Focus on the photovoltaic inverter segment

What drives the PV inverter market?

The PV inverter market is poised to grow significantly over the next five years, driven by declining prices of solar panels and supportive government policies and regulations around the world. Major drivers for the market include countries mandating renewable energy generation targets and incentives for rooftop solar installations.

What are solar PV inverters?

Solar PV inverters are an integral part of larger solar systems. These inverters convert direct current (DC) electricity to alternate current (AC) and hence determine efficiency of whole solar system. Solar PV inverters are available with distinct characteristics and features and consider different factors affecting solar system production.

What is the market share of solar PV inverters in 2023?

According to the Solar Energy Industries Association (SEIA), prices for solar PV installations have fallen 43% over the last 10 years in California, U.S. Based on product, the string PV inverter segment emerged as the leading segment with the maximum revenue share of 47.10% in 2023.

How big is the PV inverter market?

The PV inverter market size is valued at US$ 15.28 billion by 2024, from US$ 41.87 billion in 2031, at a CAGR of 15.5% during the forecast period.

How big is the Asia Pacific PV inverter market?

The Asia Pacific PV inverter market size held over USD 10.5 billion in 2022. Developing countries and regions with favorable solar conditions have become significant markets for PV inverters and solar installations. Stringent environmental regulations to increase adoption of renewable energy including solar will augment the business scenario.

How competitive is the market for PV inverters?

The market for PV inverters is highly competitive and moderately fragmented due to the presence of numerous market players. The dominant trend in operations of these solar companies includes vertical integration, which defends against market power and reduces competition.