by The Cryocooler Market is estimated to be valued at US$ 2540.58 Mn in 2023 and is expected to exhibit a CAGR of 5.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Cryocoolers are heat transfer devices that generate very low temperatures by removing heat from a system and rejecting it at higher temperature, generally using cryogen-free design such as Stirling cycle, pulse tube cycle. They are used to cool semiconductor devices like quantum sensing electronics, quantum computing, medical devices like MRI machines and in space applications like infrared sensors, X-ray telescopes. Cryocoolers provide advantages of avoiding usage of expensive and hazardous cryogens along with long operating life.
Market key trends:
The rising applications of cryocoolers in various industries is a major market trend expected to drive the cryocooler market growth over the forecast period from 2023 to 2030. With increasing advancement in infrared technologies, use of cryocoolers in infrared detectors, infrared sensors and cameras for military, commercial and industrial applications is growing at double digit rate. Further, increasing demand for compact semiconductor refrigeration systems with no moving parts for applications in MRI machines, space satellites is also propelling the cryocoolers market. Adoption of green technology cryocooler solutions to replace environment hazardous refrigerants further presents new opportunities.
Porter’s Analysis
Threat of new entrants: The cryocooler market requires high initial capital investment and extensive R&D which makes the threat of new entrants moderate.
Bargaining power of buyers: The bargaining power of buyers in cryocooler market is low due to differentiated products offered by manufacturers and dependence of end-use industries on cryocoolers.
Bargaining power of suppliers: Suppliers have moderate bargaining power due to differentiated components used in manufacturing cryocoolers which results in lack of substitute components.
Threat of new substitutes: At present cryocoolers have no cost effective substitutes and technologies like magnetic refrigeration are still at nascent stage, posing low threat of substitutes.
Competitive rivalry: The cryocooler market is consolidated with presence of few global players resulting in high competitive rivalry.
SWOT Analysis
Strength: Cryocoolers find diverse applications in medical, military, commercial sectors and emerging uses in space applications and quantum computing.
Weakness: High manufacturing and maintenance cost of cryocoolers limits its adoption in cost sensitive areas. Dependence on rare-earth materials increases supply chain risk.
Opportunity: Growing expenditure on space research, rising demand for MRI and space telescopes offer growth opportunities. Developing low-cost variants can boost adoption.
Threats: Stringent regulations regarding use of ozone-depleting gases and rare-earth materials can disrupt supply chain. Economic downturns negatively impact demand from commercial sectors.
Key Takeaways
The Global Cryocooler Market Size is expected to witness high growth, exhibiting CAGR of 5.8% over the forecast period, due to increasing expenditure on space research programs globally. North America dominated the cryocooler market in 2023 with largest market share of over 35%, supported by strong presence of domestic manufacturers and widespread adoption across medical, military and commercial sectors in the US and Canada.
Regional analysis Asia Pacific cryocooler market is projected to grow at fastest pace during the forecast period, owing to increasing foreign direct investments in semi-conductor manufacturing, increased spending on space research by China and India, and expansion of healthcare sector across the region.
Key players operating in the cryocooler market are Northrop Grumman Corporation, Sumitomo Heavy Industries Limited, Stirling Cryogenics BV, Sunpower Inc. (AMETEK Inc.), Superconductor Technologies Inc., RICOR, Advanced Research Systems Inc., Cobham PLC, Janis Research Company LLC, Cryomech Inc., and Chart Industries Inc. The established players are investing in new product launches and mergers & acquisitions to strengthen their market positions.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
