Please Wait.....
Report
GaN LED Chips Market Opportunity, Growth Drivers, Industry Trend Analysis, and Forecast 2025-2034
Market Report I 2025-02-06 I 210 Pages I Global Market Insights
The Global GaN LED Chips Market was valued at USD 29.9 billion in 2024 and is projected to expand at a CAGR of 9.6% from 2025 to 2034. Rising demand for micro-LED displays across various sectors, including consumer electronics, automotive, and aerospace, is fueling market growth. GaN LED chips offer superior brightness, energy efficiency, and durability, making them indispensable for micro-LED technology. The global micro-LED display market is expected to reach USD 71.8 billion by 2027, underscoring the increasing reliance on GaN-based LEDs. These chips are widely used in smartwatches, premium TVs, AR/VR devices, and commercial displays due to their high resolution, low power consumption, and enhanced color performance. Their thermal stability and high light output make them the preferred material for micro-LED fabrication, driving consistent demand. Additionally, large-area displays in stadiums, airports, and retail settings are integrating micro-LED technology, further propelling the GaN LED chips market.
Manufacturers are prioritizing high-performance micro-LED solutions for electronics and large-scale displays. Enhanced brightness, color accuracy, and energy efficiency are key factors driving adoption in smartphones, TVs, and other display applications. The market is segmented by wafer size into 2-inch, 4-inch, 6-inch, and 8-inch. In 2024, the 2-inch wafer segment held a 41.3% market share, benefiting from an established, cost-effective production process. The 4-inch segment is forecast to grow at an 11.1% CAGR by 2034, driven by high-brightness applications. The 6-inch wafer market is expected to reach USD 12.3 billion by 2034, while the 8-inch segment, accounting for 8.9% market share in 2024, is gaining traction due to its efficiency in high-demand applications.
By substrate type, the market is categorized into silicon carbide (SiC), sapphire, silicon (Si), gallium nitride (GaN), and others. Sapphire dominated with a 61.4% share in 2024 due to its high-temperature stability, transparency, and chemical resistance, making it ideal for high-quality LED production. SiC is projected to reach USD 15.2 billion by 2034, favored for its superior thermal conductivity. Silicon-based LEDs are expanding at an 8.5% CAGR, while GaN substrates, driven by demand for micro-LEDs and UV LEDs, are set to grow at over 13% annually.
The product segmentation includes blue, green, and UV LED chips. Blue LED chips captured 40.3% of the market in 2024, driven by applications in backlighting and general lighting. Green LED chips are set to grow at a 10.7% CAGR due to their use in AR/VR and high-resolution displays. UV LED chips are projected to reach USD 13 billion by 2034, with increasing applications in sterilization and medical disinfection.
Market segmentation by technology includes standard, thin-film, vertical, and flip-chip GaN LEDs. Standard GaN LEDs led with a 32.8% market share in 2024, supported by advancements in luminous efficacy. Thin-film GaN LEDs are projected to reach USD 22.6 billion by 2034, gaining popularity in high-performance lighting. Vertical GaN LEDs are growing at a 13.4% CAGR, driven by micro-LED display advancements. Flip-chip GaN LEDs are expected to hit USD 16.7 billion by 2034, benefiting from improved thermal resistance and higher brightness.
End-use industries include automotive, consumer electronics, defense, industrial, and ICT. Consumer electronics are projected to expand at an 11.4% CAGR by 2034, as GaN LEDs offer superior brightness and efficiency for next-generation displays. The automotive sector held a 30.3% market share in 2024, with increasing adoption of GaN-based lighting solutions. The defense sector accounted for 18.7%, benefiting from GaN LEDs' reliability in extreme conditions. Industrial applications are expected to reach USD 8.3 billion by 2034, driven by energy-efficient lighting in warehouses and factories. ICT is set to grow at a 6.9% CAGR, fueled by rising demand for data centers and network infrastructure lighting.
Application-wise, general lighting dominated with a 34% market share in 2024, supported by the transition to energy-efficient solutions. Backlighting is expanding at an 8.6% CAGR, driven by mini-LED adoption in TVs and monitors. Automotive lighting held a 16.6% share as electric vehicles increasingly integrate GaN-based solutions for energy efficiency. Display and signage applications are expected to reach USD 10.6 billion by 2034, while specialty lighting, including medical and horticultural uses, is projected to grow at an 11.4% CAGR.
Regionally, North America accounted for a 19.9% market share in 2024, with strong demand in smart lighting and consumer electronics. The U.S. market is expected to reach USD 10.7 billion by 2034, driven by increased adoption in automotive and defense applications.
Report Content
Chapter 1 Methodology and Scope
1.1 Market scope and definitions
1.2 Research design
1.2.1 Research approach
1.2.2 Data collection methods
1.3 Base estimates and calculations
1.3.1 Base year calculation
1.3.2 Key trends for market estimation
1.4 Forecast model
1.5 Primary research and validation
1.5.1 Primary sources
1.5.2 Data mining sources
Chapter 2 Executive Summary
2.1 Industry 360synopsis
Chapter 3 Industry Insights
3.1 Industry ecosystem analysis
3.2 Industry impact forces
3.2.1 Growth drivers
3.2.1.1 Rising applications in automotive and smart devices
3.2.1.2 Expansion of electric vehicle (EV) market
3.2.1.3 Shift towards sustainable and green technologies
3.2.1.4 Increasing use of GaN LEDs in consumer electronics
3.2.1.5 Growing market for micro-LED displays
3.2.2 Industry pitfalls and challenges
3.2.2.1 High manufacturing costs and complex production process
3.2.2.2 Challenges in integration with existing display infrastructure
3.3 Growth potential analysis
3.4 Regulatory landscape
3.5 Technology landscape
3.6 Future market trends
3.7 Gap analysis
3.8 Porter's analysis
3.9 PESTEL analysis
Chapter 4 Competitive Landscape, 2024
4.1 Introduction
4.2 Company market share analysis
4.3 Competitive analysis of major market players
4.4 Competitive positioning matrix
4.5 Strategy dashboard
Chapter 5 Market Estimates and Forecast, By Product, 2021 - 2034 (USD Bn & Units)
5.1 Key trends
5.2 Blue LED chips
5.3 Green LED chips
5.4 UV LED chips
5.5 Others
Chapter 6 Market Estimates and Forecast, By Technology, 2021 - 2034 (USD Bn & Units)
6.1 Key trends
6.2 Standard GaN LEDs
6.3 Thin-Film GaN LEDs
6.4 Vertical GaN LEDs
6.5 Flip-Chip GaN LEDs
6.6 Others
Chapter 7 Market Estimates and Forecast, By Wafer Size, 2021 - 2034 (USD Bn & Units)
7.1 Key trends
7.2 2-inch
7.3 4-inch
7.4 6-inch
7.5 8-inch
Chapter 8 Market Estimates and Forecast, By End Use, 2021 - 2034 (USD Bn & Units)
8.1 Key trends
8.2 Automotive
8.3 Consumer electronics
8.4 Defense & aerospace
8.5 Industrial & power
8.6 Information & communication technology
8.7 Others
Chapter 9 Market Estimates and Forecast, By Substrate Type, 2021 - 2034 (USD Bn & Units)
9.1 Key trends
9.2 Sapphire
9.3 Silicon Carbide (SiC)
9.4 Silicon (Si)
9.5 Gallium Nitride (GaN)
9.6 Others
Chapter 10 Market Estimates and Forecast, By Application, 2021 - 2034 (USD Bn & Units)
10.1 Key trends
10.2 General lighting
10.2.1 Residential lighting
10.2.2 Commercial lighting
10.2.3 Industrial lighting
10.2.4 Outdoor lighting
10.3 Backlighting
10.3.1 Tv backlighting
10.3.2 Smartphone and tablet displays
10.3.3 Laptop and monitor displays
10.4 Automotive lighting
10.4.1 Headlights
10.4.2 Taillights
10.4.3 Interior lighting
10.4.4 Daytime running lights (drls)
10.4.5 Indicator lights
10.5 Display & signage
10.5.1 Digital billboards
10.5.2 Indoor digital signage
10.5.3 Outdoor displays
10.5.4 Traffic signals
10.6 Specialty lighting
10.6.1 Horticultural lighting
10.6.2 Ultraviolet (uv) curing
10.6.3 Medical devices and equipment
10.6.4 Stage and studio lighting
10.7 Others
Chapter 11 Market Estimates and Forecast, By Region, 2021 - 2034 (USD Bn & Units)
11.1 Key trends
11.2 North America
11.2.1 U.S.
11.2.2 Canada
11.3 Europe
11.3.1 Germany
11.3.2 UK
11.3.3 France
11.3.4 Spain
11.3.5 Italy
11.3.6 Netherlands
11.4 Asia Pacific
11.4.1 China
11.4.2 India
11.4.3 Japan
11.4.4 Australia
11.4.5 South Korea
11.5 Latin America
11.5.1 Brazil
11.5.2 Mexico
11.5.3 Argentina
11.6 Middle East and Africa
11.6.1 Saudi Arabia
11.6.2 South Africa
11.6.3 UAE
Chapter 12 Company Profiles
12.1 Aixtron
12.2 Aledia
12.3 Allegro Microsystems
12.4 Bridgelux
12.5 Cree
12.6 Efficient Power Conversion
12.7 Epileds Technologies
12.8 Epistar
12.9 Fujitsu
12.10 Ganpower International
12.11 Infineon Technologies
12.12 Lumileds Holding
12.13 Navitas Semiconductor
12.14 Qorvo
12.15 SemiLEDs
12.16 Sumitomo Electric Industries
12.17 Veeco Instruments
- Not Sure / Need Reassuring
- Confirm Content
-
Content is provided by our partners and every effort is made to make Market Report details as clear as possible. If you are not sure the exact content you require is included in this study you can Contact us to double check. To do this you can:
Use the ‘? ASK A QUESTION’ below the license / prices and to the right of this box. This will come directly to our team who will work on dealing with your request as soon as possible.
Write to directly on support@scotts-international.com with details. Please include as much information as possible including the name of report or link so our staff will be able to work on you request.
Telephone us directly on 0048 603 394 346 and an experienced member of team will be on hand to answer.
-
- Sample Pages
-
With the vast majority of our partners we can obtain Sample Pages to support your decision. This is something we can arrange without revealing your personal details.
It is important to note that we will not be able to provide you the exact data or statistics such as Market Size and Forecasts. Sample pages usually confirm the layout or the Categories included in Charts and Graphs, excluding specific data.
To ask for Sample Pages by contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Check for Alternatives
-
Whilst we try to make our online platform as easy to use as possible there is always the possibility that a better alternative has not been found in your search.
To avoid this possibility Contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346 and a Senior Team Member can review your requirements and send a list of possibilities with opinions and recommendations.
-
- Confirm Content
- Prices / Formats / Delivery
- Prices
-
All prices are set by our partners and should be exactly the same as those listed on their own websites. We work on a Revenue share basis ensuring that you never pay more than what is offered elsewhere.
Should you find the price cheaper on another platform we recommend you to Contact us as we should be able to match this price. You can Contact us though through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Discounts
-
As we work in close partnership with our Partners from time to time we can secure discounts and assist with negotiations, this is part of our personalised service to you.
Discounts can sometimes be arranged for speedily placed orders; multiple report purchases or Higher License purchases.
To check if a Discount is possible please Contact our experienced team through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Available Currencies
-
Most Market Reports on our platform are listed in USD or EURO based on the wishes of our Partners. To avoid currency fluctuations and potential price differentiations we do not offer the possibility to change the currency online.
Should you wish to pay in a different currency to that advertised online we do accept payments in USD, EURO, GBP and PLN. The price will be calculated based on the relevant exchange rate taken from our National Bank.
To pay in a different above currency to that advertised online please Contact our team and a quotation will be sent within a couple of hours with payment details.
-
- Licenses
-
License options vary from Partner to Partner as is usually based on the number of Users that will benefitting from the report. It is very important that License ordered is not breached as this could have potential negative consequences for you individually or your employer.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
-
- Global Site License
-
The Global Site License is the most comprehensive license available. By selecting this license, the Market Report can be shared with other ‘Allowed Users’ and any other member of staff from the same organisation regardless of geographic location.
It is important to note that this may exclude Parent Companies or Subsidiaries.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
-
- Formats
-
The most common format is PDF, however in certain circumstances data may be present in Excel format or Online, especially in the case of Database or Directories. In addition, for certain higher license options a CD may also be provided.
If you have questions or need clarification about the specific formats we recommend you to Contact us and a detailed explanation will be provided.
-
- Delivery
-
Delivery is fulfilled by our partners directly. Once an order has been placed we inform the partner by sharing the delivery email details given in the order process.
Delivery is usually made within 24 hours of an order being placed, however it may take longer should your order be placed prior to the weekend or if otherwise specified on the Market Report details page. Additionally, if details have been not fully completed in the Order process a delay in delivery is possible.
If a delay in delivery is expected you will be informed about it immediately.
-
- Shipping Charges
-
As most Market Reports are delivered in PDF format we almost never have to add additional Shipping Charges. If, however you are ordering a Higher License service or a specific delivery format (e.g. CD version) charges may apply.
If you are concerned about additional Shipping Charges we recommend you to Contact us to double check.
-
- Prices
- Ordering
- By Credit Card
-
We work in Partnership with PayU to ensure payments are made securely in a fast and effortless way. PayU is the e-payments division of Naspers.
Naspers operates in over 133 International Markets and ranks 3rd Globally in terms of the number of e-commerce customers served.
For more information on PayU please visit: https://www.payu.pl/en/about-us
-
- By Money Transfer
-
If you require an invoice prior to payment, this is possible. To ensure a speedy delivery of the Market Report we require all relevant company details and you agree to maximum payment terms of 30 days from receipt of order.
With our regular clients deliver of the Market Report can be made prior to receiving payment, however in some circumstances we may ask for payment to be received before arranging for the Market Report to be delivered.
-
- By Credit Card
- Security
- Website security
-
We have specifically partnered with leading International companies to protect your privacy by using different technologies and processes to ensure security.
Everything submitted to Scotts International is encrypted via SSL (Secure Socket Layer) and all personal information provided to Scotts International is stored on computer systems with limited access in controlled environments.
-
- Credit Card Security
-
We partner with PayU (https://www.payu.pl/en/about-us) to ensure all credit card payments are made securely in a fast and effortless way.
PayU offers 250+ various payment channels and eWallet services across 4 continents allowing buyers to pay electronically, whether on a computer or a mobile device.
-
- Website security