The research study by Technavio on the global solid state battery market for 2017-2021 covers transportation, grid storage and consumer electronics across the Americas, Europe and Asia. Nearly half the market ($794m) will come from the US market by 2021.
Solid state batteries contain a solid electrolyte which makes them very compact and gives them a longer lifespan, making them suitable for use in consumer electronics such as smartphones and other gadgets.
The growth in the market is set to be driven by improved consumer spending, increased shipments of smart wearables, although the latest IoT chip predictions see slight slowdown in this area, and increased government support for electric vehicles.
“Consumer spending is a significant economic factor since it usually matches with the overall consumer confidence in a nation’s economy. High consumer confidence indicators typically translate to increased sales of high-drain electronics, boosting the demand for solid state batteries,” says Thanikachalam Chandrasekaran, a lead analyst at Technavio for energy storage research.
The growth in global consumer expenditure is expected to accelerate during the forecast period mostly on account of the recovery of the cost involved in key emerging markets. Further, rising incomes are contributing to a higher consumption rate in Asia. Developing economies, such as China and India, offer a lucrative market for solid state battery vendors.
Smart wearables, such as smartwatches, smart bands, and smart glasses have been revamped and introduced with added functionalities pertaining to health and wellness, security, and payment portals. The rising demand for wearables has established a stable revenue generation channel for solid state batteries says Chandrasekaran.
“The technological innovations have drawn R&D investments. This trend is witnessed in the transportation sector, where the rising fuel prices and limited oil reserves have led to an increased focus on alternate fuel vehicles, and improvement in battery technology and electric vehicles,” said Chandrasekaran.
The report is at www.technavio.com/report/global-solid-state-battery-market