5g Era Of The Big Winner-PCB
Why PCB is the winner in the 5G era?
First, 5G base stations compared to 4G will have an increase in the number. According to public
data from China’s three major telecom operators, in 2016 China Mobile, China Telecom, China Unicom added 400,000 4G base stations, 380,000, 340,000, respectively, raising the total to 1.51 million, 890,000, 740,000, a total of about 3.14 million. And it is estimated that the number of small base stations alone will be more than 10 times the current base station market.
Second, due to the characteristics of 5G high speed and high frequency, the value of the communication board will also be greatly enhanced in terms of individual base stations. On the one hand, with the increase of 5G frequency bands, the increase in frequency makes the number of RF front-end components increase significantly, as well as Massive MIMO integration to the AAU, the use of PCB circuit boards on the AAU area increased significantly, the number of layers increased, the added value of the antenna AAU to the PCB board and copper laminate; on the other hand, with the significant increase in 5G transmission data, the data processing capacity of the base station BBU has On the other hand, with the significant increase of 5G transmission data, there is a higher requirement for the data processing capacity of BBU of base station, which will adopt larger area and higher layer PCB, and the base material needs to use high speed and high frequency material. Conservative estimates show that the PCB telecommunication for 5G value of a single 5G macro base station is more than twice that of 4G.
5G cell phones and tablet PCs and other thin and light demand to drive the FPC market
IDC has predicted that the first 5G smartphones will be available in the second half of 2019, and 5G phone shipments will reach 7% of total smartphone shipments by 2020 (about 212 million units), and 18% by 2022.
According to industry research, the new Apple phone at least 20 pieces of FPC material number, the value of space more than $ 20, and flat-panel products are expected to further thin and light, will use a large number of FPC products. At the same time, leading domestic brands such as Huawei, OPPO, Vivo, etc. have also improved the amount of FPC to 10-12 pieces.
In 2016, the global market size of FPC grew to 85.2 billion yuan, and the market size of FPC in China grew to 31.6 billion yuan. It is expected that by 2021, China FPC market is expected to reach 51.6 billion yuan, with a compound growth rate of 10%.
Automotive electronics, electrification, and intelligence will bring incremental market space for PCBs
First, intelligent driving & automotive electronics: the electronicization of the car will bring the growth of automotive PCB usage, automotive electronics accounted for about 30% of the vehicle BOM in 2010, the proportion is expected to rise to 50% by 2030. The current mid-range models PCB use an area of about 0.5 to 0.7 square meters, the economic car PCB use an area of 0.3 to 0.4 square meters, assuming that the average PCB assembly price is 1000 yuan / square meter, the average value of about 800 yuan per car, luxury cars PCB use an area of about 2.5-3 square meters, the value of more than 2500 yuan per car, with the deepening of automotive electronics, automotive PCB demand area will gradually increase. Automotive PCB demand area will gradually grow. In addition, the advanced driver assistance system for intelligent driving ADAS also requires a large number of PCBs.
Second, new energy vehicles: new energy vehicles than traditional cars with PCB volume has been greatly enhanced, if the preliminary estimate of single-vehicle PCB for 3 square meters, assuming that the average price of PCB is 1,000 yuan / square meter, the new energy vehicles in 2018 to 2020 corresponding PCB new market size of 2.850 billion yuan, 3.960 billion yuan, 5.430 billion yuan.
Data centers drive the demand for high-end PCB products such as high-frequency and high-speed currently global data centers to high speed, high capacity and other characteristics of development. According to IDC, the global data center market size reached $45.2 billion in 2016, with a growth rate of 17%. China’s data center growth is significantly faster than the global pace, with a scale of 71.5 billion RMB in 2016, a growth rate of 37%.