Yole Group unveils the 2025 edition of its ‘Power SiC: Market & Applications’ report, delivering a deep dive into SiC‘s evolving global landscape, covering device markets, supply chains, and strategic developments across applications.
While the SiC device market is poised to reach $10.3 billion by 2030, a temporary slowdown in EV sales in 2024 is delaying demand for both devices and wafers, causing a cautious reassessment among market leaders. Impacts on revenue are expected in the short term, leading companies to revise their CapEx and OpEx strategies, including inventory and capacity expansion.
Nevertheless, momentum continues across high-voltage automotive platforms. More 800V EV model launches result in higher SiC adoption than with 400V fleets, announced Yole Group in its 2025 Power SiC report. In addition, industrial applications, ranging from EV chargers to photovoltaics and high-power data centres, are also increasingly integrating SiC technologies. A $200 million opportunity is projected in data centre infrastructure alone over the next five years.
Poshun ChiuPrincipal Analyst, Compound Semiconductors at Yole Group: “SiC is entering a new phase of maturity. Despite short-term volatility, long-term growth remains robust, with automotive electrification and industrial diversification as its twin engines.”
Technology trends: 8″ platform & IDMs dominate
The transition to 8″ SiC wafers progressed significantly in 2024. Wolfspeed became the first to generate more revenue from 8″ than 6″, while Infineon and Bosch are entering production in 2025. Qualification activities are ongoing across the industry, aiming for broader deployment by 2026.
Supply-wise, 8″ wafer availability has improved thanks to players like SICC, which now delivers in high volume to the open market. Wolfspeed has also announced its intent to supply 8″ wafers externally.
As of 2025, the IDM model dominates, integrating design, device manufacturing, and packaging to align with the stringent requirements of automotive customers. Internally managed wafer capacity is becoming a strategic priority to support R&D and mitigate geopolitical uncertainties.
Additionally, 12″ SiC wafers have been demonstrated by multiple Chinese wafer suppliers. However, this does not target platforms for device manufacturing, as the 8″ transition will still take time to ramp up. The positive side of the massive capacity build-up at the wafer level is the opening of opportunities to use SiC in new applications, such as AR/VR glasses requiring some cm2 of area.
“Wafer integration is no longer optional – it’s a strategic imperative,” explains Poshun Chiu at Yole Group. “From risk mitigation to performance optimisation, vertical integration gives IDM players the edge.”
Geopolitics, China’s rise, and the foundry question
Announcements of global investment in SiC have exceeded $30 billion, with significant initiatives in the US, Europe, and Asia, particularly in Japan and China, which is accelerating domestic device production. International players, such as STMicroelectronics and Infineon Technologies, are expanding into Southeast Asia, while also forming joint ventures in China.
Meanwhile, foundry participation remains small (single-digit share of device revenue) but is growing. With new entrants and 8″ lines announced, the foundry segment is set to expand, particularly as SiC moves deeper into industrial, datacom, and consumer applications, though IDMs will remain dominant for the foreseeable future.
