A new market study by Venture Development Corp. (VDC) finds that the 2004 global merchant market for dc-dc devices (dc-dc converters, dc-dc regulators and PWM/PFM controllers) exceeded $5 billion in 2004 and is forecasted to approach $8 billion in 2008. This market growth is attributed to several factors that are described in VDC’s report "DC-DC Converters, DC-DC Regulators and PWM/PFM Controllers: Global Market Demand Analysis."
One factor is the growth of point-of-load (POL) power conversion. The proliferation of lower voltages at higher current levels has fueled an increased use of distributed power architectures employing POL converters across more applications. Another driver is the semiconductor market. The semiconductor industry had a substantial recovery in 2004 achieving the peak historic levels of the year 2000. Going forward, steady growth will occur, built upon the 2004 shipments.
The advancing needs of OEMs also contribute to the growth of the dc-dc device market. OEMs are building systems that require more current, lower voltages and additional voltages. These needs will drive more expensive feature sets.