Thin-Film Batteries Market Analysis by Battery Type (Disposable and Rechargeable); by Voltage (Below 1.5V, 1.5V to 3V and Above 3V); and by Application (Wearable Devices, Medical, Consumer Electronics, Smart Cards, and Others) – Global Supply & Demand Analysis & Opportunity Outlook 2023-2035
Buy Now Report ID: 4204 | Published Date: Mar 06, 2023
The global thin-film batteries market is estimated to garner a revenue of ~USD 300 Billion by the end of 2035 by growing at a CAGR of ~25% over the forecast period, i.e., 2023 – 2035. Further, the market generated a revenue of ~USD 100 Billion in the year 2022. The growth of the market can be attributed to the increasing adoption of Internet of Things (IoT) based devices and rising demands for thin-film batteries from various end-user industries. According to recent data, in 2021, there were about ~8 billion active IoT devices worldwide and the figure is projected to cross around 24 billion devices by the end of 2030. In addition, more than 80% of global organizations have implemented IoT technology to improve their work efficiency.
The global thin-film batteries market is also estimated to witness growth on account of growing sales of smartwatches and rising technological advancements. For instance, smartwatches are one of the most adopted wearable categories worldwide and are estimated to generate over ~USD 50 billion in revenue by the end of 2025 across the globe. In addition, the global shipment of smartwatches was around 142 million units in 2021, up from ~95 million units in 2019. The increasing miniaturization of compact electronic devices and systems coupled with the capabilities of thin-film batteries for remarkable performance, high power density, and high flexibility is expected to drive market growth in the coming years. Hence, all these factors are expected to boost the growth of the market over the forecast period.
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Base Year |
2022 |
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Forecast Year |
2023-2035 |
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CAGR |
~25% |
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Base Year Market Size (2022) |
~ USD 100 Billion |
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Forecast Year Market Size (2035) |
~ USD 300 Billion |
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Regional Scope |
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Growth Drivers
Rising Adoption of Smartphones and Tablets – For instance, about 93% of adults in South Korea own a smartphone. Additionally, in 2021, there were approximately 6 billion smartphone users globally and this figure is projected to reach ~7.5 billion smartphone users by the end of 2027.
Thin-film batteries are highly suitable for smartphones and tablets that come with folding screens. To fulfill the need for energy, thin-film batteries are provided in these devices that can be bent, twisted, and stretched without any interruption of the power supply. Thin-film batteries use flexible components to make the batteries stretchable and bendable.
Increased Research and Development Expenditure – As per data by the World Bank, global research and development expenditure in proportion to the gross domestic product (GDP) was around 2.63% in 2020, up from 2.2% in 2018.
Surging Demand for Better Medical Equipment – As per the data, the export valuation of medical devices in India was around USD 3 billion in 2019-20 and this figure is expected to surpass ~USD 9 billion by the end of 2025.
Rising Trend of Fitness Tracker – According to statistics, there were approximately 440 million wearable fitness devices shipped to consumers globally in 2020. Additionally, about 18% of US citizens regularly used a fitness tracker in 2019.
Growing Adoption of Smart Cards – According to statistics, at the beginning of 2022, there were approximately 10 billion EMV (Europay, MasterCard, and Visa) payment cards in circulation globally. The market growth is anticipated to increase with the adoption of smart cards including SIM cards, e-IDs used for government and transport sectors, and EMV cards used for payment-related options.
Challenges
The global thin-film batteries market is segmented and analyzed for demand and supply by battery type into disposable and rechargeable. Between these two types of batteries, the rechargeable segment is estimated to gain the largest market share over the projected time frame. The growth of the segment can be attributed to the rising adoption of rechargeable batteries in consumer electronics products along with laptops, PCs, smartphones, tablets, and many more. As per the data, in India, the valuation of the appliances and consumer electronics industry was around USD 9 billion in 2021 and is expected to reach a valuation of ~ USD 20 billion by the end of 2025. Moreover, rechargeable batteries have applications in medical devices, IoT devices, wireless sensors, and wearable devices. Such a factor is therefore estimated to boost segment growth in the coming years.
The global thin-film batteries market is also segmented and analyzed for demand and supply by application into wearable devices, medical, consumer electronics, smart cards, and others. Amongst these segments, the consumer electronic segment is expected to garner a significant share. Consumer electronic devices are used by consumers for daily purposes. Examples of consumer electronics are TVs, laptops, set-top boxes, wearables, monitors, printers, scanners, and others. Hence, a huge demand for consumer electronics can be observed across the world which triggers the higher utilization of thin-film batteries. For instance, globally the number of connected wearable devices was projected to hit approximately 1000 million in 2022 which was an increase from around 500 million in 2018 and 300 million in 2016. Hence, owing to the remarkable utilization of consumer electronics, the segment is set to grow exponentially over the forecast period.
Our in-depth analysis of the global thin-film batteries market includes the following segments:
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By Battery Type |
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By Voltage |
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By Application |
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The North American thin-film batteries market, amongst the market in all the other regions, is projected to hold the largest market share by the end of 2035. The growth of the market can be attributed majorly to the rising adoption of IoT-based devices and the presence of a large number of manufacturers in the region. As per estimates, by the end of 2025, the total number of active IoT connections in North America is projected to reach approximately 5 billion. Moreover, rising technological advancements and increasing demand for wireless sensors coupled with favorable government support are expected to propel the market growth in the region.
Further, the market in Asia Pacific is estimated to gain the highest growth during the forecast period, owing to the growing demand for smartphones, tablets, and laptops coupled with the rising expansion of the electronic device manufacturing industry. As per estimates, the Indian electronics manufacturing industry is anticipated to reach a valuation of ~USD 510 billion by the end of 2025. Emerging economies such as India, China, and South Korea are estimated to lead the regional market. Moreover, increasing production facilities and rising application scope is further estimated to propel the market growth in the Asia Pacific region.
Brightvolt Solid State Batteries, a global market leader in the design, development, and manufacturing of solid-state lithium-ion batteries, raised USD 16 million in a Series B financing round. The funding was led by New Science Ventures and Caterpillar Venture Capital Inc. The company will target the industrial electrification and e-mobility markets with the use of the raised funds.
Imprint Energy, Inc., a renowned market leader in flexible, rechargeable battery development, announced that the company has successfully secured a new investment of approximately USD 5 million. Investors included Semtech (Imprint's technology partner), the u.life fund, and Phoenix Venture Partners. The fresh funds will be used to advance the development of ultrathin flexible batteries.
In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
Author Credits: Payel Roy, Dhruv Bhatia
Ans: Rising adoption of smartphones and tablets and increased research and development expenditure are the major factors driving the market growth.
Ans: The market is anticipated to attain a CAGR of ~25% over the forecast period, i.e., 2023 – 2035.
Ans: Shorter operational life as compared to traditional batteries is estimated to be the growth hindering factor for the market expansion.
Ans: The market in the North American region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.
Ans: The major players in the market are Enfucell Oy, STMicroelectronics International N.V., LG Chem, Ltd., Cymbet Corporation, Imprint Energy Inc, Jenax Inc., Samsung SDI Co., Ltd., Excellatron Solid State, LLC, and others.
Ans: The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue generating capacity as well as the new products being launched into the market by the company.
Ans: The market is segmented by battery type, voltage, application, and by region.
Ans: The rechargeable segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.
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