Micro Inverter Market Size
|2019 - 2029
|Market Size (2024)
|USD 3.15 Billion
|Market Size (2029)
|USD 7.74 Billion
|CAGR (2024 - 2029)
|Fastest Growing Market
*Disclaimer: Major Players sorted in no particular order
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Micro Inverter Market Analysis
The Micro Inverter Market size is estimated at USD 3.15 billion in 2024, and is expected to reach USD 7.74 billion by 2029, growing at a CAGR of 19.70% during the forecast period (2024-2029).
The factors like enabling module-level monitoring, easier installation, enhanced design flexibility, removing the need for DC switching points, and better safety than conventional inverters are some factors that are fueling the growth of the micro inverter market.
- Constant R&D activities and significant reductions in the costs of microinverters drive the micro inverter market. Furthermore, the market also receives a considerable boost due to its compact size and versatility. Additionally, the increasing requirement of consumers, based on modularity, safety, and maximum energy harvest, will continue to drive the market at a considerable pace in the forecast period.
- The demand for micro inverters has enabled companies to develop increased battery storage. In April 2022, energy storage provider Yotta Energy, Austin, Texas, announced that it had been awarded a USD 1.97 million contract to install a solar + storage microgrid at Nellis Air Force Base in Las Vegas.
- Due to the varying use of micro inverters, they are widely adopted worldwide. They provide various benefits such as design flexibility and capabilities like producing the maximum power from solar panels through maximum power point tracking (MPPT) technology. These factors have helped the micro-inverter market gain an advantage over other inverters in residential and commercial applications.
- The demand for micro inverters has enabled companies to develop increased battery storage. In April 2022, Yotta Energy of Austin, Texas, was awarded a USD 1.97 million contract to install a solar + storage microgrid at Nellis Air Force Base in Las Vegas. The company believes batteries are headed in the same direction: module-level microstorage. The business is deploying a 52lb, 1kWh lithium-iron-phosphate battery on the same solar module racking gear, which holds the ballast.
- Worldwide renewable electricity capacity is predicted to expand by more than 60% from 2020 to over 4,800 (GW) by 2026, equaling the total global power capacity of fossil fuels and nuclear power combined, according to the International Energy Agency (an intergovernmental agency).
Micro Inverter Market Trends
This section covers the major market trends shaping the Micro Inverter Market according to our research experts:
Residential Segment to Drive the Market Growth
- The increasing adoption of solar photovoltaics in the residential sector in countries such as the United States and Canada is primarily driven by expected savings in electricity costs, the need for an alternative source of electricity, and the desire to mitigate climate change risk. Therefore, boosting the growth opportunities for the micro inverter market.
- During the forecast period, the share of the rooftop solar PV is expected to increase, on account of decreasing solar PV costs, supportive government policies for residential solar PV, FIT programs and incentives, and targets set by various governments for solar energy are some of the critical factors that are driving the micro inverter market.
- The majority of micro-inverter businesses throughout the world provide single-phase devices. Furthermore, considerable demand is observed globally because single-phase power transmission is best adapted for domestic applications, which is likewise among the primary marketplaces for micro-inverters. For example, the residential sector relies on single-phase power transmission in the United States and Europe.
- Continuous technological improvements, including higher solar PV module efficiencies, drive cost reductions. The industrialization of these highly modular technologies has yielded impressive benefits, from economies of scale and greater competition to improved manufacturing processes and supply chains, further accelerating the micro-inverter market growth.
Asia-Pacific to Register Highest Market Growth
- Asia-Pacific is expected to be the fastest-growing market for micro-inverters over the study period. Several countries, such as China, Japan, India, and Australia, are striving to boost their solar PV installation capacity through advanced solar PV systems that could, in turn, enhance electric stability.
- Asia-Pacific has several micro-inverter installations for residential, commercial, and PV power plant applications. Japan and Australia have been the major adopters of micro-inverter technology. Additionally, the growth in residential rooftop solar PV installations in India and Japan encourages manufacturers to cater to the needs of potential customers in this region.
- In countries such as India, China, and Japan, respective governments have laid regulations, reforms, and initiatives for modernizing the power sector.
- In India, the residential PV installation cost is estimated to be USD 1000 per KW, which is higher when compared to its commercial counterpart (USD 692 per KW). However, the Indian installation costs are cheaper than the global average for both residential (USD 1638 per KW) and commercial (USD 1379 per KW). These factors fuel the market growth in the region.
- India is also set to impose a 20% levy on imported solar module cells and inverters in 2021, replacing the current safeguard duty. The levy was proposed by the Indian power minister during a call with industry representatives, confirming that the Prime Minister of India intended to impose a Basic Custom Duty (BCD) of 20% on imports.
Micro Inverter Industry Overview
The micro-inverter market is highly fragmented, and the major players such as Enphase Energy Inc., Altenergy Power System Inc., DARFON, ABB Ltd, and Siemens AG, among others. These market players are using strategies such as new product launches, expansions, partnerships, acquisitions, and others to increase their footprints in this market.
- April 2022 - Yotta Energy announced obtaining USD 3.5 million in new capital, bringing its total Series A funding to USD 16.5 Million. Yotta's total funding is now over USD 25.5 million due to the current funding round and award.
- October 2021 - Enphase Energy, Inc., the world's premier microinverter-based solar and battery system manufacturer, unveiled the Enphase Energy System with IQ8TM solar microinverters for clients in North America. IQ8 is Enphase's most advanced microinverter to date. Unlike rival gadgets, IQ8 can build a microgrid using sunlight throughout a power outage, delivering backup energy without a battery.
Micro Inverter Market Leaders
Enphase Energy Inc.
Altenergy Power System Inc.
*Disclaimer: Major Players sorted in no particular order
Micro Inverter Market News
- September 2022 - Yotta Energy, a storage system manufacturer based in the United States, has introduced a novel three-phase, dual-power microinverter for commercial roofing PV applications. According to the company, the latest DPI microinverters will be offered in 208 V and 480 V variants, with various significant characteristics such as incorporated phase monitoring/phase balancing, UL 1741-SA (Rule 21) compliance, and NEC 2020 690.12 quick shutdown compliance.
- July 2022 - Zhejiang Beny Electric Co. Ltd, a Chinese inverter manufacturer, released a micro-inverter model for household and business PV systems. The micro-inverters are offered in three distinct models, each having a rated power production of 700, 550, and 2,800 volt-amperes.
- May 2022 - APsystems invented a new 97% functional microinverter with a maximum energy supply of 2,000 VA. It is considered especially useful for PV systems with high-power PV modules. The effectiveness rate of the QT2 microinverter is 97%, with a notional maximal power point tracker (MPPT) effectiveness of 99.5%. The normal output voltage varies between 400 and 438 volts, while the configurable power voltage varies between 277 and 478 volts.
Micro Inverter Market Report - Table of Contents
1.1 Study Assumptions and Market Definitions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Rise in benefits and awareness about the renewable energy sources along with increased adoption
4.2.2 Cost-effectiveness and increased developments of these products
4.3 Market Restraints
4.3.1 High installation and maintenance costs
4.4 Industry Value Chain Analysis
4.5 Industry Attractiveness - Porter's Five Forces Analysis
4.5.1 Threat of New Entrants
4.5.2 Bargaining Power of Buyers
4.5.3 Bargaining Power of Suppliers
4.5.4 Threat of Substitute Products
4.5.5 Intensity of Competitive Rivalry
4.6 Assessment of Impact of Covid-19 on the Micro Inverter Market
5. MARKET SEGMENTATION
5.1 By Type
5.1.1 Single Phase
5.1.2 Three Phase
5.2 By Communication Technology
5.3 By Sales Channel
5.4 By Application
5.4.3 PV Power Plant
5.5.1 North America
5.5.4 Rest of the World
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 Enphase Energy Inc.
6.1.2 Altenergy Power System Inc.
6.1.4 ABB Ltd
6.1.5 Siemens AG
6.1.6 Zhejiang Envertech Corporation Limited
6.1.7 Omnik New Energy
6.1.8 Sunpower Corporation
6.1.10 AEconversion GmbH & Co. KG
6.1.11 SMA Solar Technology AG
6.1.12 Sparq Systems
6.1.13 Sensata Technologies Inc.
6.1.14 EnluxSolar Co. Ltd
6.1.15 Delta Energy Systems
6.1.16 SolarEdge Technologies Inc.
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. MARKET OPPORTUNITIES AND FUTURE TRENDS
Micro Inverter Market Research FAQs
How big is the Micro Inverter Market?
The Micro Inverter Market size is expected to reach USD 3.15 billion in 2024 and grow at a CAGR of 19.70% to reach USD 7.74 billion by 2029.
What is the current Micro Inverter Market size?
In 2024, the Micro Inverter Market size is expected to reach USD 3.15 billion.
Who are the key players in Micro Inverter Market?
Enphase Energy Inc., Altenergy Power System Inc., Siemens AG , ABB Group and DARFON are the major companies operating in the Micro Inverter Market.
Which is the fastest growing region in Micro Inverter Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Micro Inverter Market?
In 2024, the North America accounts for the largest market share in Micro Inverter Market.
What years does this Micro Inverter Market cover, and what was the market size in 2023?
In 2023, the Micro Inverter Market size was estimated at USD 2.63 billion. The report covers the Micro Inverter Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Micro Inverter Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Micro Inverter Industry Report
Statistics for the 2024 Micro Inverter market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Micro Inverter analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.