, NVE, ROHM, and others are some of the key players in this market. Because the major raw material price has remained reasonably consistent in recent years, with the addition of a significant increase in production capacity, the raw material price for Digital Isolators is anticipated to remain stable in the near future. However, improvements in energy prices, transportation costs, and labor compensation will all contribute to lower Digital Isolator costs. Companies are using new technologies and focusing on cost and quality leadership in order to increase profitability. To cut costs and increase quality, organizations are focused on technology innovation, equipment upgrades, and process improvements.
Increasing trends of replacing conventional optocouplers with digital isolators, as well as the rising popularity of noise-free electrical devices and electronics, are some of the primary reasons driving the growth of the digital isolators market. The growing utilization of digital isolators in a variety of industrial applications, such as industrial fieldbuses, motor controllers, and power supply, is likely to fuel market growth. As a result of its rapid data transmission rates along with robust transient immunity, capacitive technology across a digital isolator has a strong global preference. Magnetic field interference is not a problem with capacitive digital isolators. Because of the advantages offered by capacitive digital isolators over inductive and optical technologies, the market for capacitive digital isolators is expected to rise steadily over the forecast period.
The advent of the COVID-19 pandemic majorly impacted the global economy. The COVID-19 infection caused a steep downfall to businesses all over the world irrespective of their sizes. In addition, in order to regulate the spread of the pandemic, various governments all over the world were compelled to enforce lockdown in their nations, which resulted in a temporary industrial shutdown. The industrial closure caused a shortage of various goods and services to people across the world. Moreover, due to the government-imposed travel restrictions, the worldwide supply chain was also significantly disrupted, due to which, various industries witnessed significant losses.
Automotive manufacturers all around the world have declared stringent plans to launch new battery electric vehicles, plug-in hybrid electric vehicles, and full-hybrid electric vehicles. The BEV provides a smooth, quiet, and emission-free ride. High-wattage power electronics are becoming important components in the novel electronic drivetrain and battery systems as automobile designs move toward electrification. How to transfer digital data between low voltage battery domain electronics and high voltage battery domain electronics is one of the challenges a designer is expected to confront when developing solutions for automotive xEV applications.
Isolated gate drivers are in high demand because they provide electrical isolation as well as powerful gate drive capacity, which is essential for system architectural safety and robustness. Isolated gate drivers offer reliable control over switching qualities for metal oxide semiconductor field-effect transistor configurations, as well as high switching speed and system size constraints, which are required for power switch systems, such as silicon carbide and gallium nitride.
High-frequency signals are typically transmitted via digital isolators. When sending low-frequency signals, they need modulators. As a result, digital isolators are only appropriate for a few applications. Capacitive/magnetic digital isolators allow direct transmission of high-frequency signals. Low-frequency data cannot travel through the isolation layer of magnetic/capacitive digital isolators. Hence modulators are employed when the frequency range is between 0 and 100 Kbps. As a result, digital isolators may become more expensive.
Based on Technology, the market is segmented into Capacitive Coupling, Magnetic Coupling, and Giant Magnetoresistive. In 2021, the giant magnetoresistive segment garnered a significant revenue share of the digital isolator market. The growth of this segment is attributed to the fact that digital isolators based on GMR isolation technology have superior sensitivity and accuracy. The GMR isolation technology isolators also have a fast switching speed of up to 150 Mbps and a low propagation delay of 10 to 15 nanoseconds. Furthermore, the materials used to make these isolators extend their shelf life. Hence, the demand for giant magnetoresistive-based digital isolators is increasing.
Based on Vertical, the market is segmented into Industrial, Telecommunications, Automotive, Healthcare, Aerospace & Defense, Energy & Power, and Others. In 2021, the industrial segment acquired the largest revenue share of the digital isolator market. Industrial equipment is one of the most common applications for digital isolators. Ground discrepancies, noise, and voltage concerns are all protected by these devices. Furthermore, these isolators aid in the protection of industrial equipment as well as its operators.
Based on Application, the market is segmented into Gate Drivers, DC/DC Converters, Analog to Digital Converters, USB & Other Communication Ports, and CAN Isolation & Others. In 2021, the USB & other communication ports segment recorded a significant revenue share of the digital isolator market. The growth of this segment is owing to the increasing deployment of digital isolators in USB along with other communication ports as it ensures the security of the communication interface between the host, like computer, and its peripheral.
Based on Insulating Material, the market is segmented into Silicon Dioxide (Sio2)-based, Polyimide-based, and Others. In 2021, the silicon dioxide (Sio2)-based segment procured the largest revenue share of the digital isolator market. The increasing growth of the segment is owing to the increasing utilization of silicon dioxide by major market players. Key firms use silicon dioxide (SiO2)-based insulating material in the production of digital isolators.
Based on Channel, the market is segmented into 4 Channel, 6 Channel, 2 Channel, and 8 Channel & Others. In 2021, the 6-channel segment registered a substantial revenue share of the digital isolators. A 6-channels can have a clock rate of up to 100MHz and a data throughput of 200Mbps. The 6-signal channels have been specifically tuned for SPI, with very short propagation delays of 10ns on the SDI, SDO, and SCLK specified channels and 2ns maximum pulse-width distortion. The IC meets IEC 60747-5-5 requirements and hence, the growth of the segment is being propelled.
Based on Data rate, the market is segmented into More than 75 Mbps, 25 - 75 Mbps, and Up To 25 Mbps. By 2021, the more than 75 Mbps segment procured the highest revenue share of the digital isolator market. This growth of this segment is surging as a result of the growing implementation of giant magnetoresistive (GMR) isolation in digital isolation due to its high data rate and enhanced accuracy. Digital isolators with data speeds greater than 75 Mbps can also eliminate propagation delays, leading to accurate, smooth, and sensitive data signals at the output end.
Based on Regions, the market is segmented into North America, Europe, Asia Pacific, and Latin America, Middle East & Africa. In 2021, Asia-Pacific accounted for the largest revenue share of the digital isolator market. The growth of the regional market is increasing because of the prevalence of numerous major electrical equipment and device manufacturers in this region, the digital isolator market. In this region, digital isolators are also commonly utilized in gate drivers and ADC converters. China is a developing as well as the technologically advanced country that contributes significantly to the growth of the Asia Pacific digital isolator market.
The major strategies followed by the market participants are Product Launches. Based on the Analysis presented in the Cardinal matrix; Texas Instruments, Inc. and Broadcom, Inc. are the forerunners in the Digital Isolator Market. Companies such as NXP Semiconductors N.V., Analog Devices, Inc., Infineon Technologies AG are some of the key innovators in the Market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Renesas Electronics Corporation, Texas Instruments, Inc., Analog Devices, Inc., Infineon Technologies AG, NXP Semiconductors N.V., Rohm Semiconductors, Broadcom, Inc., Skyworks Solutions, Inc., Vicor Corporation, and NVE Corporation.
A digital isolator is a device that is utilized in order to get a digital signal over a galvanic isolation boundary. They provide the same function as optocouplers, with the exception that optocouplers are significantly sluggish and error-prone for high-speed (1MHz+) digital transmissions. They also leverage a different coupling mechanism than optical links, commonly a transformer or RF link. Although digital isolators are designed to work with solely digital signals, they are routinely used to transport digitized versions of analog signals. In comparison to an optocoupler-based system, the resulting signal chain is expected to have superior bandwidth, precision, and linearity. Because optocouplers are nonlinear and have large unit-to-unit changes (+- 50% of thr signal), the circuit must be immune to these variations or each unit must be properly calibrated.
Multiplexing digital channels all over a single digital isolator line is simple, resulting in net cost savings while using a more expensive isolation technique. To summarize, digital isolators outperform optocouplers in practically every way. Silicon Labs, ADI, TI, Broadcom Corporation, Maxim Integrated, Vicor, Rhopoint Components, NVE, ROHM, and others are some of the key players in this market. Because the major raw material price has remained reasonably consistent in recent years, with the addition of a significant increase in production capacity, the raw material price for Digital Isolators is anticipated to remain stable in the near future. However, improvements in energy prices, transportation costs, and labor compensation will all contribute to lower Digital Isolator costs. Companies are using new technologies and focusing on cost and quality leadership in order to increase profitability. To cut costs and increase quality, organizations are focused on technology innovation, equipment upgrades, and process improvements.
Increasing trends of replacing conventional optocouplers with digital isolators, as well as the rising popularity of noise-free electrical devices and electronics, are some of the primary reasons driving the growth of the digital isolators market. The growing utilization of digital isolators in a variety of industrial applications, such as industrial fieldbuses, motor controllers, and power supply, is likely to fuel market growth. As a result of its rapid data transmission rates along with robust transient immunity, capacitive technology across a digital isolator has a strong global preference. Magnetic field interference is not a problem with capacitive digital isolators. Because of the advantages offered by capacitive digital isolators over inductive and optical technologies, the market for capacitive digital isolators is expected to rise steadily over the forecast period.
COVID-19 Impact Analysis
The advent of the COVID-19 pandemic majorly impacted the global economy. The COVID-19 infection caused a steep downfall to businesses all over the world irrespective of their sizes. In addition, in order to regulate the spread of the pandemic, various governments all over the world were compelled to enforce lockdown in their nations, which resulted in a temporary industrial shutdown. The industrial closure caused a shortage of various goods and services to people across the world. Moreover, due to the government-imposed travel restrictions, the worldwide supply chain was also significantly disrupted, due to which, various industries witnessed significant losses.
Market Growth Factors
Complies with rigorous automotive safety requirements
Automotive manufacturers all around the world have declared stringent plans to launch new battery electric vehicles, plug-in hybrid electric vehicles, and full-hybrid electric vehicles. The BEV provides a smooth, quiet, and emission-free ride. High-wattage power electronics are becoming important components in the novel electronic drivetrain and battery systems as automobile designs move toward electrification. How to transfer digital data between low voltage battery domain electronics and high voltage battery domain electronics is one of the challenges a designer is expected to confront when developing solutions for automotive xEV applications.
Rising requirement for Isolated Gate Driver
Isolated gate drivers are in high demand because they provide electrical isolation as well as powerful gate drive capacity, which is essential for system architectural safety and robustness. Isolated gate drivers offer reliable control over switching qualities for metal oxide semiconductor field-effect transistor configurations, as well as high switching speed and system size constraints, which are required for power switch systems, such as silicon carbide and gallium nitride.
Marketing Restraining Factor:
The inability of transmitting low-frequency signals without modulators
High-frequency signals are typically transmitted via digital isolators. When sending low-frequency signals, they need modulators. As a result, digital isolators are only appropriate for a few applications. Capacitive/magnetic digital isolators allow direct transmission of high-frequency signals. Low-frequency data cannot travel through the isolation layer of magnetic/capacitive digital isolators. Hence modulators are employed when the frequency range is between 0 and 100 Kbps. As a result, digital isolators may become more expensive.
Technology Outlook
Based on Technology, the market is segmented into Capacitive Coupling, Magnetic Coupling, and Giant Magnetoresistive. In 2021, the giant magnetoresistive segment garnered a significant revenue share of the digital isolator market. The growth of this segment is attributed to the fact that digital isolators based on GMR isolation technology have superior sensitivity and accuracy. The GMR isolation technology isolators also have a fast switching speed of up to 150 Mbps and a low propagation delay of 10 to 15 nanoseconds. Furthermore, the materials used to make these isolators extend their shelf life. Hence, the demand for giant magnetoresistive-based digital isolators is increasing.
Vertical Outlook
Based on Vertical, the market is segmented into Industrial, Telecommunications, Automotive, Healthcare, Aerospace & Defense, Energy & Power, and Others. In 2021, the industrial segment acquired the largest revenue share of the digital isolator market. Industrial equipment is one of the most common applications for digital isolators. Ground discrepancies, noise, and voltage concerns are all protected by these devices. Furthermore, these isolators aid in the protection of industrial equipment as well as its operators.
Application Outlook
Based on Application, the market is segmented into Gate Drivers, DC/DC Converters, Analog to Digital Converters, USB & Other Communication Ports, and CAN Isolation & Others. In 2021, the USB & other communication ports segment recorded a significant revenue share of the digital isolator market. The growth of this segment is owing to the increasing deployment of digital isolators in USB along with other communication ports as it ensures the security of the communication interface between the host, like computer, and its peripheral.
Insulating Material Outlook
Based on Insulating Material, the market is segmented into Silicon Dioxide (Sio2)-based, Polyimide-based, and Others. In 2021, the silicon dioxide (Sio2)-based segment procured the largest revenue share of the digital isolator market. The increasing growth of the segment is owing to the increasing utilization of silicon dioxide by major market players. Key firms use silicon dioxide (SiO2)-based insulating material in the production of digital isolators.
Channel Outlook
Based on Channel, the market is segmented into 4 Channel, 6 Channel, 2 Channel, and 8 Channel & Others. In 2021, the 6-channel segment registered a substantial revenue share of the digital isolators. A 6-channels can have a clock rate of up to 100MHz and a data throughput of 200Mbps. The 6-signal channels have been specifically tuned for SPI, with very short propagation delays of 10ns on the SDI, SDO, and SCLK specified channels and 2ns maximum pulse-width distortion. The IC meets IEC 60747-5-5 requirements and hence, the growth of the segment is being propelled.
Data rate Outlook
Based on Data rate, the market is segmented into More than 75 Mbps, 25 - 75 Mbps, and Up To 25 Mbps. By 2021, the more than 75 Mbps segment procured the highest revenue share of the digital isolator market. This growth of this segment is surging as a result of the growing implementation of giant magnetoresistive (GMR) isolation in digital isolation due to its high data rate and enhanced accuracy. Digital isolators with data speeds greater than 75 Mbps can also eliminate propagation delays, leading to accurate, smooth, and sensitive data signals at the output end.
Regional Outlook
Based on Regions, the market is segmented into North America, Europe, Asia Pacific, and Latin America, Middle East & Africa. In 2021, Asia-Pacific accounted for the largest revenue share of the digital isolator market. The growth of the regional market is increasing because of the prevalence of numerous major electrical equipment and device manufacturers in this region, the digital isolator market. In this region, digital isolators are also commonly utilized in gate drivers and ADC converters. China is a developing as well as the technologically advanced country that contributes significantly to the growth of the Asia Pacific digital isolator market.
The major strategies followed by the market participants are Product Launches. Based on the Analysis presented in the Cardinal matrix; Texas Instruments, Inc. and Broadcom, Inc. are the forerunners in the Digital Isolator Market. Companies such as NXP Semiconductors N.V., Analog Devices, Inc., Infineon Technologies AG are some of the key innovators in the Market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Renesas Electronics Corporation, Texas Instruments, Inc., Analog Devices, Inc., Infineon Technologies AG, NXP Semiconductors N.V., Rohm Semiconductors, Broadcom, Inc., Skyworks Solutions, Inc., Vicor Corporation, and NVE Corporation.
» Partnerships, Collaborations and Agreements:
- Mar-2022: NXP Semiconductors collaborated with Hitachi Energy, a global technology leader. Following this collaboration, the companies aimed to expedite the adoption of silicon carbide power semiconductor modules. Moreover, this project also aimed to offer more reliable, efficient, and functionally safe SiC MOSFET-based solutions.
- Mar-2022: Analog Devices teamed up with Gridspertise, a subsidiary of the Enel Group. Through this collaboration, the companies aimed to advance the quality and resiliency of smart grids across the world. Moreover, this collaboration is expected to also enable the development of novel software and hardware that is expected to be compatible with distribution grid self-healing and adaptation.
- Dec-2021: NXP Semiconductors came into a partnership with Foxconn Industrial Internet, a subsidy of the Foxconn group. This partnership aimed to accelerate the transformation of cars into ultimate edge devices. In addition, NXP is expected to also deliver its comprehensive portfolio of automotive technologies to FII.
- Oct-2021: Infineon Technologies joined hands with Picovoice, a web-based platform. With this collaboration, the companies aimed to integrate their efforts into the development of an end-to-end voice platform with the integration of voice AI and edge devices.
- Jul-2021: Infineon Technologies teamed up with Amber, a leader in developing innovative technologies. Following this collaboration, the companies aimed to focus on the commercialization of Amber’s technology across the digital control of electricity in silicon architecture.
» Product Launches and Product Expansions:
- Jul-2021: Analog Devices launched ADN4624 digital isolator, in a new range of iCoupler digital isolators. With this product launch, the company aimed to offer four channels at 2.5Gbps in order to enable data to migrate impeccably in the electrical domain and allow new system architectures across digital health, smart industry, and instrumentation.
- Jul-2021: Renesas Electronics rolled out ISL71001SLHM, ISL71610SLHM, ISL71710SLHM, and ISL73033SLHM, a new range of plastic-packaged radiation-hardened devices. With this launch, the company aimed to deliver enhanced radiation tolerance in contrast to prevailing space-grade optocouplers on the market.
- Mar-2020: Texas Instruments launched the ISO7741E-Q1, the first AEC-Q100 standard Grade 0 ambient operating temperature specification certified digital isolator. The new product aimed to allow engineers to more effectively safeguard low-voltage circuitry from high-voltage events in HEV as well as EV systems.
- Jan-2020: Analog Devices introduced ADuM642x, a new Isolator IC. The new product range aimed to provide four independent channels along with compatibility with high-temperature industrial environments.
» Acquisitions and Mergers:
- Aug-2021: Analog Devices acquired Maxim Integrated Products, a manufacturer of analog and mixed-signal integrated circuits. Through this acquisition, the company aimed to strengthen its position as a high-performance analog semiconductor company.
- Aug-2021: Renesas acquired Dialog Semiconductor, an American-founded UK-Domiciled manufacturer of semiconductors. Under this acquisition, Renesas is expected to integrate Dialog’s power management, AC/DC power conversion, charging, and Wi-Fi and Bluetooth low energy technology into its advanced semiconductor solutions portfolio in order to offer immediate advantages to customers through complete solutions being available.
- Jul-2021: Skyworks Solutions took over Silicon Laboratories, a global technology company. Through this acquisition, the company aimed to introduce a highly diversified customer base with the potential to allow Skyworks Solutions continued expansion across the strategic end markets.
- Apr-2020: Infineon Technologies took over Cypress Semiconductor, an American semiconductor company. This acquisition is expected to strengthen Infineon's focus on the structural growth drivers for a wider range of applications.
» Geographical Expansion:
- Apr-2022: Infineon Technologies expanded its geographical footprint in Indonesia with the expansion of its backend operations. Through this geographical expansion, the company aimed to include production buildings with the potential to double the production area of Infineon across Batam.
Scope of the Study
Market Segments Covered in the Report:
By Technology
- Capacitive Coupling
- Magnetic Coupling
- Giant Magnetoresistive
By Vertical
- Industrial
- Telecommunications
- Automotive
- Healthcare
- Aerospace & Defense
- Energy & Power
- Others
By Application
- Gate Drivers
- DC/DC Converters
- Analog to Digital Converters
- USB & Other Communication Ports
- CAN Isolation & Others
By Insulating Material
- Silicon Dioxide (Sio2)-based
- Polyimide-based
- Others
By Channel
- 4 Channel
- 6 Channel
- 2 Channel
- 8 Channel & Others
By Data Rate
- More than 75 Mbps
- 25 - 75 Mbps
- Up To 25 Mbps
By Geography
- North America
- US
- Canada
- Mexico
- Rest of North America
- Europe
- Germany
- UK
- France
- Russia
- Spain
- Italy
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- South Korea
- Singapore
- Malaysia
- Rest of Asia Pacific
- LAMEA
- Brazil
- Argentina
- UAE
- Saudi Arabia
- South Africa
- Nigeria
- Rest of LAMEA
Key Market Players
List of Companies Profiled in the Report:
- Renesas Electronics Corporation
- Texas Instruments, Inc.
- Analog Devices, Inc.
- Infineon Technologies AG
- NXP Semiconductors N.V.
- Rohm Semiconductors
- Broadcom, Inc.
- Skyworks Solutions, Inc.
- Vicor Corporation
- NVE Corporation
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- Exhaustive coverage
- The highest number of market tables and figures
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Table of Contents
Chapter 1. Market Scope & Methodology
Chapter 2. Market Overview
Chapter 3. Competition Analysis - Global
Chapter 4. Global Digital Isolator Market by Technology
Chapter 5. Global Digital Isolator Market by Vertical
Chapter 6. Global Digital Isolator Market by Application
Chapter 7. Global Digital Isolator Market by Insulating Material
Chapter 8. Global Digital Isolator Market by Channel
Chapter 9. Global Digital Isolator Market by Data Rate
Chapter 10. Global Digital Isolator Market by Region
Chapter 11. Company Profiles
Companies Mentioned
- Renesas Electronics Corporation
- Texas Instruments, Inc.
- Analog Devices, Inc.
- Infineon Technologies AG
- NXP Semiconductors N.V.
- Rohm Semiconductors
- Broadcom, Inc.
- Skyworks Solutions, Inc.
- Vicor Corporation
- NVE Corporation
Methodology
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 389 |
| Published | May 2022 |
| Forecast Period | 2021 - 2028 |
| Estimated Market Value ( USD | $ 1660.5 Million |
| Forecasted Market Value ( USD | $ 2981.3 Million |
| Compound Annual Growth Rate | 8.8% |
| Regions Covered | Global |
| No. of Companies Mentioned | 10 |
