Market Challenges: Price fluctuations of raw materials

Device miniaturization is reducing the size of components, necessitating the development of very small passive devices. Additionally, consumers demand devices with longer battery lives, placing pressure on component makers to lower power consumption further. Supply chain issues have also arisen, as ongoing trade disputes and the coronavirus pandemic have disrupted international manufacturing and logistics networks. Component makers must navigate disruptions to ensure supply meets demand.

Market Opportunities: Growing scope of 5G network infrastructure

Emerging technologies like 5G networks, electric vehicles, renewable energy systems, and IoT all rely heavily on passive components. This dependence on new sectors will fuel market growth. As devices become more advanced, they integrate more passive parts, creating demand for multicomponent modules. Manufacturers able to offer multi-function, miniaturized modules stand to benefit.