SiC-on-insulator (SiCOI) Film Market Size, Share, and Industry Analysis, By Substrate (Silicon (Si) Substrate, Silicon Carbide (SiC) Substrate, Sapphire Substrate, and Others), By Wafer Size (100 mm (4 inch) Warfare, 150 mm (6 inch) Warfare, 200 mm (8 inch) Warfare, and 300 mm (12 inch) Warfare); By Technology (Smart Cut Technology and Grinding/Polishing/Bonding Technology); By Application (Power Electronics, Aerospace and Defense, Automotive, Consumer Electronics, and Others); and Regional Forecast, 2026-2034

The global SiC-on-insulator film market size was valued at USD 2.29 billion in 2025. The market is projected to grow from USD 4.58 billion in 2026 to USD 1163.85 billion by 2034, exhibiting a CAGR of 99.83% during the forecast period.

The global SiC-on-insulator (SiCOI) film market is rapidly expanding owing to the escalated demand for high-power electronics. They are a form of semiconductor material that combines silicon dioxide's (SiO2) insulating qualities with silicon carbide's (SiC) better electrical properties. In comparison to conventional silicon-based semiconductors, this combination produces a material that is capable of supporting greater power densities, functioning at higher temperatures, and switching at higher frequencies. 

•  In the 150 mm SiCOI film market, SOITEC, a leader in the market is providing solutions for power electronics in EVs, renewable energy systems, and industrial applications. In addition, SOITEC, a top producer, uses its unique Smart Cut method to make these 150 mm SiCOI Film to meet the increasing demand.

Impact of Generative AI on the SiC-on-insulator (SiCOI) Film Market

Generative artificial intelligence (AI) has a significant impact on SiC-on-insulator (SiCOI) film industry as it enhances R&D through material design and process optimization, leading to more efficient manufacturing. By automating predictive maintenance and problem identification which are essential for quality control and inspection, it guarantees increased product consistency. AI finds new applications, which aids in innovation and product creation. By reducing waste in manufacturing processes and increasing energy efficiency, it also promotes sustainability.

SiC-on-insulator (SiCOI) Film Market Driver

Increased Demand for High-Power Electronics as EV Adoption Grows

The demand for high-power electronics is continuously expanding across multiple industries, driven by factors such as increased demand for electric vehicles, the expansion of renewable energy infrastructure, and the adoption of automation technology in industrial processes. As an instance, the automobile industry is rapidly transitioning to electric vehicles (EV), driven by concerns about environmental sustainability and government legislation aimed at lowering car emission levels. This shift toward EVs requires improved power electronics systems capable of efficiently controlling high voltages and currents, creating a demand for semiconductor materials such as SICOI film.

• According to the International Energy Agency (IEA), the global electric vehicle (EV) industry is predicted to expand by 35% per year, driving up the demand for high-power electronics such as SiCOI films. Furthermore, a statement from Wolfspeed stated that the use of SiCOI films in power electronics is increasing due to their superior performance in handling high voltages and currents, with the company's revenue from SiC-based products expected to double by 2026.

SiC-on-insulator (SiCOI) Film Market Restraint

High Cost and Complexity of the Manufacturing Process May Hamper Market Expansion

The high cost of production is a significant obstacle for many businesses, particularly small and medium-sized operations, which may require additional resources to invest in the costly equipment and processes required to generate high-quality SiC crystals. The manufacturing process for SiC-on-insulator and other substrates is extremely complex, requiring specific skills in areas such as epitaxial growth, doping, and device fabrication. This complexity drives up production costs, making it difficult for businesses to attain economies of scale and lower pricing. Furthermore, the requirement for increased standardization in the manufacturing procedure, as well as reliance on a small number of suppliers for high-quality SiC crystals, contribute to the high production costs.

• X-FAB Silicon Foundries stated that the cost of producing SiCOI films remained expensive due to the complexity of processes such as epitaxial growth and doping, with production costs estimated to be up to 40% higher than those for regular silicon wafers. Furthermore, Soitec revealed that the advanced equipment required for high-quality SiC crystal production incurs large capital expenditures, which can surpass USD 20 million per plant, underscoring the financial constraints to increasing output.

SiC-on-insulator (SiCOI) Film Market Opportunity

Developments in Power Electronics

SICOI film offers an appealing solution for upgrading power electronics due to its strong electrical conductivity and thermal stability. These features address significant challenges that current power electronics face, such as power handling limitations and operating frequencies. SICO film has the potential to enable the development of more powerful devices capable of meeting the demands of applications such as renewable energy integration and electric vehicle charging systems. Furthermore, its characteristics suggest the possibility of high-frequency operation, resulting in more compact and efficient power electronic systems.

Segmentation

Key Insights

The report covers the following key insights:

• Micro Macro Economic Indicators
• Drivers, Restraints, Trends, and Opportunities
• Business Strategies Adopted by Key Players
• Consolidated SWOT Analysis of Key Players

Analysis by Substrate:

Based on substrate, the market is fragmented into silicon (Si) substrate, silicon carbide (SiC) substrate, sapphire substrate, and others.

The several substrates for SiCOI Film, including silicon, silicon carbide (SiC), and sapphire, have an impact on the film’s functionality, longevity, and application. In particular, the SiC substrate is extremely desirable due to its excellent electrical and thermal properties, which are necessary for high-frequency and high-power devices. Experts predict a sharp rise in SiC substrate demand, driven by the growing demand for electric cars and power electronics.

• With a compound annual growth rate (CAGR) of more than 20%, the global market for SiC substrates is expected to reach USD 700 million by 2024, up from its estimated USD 300 million valuation in 2020.

Analysis by Wafer Size:  

Based on wafer size, the market is fragmented into 100 mm (4 inch) warfare, 150 mm (6 inch) warfare, 200 mm (8 inch) warfare, and 300 mm (12 inch) warfare.

The wafers have a diameter ranging from 100 mm to 300 mm. It is recommended to utilize larger wafers, such 200 mm and 300 mm, as they can be produced more inexpensively and efficiently. As manufacturers strive to reduce expenses and increase productivity, larger wafer sizes are becoming more common. The market for 300-mm wafers is expected to grow substantially as a result of advancements in semiconductor manufacturing technologies. A 30% reduction in manufacturing costs and an increase in production capacity are predicted when 300-mm wafers are used.

• Taiwan Semiconductor Manufacturing Company (TSMC) has revealed that 300-mm wafers now account for more than 80% of its manufacturing, highlighting their cost efficiency and increasing capacity. The company stated that the switch to 300-mm wafers resulted in a 30% decrease in manufacturing costs, which is consistent with industry trends toward larger wafer sizes for increased productivity and cost reductions.

Analysis by Technology: 

Based on technology, the market is fragmented into smart cut technology and grinding/polishing/bonding technology.

This division relates to the procedures and technologies, such as bonding, grinding, and polishing, that are employed in the production of SiCOI Film. These technologies affect the finished product’s capacity, accuracy, and quality. In particular, an effective thin-film move made possible by smart-cut technology improves material utilization and lowers production costs. The market is expanding due to innovations in these technologies, with smart-cut technology alone helping to reduce costs in some production processes by up to 50%

• In a recent industry update, Soitec stated that its smart-cut technology has enabled up to a 50% decrease in production costs for silicon-on-insulator (SOI) wafers, emphasizing significant efficiency advantages in semiconductor manufacturing.

Analysis by Application:

Based on application, the market is fragmented into power electronics, aerospace and defense, automotive, consumer electronics, and others.

The power electronics segment is expanding significantly due to the rising usage of renewable energy sources and electric vehicles.  SiCOI Film are crucial to the development of trustworthy and efficient power management systems for electric and hybrid cars, which is another significant driver in the automotive industry.

• In a recent development, Infineon Technologies announced a USD 2.5 billion investment in expanding its power electronics facilities to meet the rising demand in the renewable energy and electric car industries. This investment underscores the growing importance of innovative materials, such as SiCOI Film, in developing effective power management systems for different uses.

Regional Analysis

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Based on region, the market has been studied across North America, South America, Europe, the Middle East & Africa, and Asia Pacific.

As of 2023, North America held a commanding 40% of the global market share. Innovation and acceptance of new technologies are highly valued, especially in sectors such as automotive, aerospace, and telecommunications where SiCOI Film are used in a variety of ways. Furthermore, strong investments and supportive regulatory environments encourage market growth. Additionally, research institutes and industrial firms forming strategic alliances promote innovations and market expansion in the area.

The SiC-on-Insulator (SICOI) film market is expanding significantly in the Asia Pacific area due to government spending on cutting-edge semiconductors, the presence of top SiCOI producers, and robust demand from the electronics industry. SiC and SiCOI technologies are receiving significant government funding, and major producers such as Isabers Materials and SIOXS CORPORATION are growing their output. Strong demand from the consumer electronics, automotive, and renewable energy sectors is driving the SICOI film market growth in the Asia Pacific region.

• In China, Semiconductor Manufacturing International Corporation (SMIC) announced a USD 2.35 billion investment in expanding its capacity for advanced semiconductor nodes, including SiC technologies.
• South Korea based company Samsung has committed over USD 116 billion by 2030 to semiconductor R&D, including substantial portions dedicated to advanced materials such as SiC.

Distribution of SiC-on-insulator (SiCOI) Film Market, By Region of Origin:

• North America – 35%
• South America – 5%
• Europe – 30%
• Middle East and Africa – 5%
• Asia Pacific – 25%

Key Players Covered

The key players in this market include:

• Soitec (France)
• Sicoxs Corporation (Japan)
• SICC Co., Ltd. (China)
• Xiamen Powerway Advanced Material Co. Ltd (China)
• Wolfspeed Inc. (U.S.)
• MTI Corporation (U.S.)
• Hebei Synlight Semiconductor Co., Ltd. (China)
• GlobalWafers Co. Ltd. (Taiwan)
• Coherent Corporation (U.S.)
• Ceramicforum Co. Ltd. (Japan)

Key Industry Developments

• November 2023: ROHM completed the acquisition of the assets from Solar Frontier's Kunitomi Plant in Japan, subject to preliminary agreements. This plant is now known as Miyazaki Plant No.2, and it is run by LAPIS Semiconductor, a ROHM affiliate. This factory, which is expected to start operations in 2024, will be the primary hub for the fabrication of SiC power devices. Its construction will be in line with ROHM's increased production strategy, which is detailed in their Medium-Term Management Plan.
• October 2023: The silicon wafer maker Globalwafers intends to begin mass-producing a cutting-edge chip substrate by 2025 to meet the rapidly increasing demand for power semiconductors in the automotive industry.
• May 2023: Hitachi Energy inaugurated a new SiC e-Mobility production line in Lenzburg, Switzerland. This is an example of smart manufacturing, and the fully automated production line includes fully integrated data systems.