The Demand For Multi-layer Ceramic Capacitors (MLCC) Has Surged Due To The Application Of AI

The key role of MLCC in electronic devices
What is MLCC?
Multi layer ceramic capacitor (MLCC) is a capacitive device composed of alternating layers of ceramic materials and metal electrode layers. Due to its small size, stable capacitance, and high voltage resistance, MLCC is widely used in various electronic devices, especially in fields such as smartphones, computers, automotive electronics, and communication equipment, playing an important role.

Main application areas of MLCC
MLCC, as a high-performance capacitor, is widely used in the following fields:
Smartphones and portable devices: The main functions of MLCC in devices such as smartphones and tablets are filtering and energy storage.

Automotive Electronics: With the development of electric vehicles and autonomous driving technology, the application of MLCC in automotive electronics is increasing day by day.

Data centers and servers: In the context of AI servers, cloud computing, and big data applications, the use of MLCC in high-performance computing devices is also increasing.

The driving force of artificial intelligence technology on MLCC demand
The impact of AI on the demand for electronic components
The development of artificial intelligence has significantly improved the computing speed, processing power, and data storage capacity of electronic devices. In order to meet these demands, the hardware architecture in AI systems is constantly evolving, and as a fundamental component, the demand for MLCC naturally rises. The specific impact of AI technology on MLCC requirements is mainly reflected in the following aspects:

Increased high-frequency applications: Artificial intelligence processes large amounts of data, requiring high-frequency processors and high-speed data transmission. This requires capacitors to operate at higher frequencies and larger capacities, and the high-frequency characteristics of MLCC make it the best choice.

The complexity of integrated circuits has increased: With the increasing complexity of AI chips and processors, the number of components in circuits has also increased. MLCC, with its miniaturization and high capacitance characteristics, has become the core component in these complex circuits.

Increased demand for power management: The demand for power management in AI systems has significantly increased, and MLCC plays an important role in stabilizing power supply, reducing power noise, and protecting circuit stability.

The demand of the terminal market driven by artificial intelligence
AI technology is not only limited to the application of servers and data centers, but also gradually enters the field of consumer electronics, especially in the terminal markets such as smart phones, smart homes and autonomous vehicle. AI embedding has driven the growth of demand for MLCC:

Smartphones: Modern smartphones generally integrate AI algorithms for image processing, speech recognition, and other functions, and the implementation of these functions relies on high-performance processors and power management. MLCC plays a key role in this process.

Autonomous vehicle: The AI system in autonomous vehicle has high requirements for on-board electronic equipment, and requires a large number of MLCCs to support its sensors, processors and communication equipment.

Internet of Things (IoT) devices: With the popularity of AI technology in IoT devices, the demand for MLCC that supports low power consumption and high performance is rapidly growing.

The growth prospects of the MLCC industry
The growth of the global MLCC market
Due to the development of AI technology driving the complexity and integration of electronic devices, the global demand for MLCC continues to grow. According to industry predictions, the MLCC market size will continue to expand in the coming years, especially in AI intensive fields, and the growth prospects of MLCC are particularly optimistic.

According to market research companies, the global MLCC market is expected to exceed $80 billion by 2024, with AI technology contributing significantly to demand. Especially in the fields of data centers, communication equipment, and automotive electronics, the demand growth rate of MLCC will exceed that of traditional consumer electronics devices.

Technological innovation drives MLCC upgrade
In order to meet the growing demand for AI systems, MLCC manufacturers are also constantly innovating their technologies. Including improving the capacitance density, reducing size, and enhancing high temperature resistance of MLCC through material upgrades and manufacturing process improvements. These technological innovations will further promote the widespread use of MLCC in AI applications.

Supply chain challenges and opportunities
Although the demand for MLCC market is growing rapidly, global MLCC manufacturers are also facing supply chain challenges. Due to the complex production process of MLCC, the global supply chain is constrained by various factors, including raw material shortages, long production cycles, and geopolitical issues. These challenges have to some extent limited the supply of MLCC, resulting in a situation where supply exceeds demand in the market. At the same time, manufacturers are also responding to this situation by expanding production capacity and optimizing supply chains to seize market opportunities.