Solar Inverter Market (By Product Type: Central, String, Micro, Others; By Connection Type; By Phase; By Nominal Power Output; By Nominal Output Voltage) - Global Industry Analysis, Size, Share, Growth, Trends, Revenue, Regional Outlook and Forecast 2024-2033

The global solar inverter market size was surpassed at USD 11.15 billion in 2023 and is expected to hit around USD 24.64 billion by 2033, growing at a CAGR of 8.25% from 2024 to 2033.

Solar Inverter Market Size 2024 to 2033

Key Pointers

  • Asia Pacific led the global market with the largest market share of 44% in 2023.
  • By Product Type, the central inverter segment generated the maximum market share of 50% in 2023.
  • By Connection, the On-Grid segment dominated the market in 2023. 
  • By End User, the Utilities segment contributed the largest market share of 45% in 2023

Solar Inverter Market Overview

The solar inverter market has been witnessing remarkable growth in recent years, driven by the increasing adoption of solar energy as a sustainable alternative to traditional sources of electricity. Solar inverters play a crucial role in converting the direct current (DC) generated by solar panels into alternating current (AC) usable for residential, commercial, and industrial applications.

Solar Inverter Market Market Growth

The growth of the solar inverter market can be attributed to several key factors. Firstly, the declining costs of solar PV systems have significantly reduced barriers to adoption, driving increased demand for solar inverters. Additionally, heightened environmental concerns and the pursuit of renewable energy targets have spurred a global transition towards solar power, further fueling market growth. Moreover, rising investments in solar infrastructure projects, particularly in emerging economies, are driving the demand for solar inverters as essential components of solar energy systems. Finally, the integration of energy storage solutions and advancements in smart grid technologies are enhancing the functionality and value proposition of solar inverters, contributing to their continued market expansion. These factors collectively contribute to the growth trajectory of the solar inverter market, positioning it as a vital segment within the broader solar energy industry.

Report Scope of the Solar Inverter Market

Report Coverage Details
Revenue Share of Asia Pacific  in 2023 44%
Revenue Forecast by 2033 USD 24.64 billion
Growth Rate from 2024 to 2033 CAGR of 8.25%
Base Year 2023
Forecast Period 2024 to 2033
Market Analysis (Terms Used) Value (US$ Million/Billion) or (Volume/Units)

 

Solar Inverter Market Trends:

  • Integration of Energy Storage: The increasing demand for energy storage solutions is driving the integration of solar inverters with battery storage systems. This integration enables enhanced energy management, grid stability, and the utilization of solar power during periods of low sunlight or grid outages.
  • Shift towards Smart Inverters: There is a noticeable trend towards the adoption of smart inverters equipped with advanced monitoring, control, and communication capabilities. Smart inverters facilitate grid integration, voltage regulation, and real-time data monitoring, enabling more efficient and reliable solar power generation.
  • Emphasis on Grid-Interactive Inverters: Grid-interactive inverters are becoming essential components of distributed energy systems, enabling seamless integration with the utility grid. These inverters support grid services such as voltage regulation, frequency response, and demand response, contributing to grid stability and resilience.           
  • Technological Advancements: Continuous innovation in solar inverter technology is leading to the development of more efficient, compact, and reliable inverters. This includes advancements such as microinverters and power optimizers, which offer improved performance and flexibility in solar installations.

Product Type Insights

Based on product type, the market can be segmented into Central Inverter, Micro Inverter, and String Inverter. The Central Inverter segment held the majority share in 2023 contribution to around 50% in respect to the solar inverter market revenue. The increase in demand for central inverters from significant industrial and utility applications around the world is responsible for this. From 2023 to 2032, it is also anticipated that fast industrialization and the development of renewable energy infrastructure in developing nations like China, India, Japan, and others will increase demand for central inverters.

Connection Insights

The On-Grid segment dominated the market in 2023. This growth is linked to increased investment in direct electricity supply rather than battery storage. Additionally, benefits of being utilized as on-grid solar inverters includes simple energy feeding, simple installation, cost effectiveness, and managing high electricity demand. These benefits are anticipated to drive the market's expansion in the following decades. Hence, the rising utilization of on-grid systems to enhance the capabilities of production is anticipated to positively impacts market growth.

End User Insights

The solar inverter market data has been bifurcated by end user into Residential, Commercial and Utilities. The Utilities segment held the majority share in 2023 contribution to around 45% in respect to the solar inverter market revenue. The utility sector is expanding for several reasons, primary including the rising demand for renewable energy, the decreasing cost of solar energy and equipment, and the emergence of government subsidies. The segment is growing as a result of the presence of major players who provide customers market-leading utility-scale solutions through their pre-integrated power plants to increase efficiency and lower balance-of-system costs.

Regional Insights

Asia Pacific is projected to acquire the largest market share during the year 2023 with a share of 44%. China is the main contributor to the Solar Inverter Market's quick expansion in this region, as well as a major global competitor. A growing number of solar installations in developing countries has also helped to propel the market forward in the area. Increased investments in industrial automation solutions, increased emphasis on regulations that demand operational and workforce safety, expansion of power generation capacities of plants, electrification of the transportation sector, and reduction in the production and operational costs of power plants due to technological advancements in APAC's emerging economies are driving the Solar Inverter Market's growth.

Solar Inverter Market Share, By Region, 2023 (%)

Moreover, India contributes to the second largest share to the growth in the APAC region. Other major factors contributing to the growth of the Solar Inverter Market in India include rising consumer awareness, increasing participation of residential and commercial segments in solar system installations, supportive government policies and solar schemes, and increasing private sector involvement. However, due to a drop in market demand during the lockdown period across the country, the ongoing pandemic COVID-19 decreased the growth rate of market revenues in 2023. Furthermore, the market began to show indications of progress in the second part of the year, with the gradual opening of the economy and removal of lockdown measures and is expected to return to a normal development trajectory in the future years.

Solar Inverter Market Key Companies

  • Omron Corporation
  • ABB Ltd
  • Mitsubishi Electric Corporation
  • Siemens AG
  • Schneider Electric SE
  • SMA Solar Technology AG
  • Delta Electronics Inc.
  • SunPower
  • Hitachi Hi-Rel Power Electronics Pvt. Ltd
  • Power Electronics S.L.

Solar Inverter Market Segmentation:

By Product Type

  • Central Inverter
  • String Inverter
  • Micro Inverter
  • Others

By Connection

  • On-grid
  • Off-grid

By Phase

  • Single phase
  • Three phase

By End User

  • Residential
  • Commercial
  • Industrial
  • Utilities

By Nominal Power Output

  • ≤ 0.5 kW
  • 0.5 - 3 kW
  • 3 - 33 kW
  • 33 - 110 kW
  • 110 kW

By Nominal Output Voltage

  • ≤ 230 V
  • 230 - 400 V
  • 400 - 600 V
  • 600 V

By Region

  • North America
  • Europe
  • Asia-Pacific
  • Latin America
  • Middle East & Africa (MEA)

Frequently Asked Questions

The global solar inverter market size was reached at USD 11.15 billion in 2023 and it is projected to hit around USD 24.64 billion by 2033.

The global solar inverter market is growing at a compound annual growth rate (CAGR) of 8.25% from 2024 to 2033.

The Asia Pacific region has accounted for the largest solar inverter market share in 2023.

Chapter 1. Introduction

1.1. Research Objective

1.2. Scope of the Study

1.3. Definition

Chapter 2. Research Methodology

2.1. Research Approach

2.2. Data Sources

2.3. Assumptions & Limitations

Chapter 3. Executive Summary

3.1. Market Snapshot

Chapter 4. Market Variables and Scope 

4.1. Introduction

4.2. Market Classification and Scope

4.3. Industry Value Chain Analysis

4.3.1. Nominal Output Voltage Procurement Analysis 

4.3.2. Sales and Distribution Analysis

4.3.3. Downstream Buyer Analysis

Chapter 5. COVID 19 Impact on Solar Inverter Market 

5.1. COVID-19 Landscape: Solar Inverter Industry Impact

5.2. COVID 19 - Impact Assessment for the Industry

5.3. COVID 19 Impact: Global Major Government Policy

5.4. Market Trends and Opportunities in the COVID-19 Landscape

Chapter 6. Market Dynamics Analysis and Trends

6.1. Market Dynamics

6.1.1. Market Drivers

6.1.2. Market Restraints

6.1.3. Market Opportunities

6.2. Porter’s Five Forces Analysis

6.2.1. Bargaining power of suppliers

6.2.2. Bargaining power of buyers

6.2.3. Threat of substitute

6.2.4. Threat of new entrants

6.2.5. Degree of competition

Chapter 7. Competitive Landscape

7.1.1. Company Market Share/Positioning Analysis

7.1.2. Key Strategies Adopted by Players

7.1.3. Vendor Landscape

7.1.3.1. List of Suppliers

7.1.3.2. List of Buyers

Chapter 8. Global Solar Inverter Market, By Product Type

8.1. Solar Inverter Market, by Product Type, 2024-2033

8.1.1. Central Inverter

8.1.1.1. Market Revenue and Forecast (2021-2033)

8.1.2. String Inverter

8.1.2.1. Market Revenue and Forecast (2021-2033)

8.1.3. Micro Inverter

8.1.3.1. Market Revenue and Forecast (2021-2033)

8.1.4. Others

8.1.4.1. Market Revenue and Forecast (2021-2033)

Chapter 9. Global Solar Inverter Market, By Connection

9.1. Solar Inverter Market, by Connection, 2024-2033

9.1.1. On-grid

9.1.1.1. Market Revenue and Forecast (2021-2033)

9.1.2. Off-grid

9.1.2.1. Market Revenue and Forecast (2021-2033)

Chapter 10. Global Solar Inverter Market, By Phase

10.1. Solar Inverter Market, by Phase, 2024-2033

10.1.1. Single phase

10.1.1.1. Market Revenue and Forecast (2021-2033)

10.1.2. Three phase

10.1.2.1. Market Revenue and Forecast (2021-2033)

Chapter 11. Global Solar Inverter Market, By End User

11.1. Solar Inverter Market, by End User, 2024-2033

11.1.1. Residential

11.1.1.1. Market Revenue and Forecast (2021-2033)

11.1.2. Commercial

11.1.2.1. Market Revenue and Forecast (2021-2033)

11.1.3. Industrial

11.1.3.1. Market Revenue and Forecast (2021-2033)

11.1.4. Utilities

11.1.4.1. Market Revenue and Forecast (2021-2033)

Chapter 12. Global Solar Inverter Market, By Nominal Power Output

12.1. Solar Inverter Market, by Nominal Power Output, 2024-2033

12.1.1. ≤ 0.5 kW

12.1.1.1. Market Revenue and Forecast (2021-2033)

12.1.2. 0.5 - 3 kW

12.1.2.1. Market Revenue and Forecast (2021-2033)

12.1.3. 3 - 33 kW

12.1.3.1. Market Revenue and Forecast (2021-2033)

12.1.4. 33 - 110 kW

12.1.4.1. Market Revenue and Forecast (2021-2033)

12.1.5. 110 kW

12.1.5.1. Market Revenue and Forecast (2021-2033)

Chapter 13. Global Solar Inverter Market, By Nominal Output Voltage

13.1. Solar Inverter Market, by Nominal Output Voltage, 2024-2033

13.1.1. ≤ 230 V

13.1.1.1. Market Revenue and Forecast (2021-2033)

13.1.2. 230 - 400 V

13.1.2.1. Market Revenue and Forecast (2021-2033)

13.1.3. 400 - 600 V

13.1.3.1. Market Revenue and Forecast (2021-2033)

13.1.4. 600 V

13.1.4.1. Market Revenue and Forecast (2021-2033)

Chapter 14. Global Solar Inverter Market, Regional Estimates and Trend Forecast

14.1. North America

14.1.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.1.2. Market Revenue and Forecast, by Connection (2021-2033)

14.1.3. Market Revenue and Forecast, by Phase (2021-2033)

14.1.4. Market Revenue and Forecast, by End User (2021-2033)

14.1.5. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.1.6. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.1.7. U.S.

14.1.7.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.1.7.2. Market Revenue and Forecast, by Connection (2021-2033)

14.1.7.3. Market Revenue and Forecast, by Phase (2021-2033)

14.1.7.4. Market Revenue and Forecast, by End User (2021-2033)

14.1.8. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.1.8.1. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033) 

14.1.9. Rest of North America

14.1.9.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.1.9.2. Market Revenue and Forecast, by Connection (2021-2033)

14.1.9.3. Market Revenue and Forecast, by Phase (2021-2033)

14.1.9.4. Market Revenue and Forecast, by End User (2021-2033)

14.1.10. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.1.11. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.1.11.1.

14.2. Europe

14.2.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.2.2. Market Revenue and Forecast, by Connection (2021-2033)

14.2.3. Market Revenue and Forecast, by Phase (2021-2033)

14.2.4. Market Revenue and Forecast, by End User (2021-2033) 

14.2.5. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.2.6. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.2.7.

14.2.8. UK

14.2.8.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.2.8.2. Market Revenue and Forecast, by Connection (2021-2033)

14.2.8.3. Market Revenue and Forecast, by Phase (2021-2033)

14.2.9. Market Revenue and Forecast, by End User (2021-2033) 

14.2.10. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.2.10.1. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033) 

14.2.11. Germany

14.2.11.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.2.11.2. Market Revenue and Forecast, by Connection (2021-2033)

14.2.11.3. Market Revenue and Forecast, by Phase (2021-2033)

14.2.12. Market Revenue and Forecast, by End User (2021-2033)

14.2.13. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.2.14. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.2.14.1.

14.2.15. France

14.2.15.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.2.15.2. Market Revenue and Forecast, by Connection (2021-2033)

14.2.15.3. Market Revenue and Forecast, by Phase (2021-2033)

14.2.15.4. Market Revenue and Forecast, by End User (2021-2033)

14.2.16. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.2.16.1. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.2.17. Rest of Europe

14.2.17.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.2.17.2. Market Revenue and Forecast, by Connection (2021-2033)

14.2.17.3. Market Revenue and Forecast, by Phase (2021-2033)

14.2.17.4. Market Revenue and Forecast, by End User (2021-2033)

14.2.18. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.2.18.1. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.3. APAC

14.3.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.3.2. Market Revenue and Forecast, by Connection (2021-2033)

14.3.3. Market Revenue and Forecast, by Phase (2021-2033)

14.3.4. Market Revenue and Forecast, by End User (2021-2033)

14.3.5. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.3.6. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.3.7. India

14.3.7.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.3.7.2. Market Revenue and Forecast, by Connection (2021-2033)

14.3.7.3. Market Revenue and Forecast, by Phase (2021-2033)

14.3.7.4. Market Revenue and Forecast, by End User (2021-2033)

14.3.8. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.3.9. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.3.10. China

14.3.10.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.3.10.2. Market Revenue and Forecast, by Connection (2021-2033)

14.3.10.3. Market Revenue and Forecast, by Phase (2021-2033)

14.3.10.4. Market Revenue and Forecast, by End User (2021-2033)

14.3.11. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.3.11.1. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.3.12. Japan

14.3.12.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.3.12.2. Market Revenue and Forecast, by Connection (2021-2033)

14.3.12.3. Market Revenue and Forecast, by Phase (2021-2033)

14.3.12.4. Market Revenue and Forecast, by End User (2021-2033)

14.3.12.5. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.3.12.6. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.3.13. Rest of APAC

14.3.13.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.3.13.2. Market Revenue and Forecast, by Connection (2021-2033)

14.3.13.3. Market Revenue and Forecast, by Phase (2021-2033)

14.3.13.4. Market Revenue and Forecast, by End User (2021-2033)

14.3.13.5. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.3.13.6. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.4. MEA

14.4.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.4.2. Market Revenue and Forecast, by Connection (2021-2033)

14.4.3. Market Revenue and Forecast, by Phase (2021-2033)

14.4.4. Market Revenue and Forecast, by End User (2021-2033)

14.4.5. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.4.6. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.4.7. GCC

14.4.7.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.4.7.2. Market Revenue and Forecast, by Connection (2021-2033)

14.4.7.3. Market Revenue and Forecast, by Phase (2021-2033)

14.4.7.4. Market Revenue and Forecast, by End User (2021-2033)

14.4.8. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.4.9. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.4.10. North Africa

14.4.10.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.4.10.2. Market Revenue and Forecast, by Connection (2021-2033)

14.4.10.3. Market Revenue and Forecast, by Phase (2021-2033)

14.4.10.4. Market Revenue and Forecast, by End User (2021-2033)

14.4.11. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.4.12. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.4.13. South Africa

14.4.13.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.4.13.2. Market Revenue and Forecast, by Connection (2021-2033)

14.4.13.3. Market Revenue and Forecast, by Phase (2021-2033)

14.4.13.4. Market Revenue and Forecast, by End User (2021-2033)

14.4.13.5. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.4.13.6. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.4.14. Rest of MEA

14.4.14.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.4.14.2. Market Revenue and Forecast, by Connection (2021-2033)

14.4.14.3. Market Revenue and Forecast, by Phase (2021-2033)

14.4.14.4. Market Revenue and Forecast, by End User (2021-2033)

14.4.14.5. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.4.14.6. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.5. Latin America

14.5.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.5.2. Market Revenue and Forecast, by Connection (2021-2033)

14.5.3. Market Revenue and Forecast, by Phase (2021-2033)

14.5.4. Market Revenue and Forecast, by End User (2021-2033)

14.5.5. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.5.6. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.5.7. Brazil

14.5.7.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.5.7.2. Market Revenue and Forecast, by Connection (2021-2033)

14.5.7.3. Market Revenue and Forecast, by Phase (2021-2033)

14.5.7.4. Market Revenue and Forecast, by End User (2021-2033)

14.5.8. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.5.8.1. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

14.5.9. Rest of LATAM

14.5.9.1. Market Revenue and Forecast, by Product Type (2021-2033)

14.5.9.2. Market Revenue and Forecast, by Connection (2021-2033)

14.5.9.3. Market Revenue and Forecast, by Phase (2021-2033)

14.5.9.4. Market Revenue and Forecast, by End User (2021-2033)

14.5.9.5. Market Revenue and Forecast, by Nominal Power Output (2021-2033)

14.5.9.6. Market Revenue and Forecast, by Nominal Output Voltage (2021-2033)

Chapter 15. Company Profiles

15.1. Omron Corporation

15.1.1. Company Overview

15.1.2. Product Offerings

15.1.3. Financial Performance

15.1.4. Recent Initiatives

15.2. ABB Ltd

15.2.1. Company Overview

15.2.2. Product Offerings

15.2.3. Financial Performance

15.2.4. Recent Initiatives

15.3. Mitsubishi Electric Corporation

15.3.1. Company Overview

15.3.2. Product Offerings

15.3.3. Financial Performance

15.3.4. Recent Initiatives

15.4. Siemens AG

15.4.1. Company Overview

15.4.2. Product Offerings

15.4.3. Financial Performance

15.4.4. Recent Initiatives

15.5. Schneider Electric SE

15.5.1. Company Overview

15.5.2. Product Offerings

15.5.3. Financial Performance

15.5.4. Recent Initiatives

15.6. SMA Solar Technology AG

15.6.1. Company Overview

15.6.2. Product Offerings

15.6.3. Financial Performance

15.6.4. Recent Initiatives

15.7. Delta Electronics Inc.

15.7.1. Company Overview

15.7.2. Product Offerings

15.7.3. Financial Performance

15.7.4. Recent Initiatives

15.8. SunPower

15.8.1. Company Overview

15.8.2. Product Offerings

15.8.3. Financial Performance

15.8.4. Recent Initiatives

15.9. Hitachi Hi-Rel Power Electronics Pvt. Ltd

15.9.1. Company Overview

15.9.2. Product Offerings

15.9.3. Financial Performance

15.9.4. Recent Initiatives

15.10. Power Electronics S.L.

15.10.1. Company Overview

15.10.2. Product Offerings

15.10.3. Financial Performance

15.10.4. Recent Initiatives

Chapter 16. Research Methodology

16.1. Primary Research

16.2. Secondary Research

16.3. Assumptions

Chapter 17. Appendix

17.1. About Us

17.2. Glossary of Terms

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