The Surging U.S. Battery Control Technology

Report Highlights

• The U.S. wholesale market for battery control technology was in excess of $2.2 billion in 2003 and should rise at an average annual growth rate (AAGR) of 11.3% to more than $4.2 billion by 2009.
• Battery chargers and power converters currently represent the largest of the three battery control technology market sectors, with 2003 sales of about $1.4 billion.
• By 2009, smart batteries will be the largest of the three sectors, with wholesale sales exceeding $2.2 billion.
• One of the most promising market sectors is based on the potential of automotive smart batteries that combine advanced battery systems with microprocessor-controlled built-in chargers and conditioners.

INTRODUCTION

Rechargeable batteries increasingly are used for portable product and stationary power applications, including computers, cellular phones and uninterruptible and emergency power supplies. This revolution in battery power was made possible through a systems approach that included advanced batteries, "smart" microcontroller battery chargers and power conditioners and converters. The battery control technology impacts commercial and consumer electronics markets, the transportation market and the electrical power generation market, among others.

Ultimately, the market for batteries drives the market for battery control technology, i.e., chargers, converters and conditioners. Batteries accumulate and transport electrical energy. These functions, power storage and power portability, make batteries essential to today's industrial and consumer-oriented society. Although simple batteries have existed for at least 200 years, the battery industry traces its roots to the early 1900s. At that time, the commercialization of automobiles and radios created a demand for automotive (starting, lighting, ignition and generator) batteries and portable appliance batteries.

This BCC report provides a unique analysis of the U.S. battery control technology market. There are areas where the battery control technology industry could experience explosive growth usually associated with emerging industries. Battery control advances and a realignment of battery industry players must be matched by new marketing attitudes. The battery control technology market is much more fragmented than the battery industry it serves. On the other hand, battery and battery control technology designers now must cooperate to meet more demanding design requirements.

SCOPE OF STUDY

The report contains:

• Analysis of battery control technology markets by end use, including
      - automotive, traction, marine and aviation
      - portable products
      - stationary (UPS, emergency, remote)
      - developing markets (hybrid vehicle, military, aerospace, etc.)
• Analysis of the markets by control technology, including
      - battery chargers and power converters
      - battery power conditioners
      - smart battery systems
• Market forecasts through 2009.

METHODOLOGY

This report is based on a literature review, patent examination, and discussions with commercial and government sources. Throughout the report, past market data is expressed in current dollars, and estimates and predictions in constant 2004 dollars. Wholesale markets for 2003 and predicted 2004 and 2009 market figures are provided.

Most market summaries are based on a consensus scenario that assumes no unanticipated technical advances and no unexpected legislation. In some cases, several possible development scenarios are presented. Totals are rounded to the nearest million dollars. When appropriate, information from previously published sources is identified to allow a more detailed examination by clients.