Battery Management System Market - Historic Data (2019-2024), Global Trends 2025, Growth Forecasts 2037
Battery Management System Market in 2025 is estimated at USD 9.91 billion. The global market size crossed USD 8.56 billion in 2024 and is likely to register a CAGR of over 19.7%, exceeding USD 88.65 billion revenue by 2037. Asia Pacific is projected to lead the sector, fueled by high demand for consumer electronics and substantial EV output in China.
The market growth is driven by demand for battery management systems in the smartphone industry since smartphones are electronic devices that have an escalated requirement of battery in each unit. For instance, in 2022, it was estimated that nearly 6 billion people across the globe were observed to be using smartphones.
In addition, utilization of batteries in various products that are wireless electronics, toys, handheld power tools, and others are expected to influence the market revenue. For instance, in 2022, around USD 30 billion were generated from the sales of electric toys in the United States alone. Furthermore, escalating demand for the management of lithium-ion batteries backed by the growing consumer electronic industry is will enlarge the market size.
Battery Management System Sector: Growth Drivers and Challenges
Growth Drivers
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Growing Utilization of Battery Management Systems in the Automotive Industry - Automobiles have a higher demand for battery management systems since each automobile requires the installment of a battery. The main purpose of a battery in the automobile is to create a spark for starting the engine. Hence, the battery is a major part of the starting system of a car. As of 2021, approximately 80 million motor vehicles were estimated to be manufactured across the globe.
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Increasing Manufacturing of Electric Vehicles and Hybrid Electric Vehicles – battery management system is highly required in electric vehicles since each function in these vehicles is operated by electricity that is generated by using batteries. The main type of battery used in electric vehicles is lithium-ion batteries. For instance, in 2020, around 3 million hybrid electric vehicles were produced while the number is further estimated to reach around 6 million by 2025.
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Growing Need for Battery Monitoring in Renewable Energy Systems – it was anticipated that in 2021, around 550 TWh of renewable energy were generated across the globe. Batteries are noticed to be used in this industry to power turbines.
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Growing Utilization of Batteries in Wireless Headphones – there are separate batteries given in wireless headphones which require a battery management system. Therefore, the growing sales volume of wireless headphones is expected to boost the market growth over the forecast period. As of 2021, approximately 290 million units of wireless headphones were sold out across the globe.
Challenges
- High Upfront Cost of Battery Management Systems - The battery management system is expensive since they need an enhanced mechanism to shift energy from one point to another. Hence, it requires most upgraded equipment to be included which also plays a significant role in increasing the price of the battery management system. Therefore, this factor is anticipated to hamper the market growth over the forecast period.
- The Requirement for the Additional Space
- Less Durable and Lower Reliability
Battery Management System Market: Key Insights
| Report Attribute | Details |
|---|---|
|
Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
19.7% |
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Base Year Market Size (2024) |
USD 8.56 billion |
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Forecast Year Market Size (2037) |
USD 88.65 billion |
|
Regional Scope |
|
Battery Management System Segmentation
Battery Type (Lithium-Ion, Lead-Acid, Nickel-Based)
The lithium-ion segment is poised to acount for largest market share by 2037. The segment growth can be attributed to rising utilization of lithium-ion (Li-ion) batteries in multiple applications such as electronics, handheld power tools, toys, wireless headphones, and others. For instance, as of 2021, the presence of lithium reserves across the globe was estimated to be around 15 million tons. Furthermore, the less possibility of battery failure is expected to hike the segment growth. Lithium-ion batteries are used widely in multiple sectors, especially in electronic industries to power electronic devices. The failure rate of lithium-ion batteries is estimated to be around 1 battery in a million.
Application (Automotive, UPS, Telecommunications, Renewable Energy Systems)
The automotive segment is expected to domiate the majority market share by 2037, due to higher demand and production volume of electric vehicles across the globe backed by the rising awareness of global pollution owing to CO2 emission. Electric vehicles use electric energy and lithium-ion batteries are a highly suitable medium to provide energy to these cars. The higher sales volume of electric vehicles was anticipated to hike the segment growth over the forecast period. For instance, it was anticipated that between 2012 to 2021, the number of electric vehicles sold out across the globe was estimated to be around 18 million units. Electric cars are considered to be beneficial for the environment since they do not require fuel that generates CO2. For instance, nearly 38 billion metric tons of carbon dioxide were emitted into the environment by fossil fuels in 2021.
Our in-depth analysis of the global market includes the following segments:
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By Battery Type |
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By Application |
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Vishnu Nair
Head - Global Business DevelopmentCustomize this report to your requirements — connect with our consultant for personalized insights and options.
Battery Management System Industry - Regional Synopsis
APAC Market Statistics
The Asia Pacific battery management system market is set to account for majority share by the end of 2037. The market growth is led by growing demand for consumer electronics, high volumes of production of electric vehicles in China, and increasing integration of battery management systems in several applications for safety purposes. For instance, electric vehicle sales in China grew by more than 5o percent in 2021 since 2020. About 1.3 million EVs were sold in the country in 2020. Asia Pacific is the region to have a highly developed automotive industry with higher demand for batteries.
Europe Market Forecast
The European battery management system market is anticipated to grow at significant growth during the forecast period. The market growth is owing to the rise in manufacturing capacities of prominent automobile manufacturers and the surge in demand for renewables for energy generation in the region. Apart from these, the strong presence of major market players will drive the regional market size. For instance, as of 2021, nearly 2500 TWh of electricity was anticipated to be generated in Europe.
Companies Dominating the Battery Management System Landscape
- Texas Instruments Incorporated
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
- Johnson Matthey Plc
- Eberspaecher Venture Inc.
- Sensata Technologies, Inc.
- Startec Energy Group
- Exponential Power, Inc.
- Toshiba Corporation
- Robert Bosch GmbH
- East Penn Manufacturing Company
- Panasonic Corporation
Recent Developments
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Texas Instruments, Inc launched a scalable Arm Cortex-MO+ microcontroller (MCU) portfolio that includes a variety of pinout, computing, and integrated analog options. This new portfolio is affordable and suitable for all sorts of applications.
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Johnson Matthey Plc stepped into a strategic partnership with Plug Power to accelerate the green hydrogen economy. Johnson Matthey Plc is required to become the supplier of MEA components
Author Credits: Dhruv Bhatia
- Report ID: 3475
- Published Date: Apr 23, 2025
- Report Format: PDF, PPT
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