
Study Period | 2021 - 2030 |
Market Size (2025) | USD 14.33 Billion |
Market Size (2030) | USD 18.05 Billion |
CAGR (2025 - 2030) | 4.73 % |
Fastest Growing Market | Asia Pacific |
Largest Market | Asia Pacific |
Market Concentration | Low |
Major Players![]() *Disclaimer: Major Players sorted in no particular order |
Solar PV Inverter Market Analysis
The Solar PV Inverters Market size is estimated at USD 14.33 billion in 2025, and is expected to reach USD 18.05 billion by 2030, at a CAGR of 4.73% during the forecast period (2025-2030).
The solar PV inverter industry is experiencing significant technological advancement and innovation, particularly in improving power conversion efficiency and smart functionality. Modern photovoltaic inverter systems are achieving peak efficiency ratings of 98.8-99%, representing substantial improvements in power optimization and reduced energy losses. Manufacturers are incorporating features like AI-powered arc detection, smart monitoring capabilities, and enhanced grid support functions to make inverters more intelligent and grid-interactive. These technological developments are enabling better system performance, improved safety, and more sophisticated power management capabilities.
The residential and commercial solar sectors are witnessing robust growth, driven by declining system costs and improved product offerings. In the United States, residential solar PV installations reached 23.3 GW in 2021, demonstrating strong consumer adoption. The average solar PV inverter price of PV systems has decreased significantly to $1.38 per watt in 2021, making solar installations more economically attractive for property owners. PV inverter manufacturers are responding to this trend by developing more compact, efficient, and user-friendly products specifically designed for residential and commercial applications.
Energy storage integration has emerged as a crucial trend in the solar PV inverter market, with manufacturers developing hybrid inverter solutions that seamlessly combine solar and battery systems. This is exemplified by recent projects like FIMER's 18MWh battery energy storage system implementation in Gujarat, India, showcasing the growing importance of storage-ready inverter solutions. Hybrid inverters are becoming increasingly sophisticated, offering features like backup power capability, time-of-use optimization, and smart energy management to maximize self-consumption and grid independence.
The market is experiencing a shift toward more distributed and decentralized solar installations, supported by evolving grid infrastructure and regulatory frameworks. The United Arab Emirates exemplifies this trend, having expanded its solar capacity to 2,605 MW in 2021 through a combination of utility-scale and distributed projects. Inverter manufacturers are adapting their product portfolios to address various installation scales, from small residential systems to large commercial installations, while ensuring compliance with increasingly complex grid codes and power quality requirements. This trend is driving the development of more versatile and adaptable inverter solutions that can support different system configurations and grid integration requirements, as evidenced by the growing inverter market.
Solar PV Inverter Market Trends
Growing Renewable Energy Adoption & Government Support Initiatives
Government initiatives and supportive policies across the globe have become instrumental in driving the solar PV inverter market forward. The European Commission, under the Renewable Energy Power European Union (REPowerEU) plan, has set ambitious targets to bring 320 GW of solar photovoltaic online by 2025, creating substantial opportunities for photovoltaic inverter manufacturers. Additionally, many countries have implemented specific reformatory measures aimed at attracting capital investments in the solar energy sector, such as feed-in tariffs, net metering policies, and investment subsidies, which directly stimulate the demand for solar power inverters.
The commitment to renewable energy transition is particularly evident in emerging economies. For instance, India's solar potential exceeds 750 GW, and the government has launched several progressive programs like Solar Rooftop Phase-2, PM-KUSUM, and the development of Ultra Mega Renewable Energy Power Parks (UMREPPs). Similarly, China has implemented a zero-voltage ride through (ZVRT) scheme for solar inverters, mandating that solar PV power plants must continue to operate without breaking, which has led to increased demand for advanced inverter technologies. These initiatives, coupled with increasing environmental awareness and energy security concerns, are creating a robust foundation for sustained growth in the solar PV inverter market.
Technological Advancements and Cost Reduction
The solar inverter market share is experiencing significant growth driven by continuous technological innovations that enhance efficiency and reduce costs. Modern central inverters now feature advanced capabilities such as 1,500V input voltage systems, which require fewer balance of system (BOS) components, leading to reduced installation and maintenance costs. The development of modular inverter systems has also revolutionized the market, offering benefits such as maintained power output during partial failures and improved energy harvest through multi-MPPT systems, making solar installations more reliable and efficient.
The industry has witnessed remarkable improvements in inverter efficiency, with newer models achieving peak efficiency ratings of 98-99%. These advancements include sophisticated features like master-slave control approaches for maximizing efficiency in low-insolation environments and DC-DC boost stages for increased MPP voltage range flexibility. Furthermore, manufacturers are introducing innovative products like Sungrow's 1+X modular inverter, which can be combined into eight units to reach a power of 8.8 MW and includes integration capabilities with energy storage systems, demonstrating the industry's commitment to technological evolution and cost optimization.
Integration with Smart Grid Systems and Energy Storage
The increasing complexity of power grids and the need for sophisticated energy management systems have positioned solar power inverters as crucial components in modern energy infrastructure. Modern inverters are being designed with advanced grid support capabilities, including voltage and frequency regulation, reactive power control, and seamless integration with energy storage systems. These features are essential for maintaining grid stability as the penetration of renewable energy sources continues to grow, making inverters an integral part of smart grid development.
The evolution of photovoltaic inverters has led to the development of hybrid systems that can efficiently manage both solar power generation and energy storage. Manufacturers are incorporating features such as built-in battery management systems and smart monitoring capabilities, allowing for optimal energy utilization and grid support services. For instance, new inverter models now come with DC/ESS interfaces for direct connection to energy storage systems, enabling better power management and grid stability. This integration capability has become increasingly important as utilities and energy providers seek to balance intermittent renewable energy generation with grid demand requirements.
Environmental Regulations and Decarbonization Efforts
Global environmental regulations and decarbonization commitments have emerged as significant drivers for the PV inverter industry. Industries and utilities are increasingly adopting solar power systems as part of their strategy to reduce carbon emissions and comply with environmental regulations. The implementation of carbon taxes and emissions trading schemes in various countries has made solar power installations, along with their essential inverter components, more economically attractive for commercial and industrial users seeking to reduce their carbon footprint.
The push for decarbonization has led to increased investment in utility-scale solar projects, which require sophisticated inverter systems. These large-scale installations demand high-efficiency inverters with advanced features such as reactive power support and grid stability functions. The trend is particularly evident in industrial sectors where companies are setting ambitious renewable energy targets as part of their environmental, social, and governance (ESG) commitments. This has created a strong demand for both central and string inverters that can handle large-scale solar installations while maintaining high efficiency and reliability standards.
Segment Analysis: Inverter Type
Central Inverters Segment in Solar PV Inverters Market
Central inverters continue to dominate the global solar PV inverters market, holding approximately 51% market share in 2024. This dominance is primarily driven by their widespread adoption in utility-scale solar installations and large commercial projects. The segment's leadership position is reinforced by the increasing deployment of mega solar farms and utility-scale projects worldwide, particularly in regions like Asia-Pacific and North America. Central inverters are preferred for these large installations due to their high power handling capacity, cost-effectiveness per watt, and simplified maintenance requirements for utility-scale operations. The segment's strong performance is further supported by technological advancements that have improved their efficiency levels to over 99%, making them increasingly attractive for large-scale solar deployments. The central PV inverter market is expected to continue its robust growth trajectory, driven by these factors.

Micro Inverters Segment in Solar PV Inverters Market
The micro inverters segment is emerging as the fastest-growing category in the solar PV inverters market during the forecast period 2024-2029. This remarkable growth is driven by increasing adoption in residential solar installations and small commercial projects, where module-level power conversion offers significant advantages. The segment's expansion is fueled by technological innovations that have enhanced efficiency while reducing costs, making micro inverters more accessible to residential consumers. Additionally, the growing trend toward smart homes and the integration of solar systems with energy storage solutions has created a favorable environment for micro inverter adoption. The segment's growth is further supported by their ability to optimize individual panel performance, provide detailed monitoring capabilities, and offer enhanced safety features, thus playing a vital role in the residential solar PV inverter market.
Remaining Segments in Inverter Type Market
String inverters represent a significant segment in the solar PV inverters market, bridging the gap between central and micro inverters. This segment serves a crucial role in medium-sized commercial installations and larger residential projects where a balance between cost and performance is essential. String inverters offer advantages such as easier installation, moderate costs, and good efficiency levels, making them particularly attractive for commercial rooftop installations and medium-scale ground-mounted systems. The segment continues to evolve with technological advancements, including improved monitoring capabilities and enhanced grid integration features, maintaining its important position in the overall market landscape. The commercial industrial PV inverter market benefits from these advancements, particularly in string inverter applications.
Segment Analysis: Application
Utility-Scale Segment in Solar PV Inverters Market
The utility-scale segment dominates the global solar PV inverters market, accounting for approximately 59% of the total market share in 2024. This significant market position is driven by the increasing development of large-scale solar power plants worldwide and supportive government policies promoting utility-scale solar installations. The segment's growth is particularly notable in regions like North America and Asia-Pacific, where massive solar farms are being developed to meet renewable energy targets. The utility-scale segment benefits from technological advancements in central inverters, which offer higher power ratings and improved efficiency for large installations. Additionally, the decreasing costs of utility-scale solar projects, coupled with the rising demand for clean energy from industrial consumers and power utilities, continue to drive the segment's expansion. The segment is also witnessing increased adoption of string inverters in utility-scale applications due to their flexibility and improved monitoring capabilities.
Commercial and Industrial Segment in Solar PV Inverters Market
The commercial and industrial (C&I) segment represents a significant growth opportunity in the solar PV inverters market. The segment is experiencing robust expansion driven by increasing adoption of rooftop solar installations among businesses seeking to reduce their carbon footprint and energy costs. Corporate sustainability goals and environmental commitments from large companies like Apple, Walmart, Amazon, and Target are fueling the demand for C&I solar installations. The segment is particularly benefiting from technological innovations in string inverters that offer improved efficiency and monitoring capabilities for commercial applications. Additionally, government incentives and favorable policies supporting commercial solar installations across various regions are contributing to the segment's growth. The trend toward distributed generation and the integration of energy storage solutions in commercial solar systems is further enhancing the segment's market potential.
Remaining Segments in Solar PV Inverters Market
The residential segment continues to play a vital role in shaping the solar PV inverters market landscape. This segment is characterized by the growing adoption of string inverters and microinverters, which are particularly suited for residential applications due to their flexibility and ease of installation. The segment is witnessing increased interest in smart inverter technologies that enable better grid integration and energy management capabilities. Residential solar installations are also benefiting from the rising awareness of energy independence among homeowners and the growing trend of smart home integration. The segment's development is further supported by declining system costs and innovative financing options that make residential solar more accessible to homeowners. The solar inverter size chart is an essential tool for homeowners to select the appropriate inverter size for their specific needs, ensuring optimal performance and cost-effectiveness.
Solar PV Inverters Market Geography Segment Analysis
Solar PV Inverters Market in North America
The North American solar PV inverters market holds approximately 21% of the global inverter market share in 2024, establishing itself as a significant regional market. The region's growth is primarily driven by robust government support through incentive programs and renewable energy targets. The United States leads the market with substantial utility-scale solar installations and a growing residential sector. The market is characterized by high technological adoption, particularly in smart inverter solutions that enable grid integration and energy storage capabilities. Stringent quality standards and grid compliance requirements have led to the development of sophisticated inverter technologies. The region's focus on grid modernization and resilience has created opportunities for advanced inverter functionalities, including reactive power support and voltage regulation. Additionally, the increasing adoption of distributed energy resources and microgrids has boosted demand for string and microinverters in residential and commercial applications. The market also benefits from strong local manufacturing capabilities and a well-established distribution network.

Solar PV Inverters Market in Europe
The European solar PV inverters market has demonstrated steady growth with an approximate 3% CAGR from 2019 to 2024, driven by the region's ambitious renewable energy targets and commitment to carbon neutrality. The market is characterized by sophisticated technological requirements and high-quality standards, particularly in countries like Germany and the Netherlands. European manufacturers have established themselves as global leaders in inverter technology innovation, focusing on high-efficiency solutions and grid integration capabilities. The region's emphasis on building-integrated photovoltaics and energy self-consumption has created a strong market for residential and commercial inverter solutions. Grid regulations across European countries have evolved to accommodate higher penetration of solar power, driving demand for advanced inverter functionalities. The market benefits from strong research and development infrastructure and collaboration between industry stakeholders. Additionally, the growing trend toward energy storage integration has created opportunities for hybrid inverter solutions. The region's mature solar market has also fostered the development of specialized service and maintenance networks for inverter systems.
Solar PV Inverters Market in Asia-Pacific
The Asia-Pacific solar inverter market is projected to grow at approximately 5% CAGR from 2024 to 2029, positioning itself as the fastest-growing regional market globally. China continues to dominate the regional landscape as both a major manufacturer and consumer of solar inverter technologies. The region's market is characterized by a diverse range of applications, from large-scale utility projects to distributed generation systems. Local manufacturers have significantly improved their technological capabilities, competing effectively with international players in both domestic and export markets. The market benefits from cost advantages in manufacturing and economies of scale, particularly in countries like China and India. Government policies supporting solar energy adoption have created a favorable environment for inverter manufacturers. The region's rapid urbanization and industrialization drive demand for both utility-scale and commercial inverter solutions. Additionally, the growing focus on quality and reliability has led to improvements in product standards and performance specifications. The market also sees increasing adoption of smart inverter technologies to address grid stability challenges in developing economies.
Solar PV Inverters Market in South America
The South American solar inverter market is experiencing significant transformation driven by increasing renewable energy adoption across the region. Brazil leads the market with substantial utility-scale solar installations and a growing distributed generation segment. The region's abundant solar resources and improving regulatory frameworks have created favorable conditions for solar PV investments. Market growth is supported by declining system costs and improving financing mechanisms for solar projects. Local distribution networks and partnerships with international manufacturers have strengthened the supply chain for inverter technologies. The market shows particular strength in utility-scale applications, though residential and commercial segments are gaining momentum. Grid integration challenges have led to increased demand for advanced inverter functionalities. The region's diverse geographical conditions have necessitated the development of inverter solutions adapted to various environmental challenges. Additionally, the market benefits from technology transfer and knowledge sharing with more mature markets.
Solar PV Inverters Market in Middle East & Africa
The Middle East and African solar central inverters market is emerging as a significant growth opportunity, driven by ambitious renewable energy targets and increasing investments in solar infrastructure. The region's excellent solar resources and growing energy demand create favorable conditions for market expansion. Countries in the Middle East, particularly Saudi Arabia and the UAE, are leading the adoption of utility-scale solar inverters projects, driving demand for central inverters. The African market shows strong potential in both grid-connected and off-grid applications, with a growing focus on microgrids and rural electrification projects. Market development is supported by improving regulatory frameworks and increasing private sector participation. The region's harsh environmental conditions have led to the adoption of robust inverter solutions designed for high-temperature operation and dust resistance. The market is characterized by a mix of international technology providers and emerging local players. Additionally, the growing focus on energy security and sustainability has created opportunities for innovative inverter solutions adapted to local conditions.
Solar PV Inverter Industry Overview
Top Companies in Solar PV Inverters Market
The global solar PV inverters market is characterized by intense innovation and strategic developments among key players, including FIMER SPA, Schneider Electric, Siemens AG, and Mitsubishi Electric Corporation. Companies are focusing on developing advanced technologies like AI integration, IoT capabilities, and smart monitoring features to enhance inverter performance and grid stability. Strategic partnerships with EPC players, distributors, and technology providers have become increasingly common to expand market reach and technological capabilities. Manufacturers are investing in R&D to develop more efficient and reliable inverter solutions, particularly in areas like micro-inverters and string inverters. The industry has seen a strong push towards developing products with higher power density, improved efficiency ratings, and enhanced grid support features. Companies are also expanding their manufacturing footprint across different regions to better serve local markets and reduce supply chain dependencies. This dynamic landscape underscores the competitive nature of solar power inverter companies striving for technological leadership and market dominance.
Consolidated Market with Strong Regional Players
The solar PV inverter market exhibits a mix of global conglomerates and specialized manufacturers, with different players dominating various regional markets and product segments. Large multinational corporations like Siemens and Schneider Electric leverage their extensive distribution networks and brand reputation to maintain strong market positions, while specialized players like SMA Solar Technology and Enphase Energy focus on technological innovation and product specialization. The market shows moderate consolidation with established players controlling significant PV inverter market share, particularly in utility-scale segments, while the residential and commercial segments remain relatively fragmented with numerous regional players.
The industry has witnessed strategic consolidations through mergers and acquisitions, as exemplified by FIMER's acquisition of ABB's solar inverter business, highlighting the trend of market consolidation to achieve economies of scale and expand technological capabilities. Companies are increasingly forming strategic alliances and partnerships to strengthen their market position and expand their product portfolios. Regional players, particularly in Asia-Pacific, are gaining prominence through competitive pricing strategies and strong local market understanding. The market also sees continuous entry of new players in emerging markets, though high technological barriers and capital requirements limit rapid market penetration. Notably, Sungrow market share has been a point of interest as it reflects the competitive dynamics within the region.
Innovation and Adaptability Drive Market Success
Success in the solar PV inverter market increasingly depends on companies' ability to innovate and adapt to rapidly evolving technological requirements and market demands. Incumbent players must focus on continuous product innovation, particularly in areas like grid integration capabilities, energy storage compatibility, and smart monitoring features. Companies need to maintain strong relationships with solar project developers and EPC contractors while investing in after-sales service networks. The ability to offer comprehensive solution packages, including software platforms for monitoring and management, has become crucial for maintaining market position.
Market contenders can gain ground by focusing on specific market segments or geographic regions where they can build competitive advantages through specialized products or local market expertise. The increasing focus on distributed solar generation and microgrids presents opportunities for companies to develop specialized solutions. Regulatory requirements for grid stability and energy efficiency continue to shape product development strategies, while the growing emphasis on renewable energy integration creates new opportunities for innovative solutions. Companies must also consider the increasing end-user demand for integrated solar-plus-storage solutions and develop products accordingly. Success in this market requires balancing cost competitiveness with product reliability and performance, while maintaining flexibility to adapt to rapidly evolving technology standards and grid requirements. The solar inverter market share 2023 is expected to reflect these trends as companies strive to capture new opportunities and address evolving customer needs.
Solar PV Inverter Market Leaders
-
Mitsubishi Electric Corporation
-
Omron Corporation
-
FIMER SpA
-
Siemens AG
-
Schneider Electric SE
- *Disclaimer: Major Players sorted in no particular order

Solar PV Inverter Market News
- In April 2022, SMA Solar Technology AG, a German inverter manufacturer, launched a new line of four inverters with power ratings of 12kW, 15kW, 20kW, and 25kW for use in rooftop PV systems up to 135kW in size.
- In May 2022, Fimer Spa, an Italy-headquartered solar PV inverter manufacturer, supplied 1 Mega Volt Ampere (MVA) inverters to a solar-plus-storage project with an 18MWh battery energy storage system in Gujarat, India. The company supplied its inverters to the Integrated Solar Energy Project in Modhera. The project belonged to Indian solar PV engineering, procurement, and construction (EPC) solution provider Mahindra Susten Pvt. Ltd and was awarded by the state's utility, Gujarat Power Corporation Limited (GPCL).
Solar PV Inverter Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Scope of the Study
- 1.2 Market Definition
- 1.3 Study Assumptions
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET OVERVIEW
- 4.1 Introduction
- 4.2 Market Size and Demand Forecast in USD billion, till 2027
- 4.3 Recent Trends and Developments
- 4.4 Government Policies and Regulations
-
4.5 Market Dynamics
- 4.5.1 Drivers
- 4.5.2 Restraints
- 4.6 Supply Chain Analysis
-
4.7 Porter's Five Forces Analysis
- 4.7.1 Bargaining Power of Suppliers
- 4.7.2 Bargaining Power of Consumers
- 4.7.3 Threat of New Entrants
- 4.7.4 Threat of Substitute Products and Services
- 4.7.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
-
5.1 By Inverter Type
- 5.1.1 Central Inverters
- 5.1.2 String Inverters
- 5.1.3 Micro Inverters
-
5.2 By Application
- 5.2.1 Residential
- 5.2.2 Commercial and Industrial
- 5.2.3 Utility-scale
-
5.3 By Geography
- 5.3.1 North America
- 5.3.2 Europe
- 5.3.3 Asia-Pacific
- 5.3.4 South America
- 5.3.5 Middle East and Africa
6. COMPETITIVE LANDSCAPE
- 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Strategies Adopted by Leading Players
-
6.3 Company Profiles
- 6.3.1 FIMER SpA
- 6.3.2 Schneider Electric SE
- 6.3.3 Siemens AG
- 6.3.4 Mitsubishi Electric Corporation
- 6.3.5 Omron Corporation
- 6.3.6 General Electric Company
- 6.3.7 SMA Solar Technology AG
- 6.3.8 Delta Energy Systems Inc.
- 6.3.9 Enphase Energy Inc.
- 6.3.10 SolarEdge Technologies Inc.
- 6.3.11 Huawei Technologies Co. Ltd
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Solar PV Inverter Industry Segmentation
A solar PV inverter is a power inverter that converts electricity in direct current (DC) output from a photovoltaic (PV) solar panel into alternating current (AC) at utility frequency. This can be used for residential and commercial electrical grids or by a local off-grid electrical network, such as microgrids.
The solar PV inverters market is segmented by inverter type, application, and geography. By inverter type, the market is segmented into central inverters, string inverters, and micro-inverters. By application, the market is segmented into residential, commercial and industrial, and utility-scale. The report also covers the market size and forecasts for solar PV inverters across major regions. For each segment, the market sizing and forecasts have been done based on revenue (value in USD billion).
By Inverter Type | Central Inverters |
String Inverters | |
Micro Inverters | |
By Application | Residential |
Commercial and Industrial | |
Utility-scale | |
By Geography | North America |
Europe | |
Asia-Pacific | |
South America | |
Middle East and Africa |
Solar PV Inverter Market Research FAQs
How big is the Solar PV Inverters Market?
The Solar PV Inverters Market size is expected to reach USD 14.33 billion in 2025 and grow at a CAGR of 4.73% to reach USD 18.05 billion by 2030.
What is the current Solar PV Inverters Market size?
In 2025, the Solar PV Inverters Market size is expected to reach USD 14.33 billion.
Who are the key players in Solar PV Inverters Market?
Mitsubishi Electric Corporation, Omron Corporation, FIMER SpA, Siemens AG and Schneider Electric SE are the major companies operating in the Solar PV Inverters Market.
Which is the fastest growing region in Solar PV Inverters Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in Solar PV Inverters Market?
In 2025, the Asia Pacific accounts for the largest market share in Solar PV Inverters Market.
What years does this Solar PV Inverters Market cover, and what was the market size in 2024?
In 2024, the Solar PV Inverters Market size was estimated at USD 13.65 billion. The report covers the Solar PV Inverters Market historical market size for years: 2021, 2022, 2023 and 2024. The report also forecasts the Solar PV Inverters Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Our Best Selling Reports
Solar PV Inverters Market Research
Mordor Intelligence provides a comprehensive analysis of the solar PV inverter market. We leverage our extensive experience in the photovoltaic inverter industry to deliver detailed insights. Our report covers the full range of PV inverter technologies, including commercial industrial inverters, utility scale solar inverters, and residential solar PV inverter systems. The analysis includes inverter data from leading solar PV inverter manufacturers worldwide. It offers insights into inverter size specifications, pricing dynamics, and technological innovations across central PV inverter and hybrid solar inverter segments.
Stakeholders can access detailed profiles of solar power inverter companies, along with inverter price trend analysis and strategic insights through our easily downloadable report PDF format. The research addresses crucial aspects such as solar storage inverter developments, standalone PV inverter systems, and emerging digital inverter technologies. Our comprehensive coverage includes specifications of solar central inverters, inverter size chart guidelines, and a detailed examination of ground solar inverter installations. The report provides valuable insights for manufacturers, suppliers, and investors in the renewable energy inverters sector, supported by robust solar PV balance of systems analysis.