Connector Market Trends and Forecast
Lucintel finds that the future of the global connector market looks promising with opportunities in the transportation, telecom/datacom, computer and peripheral, industrial, and consumer electronics industries. The global connector market is expected to reach an estimated $98 billion by 2030 with a CAGR of 4% from 2023 to 2030. The major drivers for this market are technological advancement and innovations, expansion of electronics and consumer devices, and rise in electric vehicles.
Connectors are essential components used in electrical and electronic systems to establish reliable connections for transmitting signals, power, or both. They are usually made up of various components that ensure a reliable passage of current, mechanical strength and durability.
• Lucintel forecasts that PCB connectors will remain the largest segment due to growth in the computer, consumer electronics, and communication end use industries
• Transportation will remain the largest end use industry and witness the highest growth during the forecast period due to increasing electronic content in vehicles, increasing need for safety systems, and growing demand for hybrid and electric vehicles.
• Asia Pacific will remain the largest region, and it is also expected to witness the highest growth over the forecast period, supported by increasing automotive production.
Country wise Outlook for the Connector Market
The connector market is witnessing substantial growth globally, driven by increased demand from various industries such as transportation, consumer electronics, computers and peripherals, industrial, and telecom/Datacom industries. Major players in the market are expanding their operations and forming strategic partnerships to strengthen their positions. Below image highlights recent developments by major supercapacitor producers in key regions: the USA, Germany, China, Japan, India and Brazil.
Emerging Trends in the Connector Market
The connector marketÄX%$%Xs size has been expanding rapidly, driven by the increasing adoption of connector in various industries. The market size is influenced by factors such as use of high-performance materials like FR-4 or specialized laminates in connectors, additional layers of dielectric and conductive material between PCB layers, and development of high power connectors. The market size is estimated to continue its upward trajectory as industries across the globe seek to improve performance, efficiency, and sustainability.
Emerging trends in connector are shaping its future applications and market dynamics:
1. Use of High-Performance Materials like FR-4 or Specialized Laminates in Connectors: The increasing demand for reliability and efficiency in electronic applications has made use of high-performance materials like FR-4 and specialized laminates in connectors a new vogue. FR-4 is one such widely used epoxy resin laminate that provides excellent electrical insulation, mechanical strength, and thermal stability making it ideal for various types of connectors. Additionally, specialized laminates with low dielectric constants or improved thermal conductivity are being employed to boost signal integrity and minimize losses in high-frequency applications.
These materials enable the connector to endure tough environmental conditions and maintain stability over long periods. Furthermore, when these high-performance materials are incorporated into a connector, they do not only enhance its reliability but also facilitate miniaturization, thereby allowing for more compact designs of modern electronics. This development is especially remarkable in industries including telecommunications, automotive industry as well as consumer electronics where speedy data transfer rates and dependability are most required.
2. Additional Layers of Dielectric and Conductive Material between PCB Layers: Addition of more dielectric and conducting materials between PCB layers enables better signal integrity, reduction in EMI, and improved thermal management. In terms of using specialized dielectrics that have lower dielectric constants, this allows for higher speeds and less loss in frequency division applications. In addition, these conductive layers help to optimize power distribution as well as grounding within complex circuit designs. Through this layered approach manufacturers are able to come up with smaller yet more efficient printed circuit boards (PCBs) that can support advanced technologies such as HDI and multilayered boards. By extension, it supports the increasing demand for high-performance electronics in sectors like telecommunication, automotive or aerospace where reliability and efficiency are vital.
3. Development of High Power Connectors: The burgeoning need for dependable electrical connections in high-performance applications has spurred the growth of high-power connectors. These connectors are essential in automotive, industrial automation, and renewable energy because they are capable of handling increased current levels and improving thermal management. They usually have a solid design, better contact materials and advanced insulation techniques to make them reliable and safer for tough usage conditions. In addition, there have been developments that help to reduce sizes without compromising performance arising from the quest for compactness and efficiency in modern electronics. A good example is electric vehicles or power distribution systems where high power density as well as reliability are critical. Therefore, the continuous improvement of technology will be important because it would enable more sectors to meet rising energy needs while concentrating on developing high-power connectors.
4. Smart Connectors: The integration of sensors, communication capabilities and other smart technologies into connector designs enhances their functions and monitoring capacities thereby leading to an increasing number of IoT applications.
5. Advanced Materials: Use of specialized laminates, composites among other high-performance materials is on the rise to increase durability, thermal management as well as electrical performance of connectors.
6. High-Speed Connectivity: With 5G expansion and demand for high-speed data transfer capability; there is need for connectors supporting larger bandwidths while reducing signal loss primarily for telecommunication networks and data centers.
7. Environmental Sustainability: Compliance with regulations regarding eco-friendly materials coupled with consumer preference for sustainable solutions in making connectors has become imperative.
A total of 95 figures / charts and 73 tables are provided in this 231-page report to help in your business decisions. A sample figure with insights is shown below.
Recent Developments in the Connector Market
Recent developments in connector market which highlights ongoing innovations and advancements across different sectors:
• High-Speed Data Transmission: The rise of 5G communication, the Internet of Things (IoT), autonomous vehicles and other data intensive applications have led to a heightened need for connectors that can facilitate high-speed data transmission. Recently, attention has been on connectors with increased bandwidths, reduced latencies and improved signal integrity to meet these needs.
• Miniaturization and High Density: In order to produce smaller and more compact electronic devices there is an increasing emphasis on miniaturization and densification of connectors. While suppliers are making their connectors perform better even though they have smaller pitches, smaller form factors and bigger contact densities.
• Power and Signal Integration: Connectors that can transmit both power and signals within the same interface are needed. This allows for easier design processes as well as lowering down assembly complexities while reducing costs in automotive electronics, industrial automation, consumer electronics etc.
• Robustness and Reliability: Connectors must be able to operate uninterrupted in harsh environments such as very hot or very cold weather conditions, vibrations, moisture or dust. Presently available are hardy-connectors which have higher durability ratings due to advanced sealing techniques used in their manufacture thus enabling them to pass through stringent reliability tests in areas like aerospace defense equipment industry.
• Modularity and Customization: There is a growing demand for connectors that offer modularity and customization features to suit specific application requirements. Interchangeable modules, configurable layouts with no tool assembly connector systems that provide flexibility plus scalability are under development by suppliers.
• Smart and Connected Connectors: Industry 4.0 encompasses smart manufacturing concepts where sensors enabled connecters were created; these contain self diagnostic modes as well as real-time performance monitoring capabilities which enables predictive maintenance. Such features allow for maintenance prediction relevant to time based on live output information gathered from the connector itself hence giving it an intelligent functionality.
• Environmental Sustainability: There is a concern about environmental friendly practices in relation to connectors. These include using recyclable materials when manufacturing connectors, reducing energy consumption at this stage and complying with regulations governing the use of hazardous substances.
Strategic Growth Opportunities for Connector Market
The connector market is well positioned for strong growth due to increasing demand in automotive electronics and rapid adoption of renewable energy. The following presents the strategic growth opportunities in the market of connector:
• Increasing Demand in Automotive Electronics: With the rise of electric vehicles (EVs), hybrid vehicles, and advanced driver-assistance systems (ADAS), there is a growing demand for capacitors that can handle high temperatures, vibrations, and provide stable performance in automotive applications. .
• Rapid Adoption of Renewable Energy: The transition towards renewable energy sources such as solar and wind power requires capacitors for energy storage, power conversion, and grid stabilization. As renewable energy installations increase globally, connectors play a crucial role in improving energy efficiency, reducing power losses, and supporting the integration of intermittent renewable energy sources into the grid.
• Expansion in Consumer Electronics: The proliferation of smartphones, tablets, wearables, and other consumer electronic devices drives the demand for miniaturized, high-performance connectors. Connectors are essential for filtering noise, stabilizing power supply voltages, and ensuring reliable operation in compact electronic devices. The trend towards high-speed data transmission and wireless connectivity further fuels connectors demand in consumer electronics.
• Growth in Industrial Automation and IoT: Connectors are integral to industrial automation systems, IoT devices, and smart grid infrastructure. They support power conditioning, energy storage, and voltage regulation in industrial equipment, sensors, and control systems. As industries embrace digitalization and connectivity, connectors will play a critical role in optimizing energy efficiency and operational reliability.
• Advancements in Energy Storage Solutions: Connectors are increasingly recognized for their role in energy storage solutions, offering fast charging and discharging capabilities compared to batteries.
• Technological Innovations in Materials and Design: Ongoing research and development in connector materials, including advancements in dielectric materials and electrode designs, are enhancing capacitor performance, efficiency, and reliability.
Connector Market Driver and Challenges
Connector has a very important role in many industries including transportation, consumer electronics, and computers and peripheral industries. The changing market dynamics are being driven by the technological advancement and innovations, expansion of electronics and consumer devices, and rise in electric vehicles. However, challenges like supply chain disruption and raw material cost, miniaturization and performance demands, and quality control and reliability issues to sustain growth and innovation in the capacitor market. The factors responsible for driving the capacitor market include:
• Technological Advancements and Innovations: Continuous advancements in connector technologies, including miniaturization, high-speed data transmission, and robust designs, drive market growth. Innovations such as high-density interconnects (HDI), hybrid connectors, and modular designs cater to evolving industry requirements for smaller, more efficient, and reliable connectors.
• Expansion of Electronics and Consumer Devices: The proliferation of smartphones, tablets, wearables, and IoT devices fuels demand for connectors that support compact designs, high-speed data connectivity, and durability. Connectors are integral to enabling seamless integration of sensors, cameras, and other functionalities in consumer electronics, driving market growth.
• Rise in Electric Vehicles (EVs) and Autonomous Vehicles: The shift towards electric vehicles (EVs) and autonomous driving technologies requires connectors for power distribution, battery management, charging infrastructure, and onboard electronics. Connectors that offer high power handling capabilities, safety features, and reliability are essential for supporting the electrification and connectivity trends in the automotive industry.
• Expansion of Telecommunications and Data Centers: The deployment of 5G networks, expansion of data centers, and increasing demand for cloud computing drive the need for high-performance connectors. Connectors that support high-frequency signals, low latency communication, and high-density interconnects play a critical role in enabling faster data transmission and enhancing network reliability.
• Aerospace and Defense Applications: Connectors are essential components in aerospace and defense applications, including avionics, radar systems, communication networks, and military vehicles. The demand for connectors with high reliability, ruggedness, and resistance to extreme environmental conditions supports defense modernization programs and aerospace innovations.
• Medical Device Innovations: The healthcare sector relies on connectors for medical devices, diagnostic equipment, imaging systems, and patient monitoring solutions. Connectors that ensure secure and reliable electrical connections, sterilization compatibility, and compliance with stringent medical standards contribute to advancements in healthcare technology and patient care.
• Renewable Energy and Sustainable Technologies: Connectors play a vital role in renewable energy systems such as solar panels, wind turbines, energy storage systems, and electric vehicle charging stations. The transition towards sustainable energy solutions drives the demand for connectors that support high-power transmission, energy efficiency, and reliability in harsh environmental conditions.
Challenges facing the connector market are:
• Miniaturization and Performance Demands: The trend towards miniaturization of electronic devices requires connectors with smaller footprints, yet capable of maintaining high electrical and mechanical performance. Achieving miniaturization without compromising reliability and durability poses a significant challenge for connector manufacturers.
• Quality and Reliability Assurance: Ensuring consistent quality, reliability, and durability of connectors across diverse applications is critical. Challenges include meeting stringent performance specifications, addressing potential issues like contact resistance and mating cycles, and conducting rigorous testing to verify reliability under varied environmental conditions.
• Technological Complexity and Compatibility: The rapid pace of technological advancements necessitates connectors that are compatible with emerging standards, protocols, and communication interfaces. Addressing the complexity of connector design, materials selection, and manufacturing processes to meet evolving industry requirements requires continuous innovation and expertise.
• Supply Chain Disruptions and Raw Material Costs: Connector manufacturers face challenges related to supply chain disruptions, fluctuating raw material prices (e.g., precious metals), and geopolitical factors impacting global trade. These challenges can affect manufacturing costs, lead times, and supply availability, impacting overall market dynamics.
These drivers and challenges necessitate continuous innovation, investment in research & development (R&D), collaboration across industries, technical barriers addressed as well as economic barriers overcome. .
Connector Suppliers and their Market Shares
In this globally competitive market, several key players such as TE Connectivity, Amphenol. Molex, Hon Hai Precision, Volex, etc. dominate the market and contribute to industry’s growth and innovation. These players capture maximum market share. To know the current market share of each of major players, contact us by email at helpdesk@lucintel.com. Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. With these strategies connector companies cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the connector companies profiled in this report includes.
• TE Connectivity
• Amphenol Corporation
• Molex Incorporated
• Hon Hai Precision Industry
• Volex PLC
• Japan Aviation Electronics Industry
• Aptiv Plc.
• Hirose Electric Co.
• Rosenberger
• Yazaki Co.
• Luxshare ICT
• UCAP Power
These companies have established themselves as leaders in the connector industry, with extensive product portfolios, global presence, and strong research and development capabilities. They continually strive to enhance their market positions through strategic partnerships, mergers and acquisitions, and product innovations.
The market share dynamics within the connector market are evolving, with the entry of new players and the emergence of connector technologies. Additionally, collaborations between component suppliers, manufacturers, and end-users are fostering technological advancements and expanding market opportunities.
Connector Market by Segment
Connectors play a crucial role in various industries by facilitating the transfer of signals, power, and data between electronic devices and systems. The global connector market has witnessed significant growth in recent years, driven by the increasing demand for seamless connectivity solutions across sectors such as transportation, consumer electronics, computers and peripherals, industrial, and telecom/datacom industries. .
This connector market report provides a comprehensive analysis of the marketÄX%$%Xs current trends, growth drivers, challenges, and future prospects in all major segments like above. It covers various segments, including product type and end use industry. The report offers insights into regional dynamics, highlighting the major markets for connector and their growth potentials. The study includes trends and forecast for the global connector market by product type, end use industry, and region as follows:
Connector Market by Product Type [Value ($M) Shipment Analysis for 2018 – 2030]:
• PCB (Printed Circuit Board) Connectors
• Rectangular I/O
• Application Specific Connectors
• Fiber Optic Connectors
• RF (Radio Frequency) Coax
• Circular Connectors
• IC (Integrated Circuit) Sockets
• Others
Connector Market by End Use Industry [Value ($M) Shipment Analysis for 2018 – 2030]:
• Transportation
• Consumer Electronics
• Computer and Peripherals
• Industrial
• Telecom/Datacom
• Others
Connector Market by Region [Value ($M) Shipment Analysis for 2018 – 2030]:
• North America
o United States
o Canada
o Mexico
• Europe
o Germany
o United Kingdom
o France
o Italy
• Asia Pacific
o China
o Japan
o India
o South Korea
• The Rest of the World
Features of Connector Market
Market Size Estimates: Connector market size estimation in terms of value ($M) and
Trend and Forecast Analysis: Market trends (2018-2023) and forecast (2024-2030) by various segments and regions.
Segmentation Analysis: Market size by product type and end use industry
Regional Analysis: Connector market breakdown by North America, Europe, Asia Pacific, and the Rest of the World.
Growth Opportunities: Analysis of growth opportunities in different product type, end use industry, and regions for the connector market.
Strategic Analysis: This includes M&A, new product development, and competitive landscape for the connector market.
Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
FAQ
Q1. How big is the connector market?
Answer: The global connector market is expected to reach an estimated $98 billion by 2030.
Q2. What is the growth forecast for connector market?
Answer: The connector market is expected to grow at a CAGR of 4% from 2024 to 2030.
Q3.What are the key factors driving the growth of Connector Industry?
Answer: The major drivers for this market are technological advancement and innovations, expansion of electronics and consumer devices, and rise in electric vehicles
Q4. What are the major applications or end use industries for connector?
Answer: Transportation is the major end use industries for connector.
Q5. What are the emerging trends in connector market?
Answer: Emerging trends, which have a direct impact on the dynamics of the industry, include high-performance materials like FR-4 or specialized laminates in connectors, additional layers of dielectric and conductive material between PCB layers, and development of high power connectors.
Q6. Who are the key connector companies?
Answer: Some of the key connector companies are as follows:
• TE Connectivity
• Amphenol Corporation
• Molex Incorporated
• Hon Hai Precision Industry
• Volex PLC
• Japan Aviation Electronics Industry
• Aptiv Plc.
• Hirose Electric Co.
• Rosenberger
• Yazaki Co.
• Luxshare ICT
Q7.Which connector product type segment will be the largest in future?
Answer: Lucintel forecasts that PCB connectors will remain the largest segment due to growth in the computer, consumer electronics, and communication end use industries.
Q8: Who is the largest connector supplier?
Answer: Asia Pacific is expected to remain the largest region and witness the good growth over next 5 years.
Q9. Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% Customization Without any Additional Cost.
This report answers following 11 key questions
Q.1 What are some of the most promising potential, high growth opportunities for the global connector market by product type (PCB (Printed Circuit Board) connectors, fiber optic connectors, rectangular I/O, RF (Radio Frequency) coax, application specific connectors, circular connectors, IC (Integrated circuit) sockets, and others), end use industry (transportation, consumer electronics, computer and peripherals, industrial, telecom/datacom, and others), and region (North America, Europe, Asia Pacific, and the Rest of the World)?
Q. 2 Which segments will grow at a faster pace and why?
Q.3 Which regions will grow at a faster pace and why?
Q.4 What are the key factors affecting market dynamics? What are the drivers and challenges of the market?
Q.5 What are the business risks and threats to the market?
Q.6 What are the emerging trends in this market and the reasons behind them?
Q.7 What are the changing demands of customers in the market?
Q.8 What are the new developments in the market? Which companies are leading these developments?
Q.9 Who are the major players in this market? What strategic initiatives are being implemented by key players for business growth?
Q.10 What are some of the competitive products and processes in this area and how big of a threat do they pose for loss of market share via material or product substitution?
Q.11 What M & A activities have taken place in the last 5 years in this market?
For any questions related to connector market or related to connector market share, connector market analysis, connector market size, automotive connector market, and fiber optic connector market, write to Lucintel analysts at helpdesk@lucintel.com. We will be glad to get back to you soon.