Generative artificial intelligence (AI) and autonomous driving technologies are fueling structural growth in multilayer ceramic capacitors, with AI servers and automotive electronics driving demand for miniaturized, high-capacity components.
Samsung Electro-Mechanics (Semco) projects automotive MLCC demand will grow 11% annually through 2030, outpacing industrial MLCCs at 6% and IT applications at 2%. While overall end-product demand may moderate long-term, AI products requiring higher integration levels will sustain IT MLCC growth, though at modest rates.
The South Korean component maker is pivoting toward automotive and industrial markets as Chinese manufacturers rapidly expand production capacity in traditional segments.
AI servers now require tens of thousands of MLCCs—roughly ten times conventional servers—while imposing stricter performance standards. Components must withstand temperatures above 105°C, voltages of 100V, and 2mm bending strength. Power consumption is five to ten times higher than typical servers, combined with limited GPU-adjacent space, demands ultra-compact, high-capacity solutions.
Semco holds approximately 40% of the AI server MLCC market.
Electric vehicle adoption and advancing autonomous driving functions are accelerating automotive demand. Traditional combustion engines use 3,000-5,000 MLCCs versus over 10,000 for electric vehicles and advanced driver-assistance systems.
Automotive applications require enhanced reliability for safety-critical functions, including camera modules, radar systems, electronic control units, and battery management. Components must endure temperatures from -55°C to above 125°C, plus shock and 85% humidity over 15-year lifespans.
Automotive MLCC development takes triple the time of IT products and commands prices more than three times higher. Semco developed two ADAS-specific MLCCs in 2021, launched 13 automotive power system components in 2022, and introduced 16V ADAS MLCCs plus 2000V high-voltage units in 2024. The company plans to launch the world's first LiDAR MLCC in 2025.
Real-time computing demands in autonomous vehicles are extending server-grade MLCC requirements into automotive applications, blurring technological boundaries between markets. Semco's ability to rapidly develop higher-performance, miniaturized products will determine future competitive positioning.
Article edited by Jack Wu
