The current trend in electrolytic passive components is affecting all major product groupings in the $6.5 billion segment of the $16.5 billion global capacitor market. This market includes aluminum electrolytic, tantalum electrolytic, niobium-oxide and double layer carbon, each experimenting with new materials matching systems for the development of the most efficient energy storage/discharge devices in the smallest possible footprint.

New Materials Usage:

In 2006 unit shipments of conductive polymer electrolytic designs will represent only a small percentage of overall electrolytic capacitor unit shipments (aluminum and tantalum); however, the trend toward better designs through lower equivalent series resistance has ushered in the age of conductive polymer cathodes in solid form, with both tantalum and aluminum anodes respectively. Similar experiments have been conducted with niobium-oxide and double-layer carbon technology as well, whereby a conductive polymer material is either encasing the anode, or is used as a cathode. The results are always lower ESR than traditional cathode materials, such as etched cathode foil, manganese, etc., thus the movement in technology is towards lower ESR in electrolytic designs.

Electrolytic Materials Matching Systems:

In 2006 greater emphasis has been placed on proper materials matching systems for tantalum capacitors. Conductive polymer capacitors will account for 15% of global unit shipments for tantalum capacitors in volume in 2006, and 25% of global market value (conductive polymer designs are usually larger case sizes with higher ASPs). The technology train is chasing ESR levels below 1. This has been accomplished by the inclusion of conductive polymer in the tantalum design with emphasis on polythiophene, polyppyrole, and polyanaline conductive polymer materials as a cathode in tantalum capacitor designs. These conductive polymer cathodes “match” well when used to coat the internal nodules of tantalum anodes made from extremely high CV/g (Capacitance Value per gram) tantalum metal powders. An additional break through made by KEMET was the inclusion of multiple anodes in one epoxy case. The multiple anode theory was extremely efficient at lowering ESR, and the combined benefits of high CV/g powders, conductive polymer cathodes, and multiple anodes in a single capacitor case became scientifically significant.

In 2006 additional emphasis has been placed upon materials analysis for the lesser weight products used in the construction of the entire molded capacitor body, including silver conductor and carbon pastes, as well as the epoxy mold itself. Thus the trend toward creating materials matching systems that can be converted into high performance, low ESR capacitors has been at the manufacturing level. Amidst the mergers and acquisitions climate that surrounds all energy storage technology in 2006, the concept of a merchant market dedicated to the supply of conductive polymer materials matching systems may be profitable as electrolytic technology expands to greater China.

Historical Reference:

It can be argued that proper materials matching systems have been used in the capacitor market since the inception of multilayered ceramic capacitors. It can further be argued that the materials matching systems employed in the MLCC markets were changed with the advent of high capacitance MLCC and the base metal electrode, which began in earnest in 1993 at TDK in Japan.

Proper materials matching systems have been successfully developed in the merchant market for MLCC by such large global vendors as Ferro Corporation, and it is noted that part of the Ferro history includes a long history of success with the advent of MLCC and other ceramic component production in greater China. Thus, there is a model for success in a merchant vendor of electrolytic materials for solid polymer tantalum, and solid polymer aluminum designs. Since the current vendors into the segment have substantial positions in key segments of the space, the concept of the development of a materials matching system is not lost on them. Such major contributors include Bayer-HC Starck; Cabot Corporation; Lord Corporation, Johnson Matthey, Hereaus AG; and others who have visibility over multiple materials; and Bayer has shown initial success by selling both high CV/g tantalum metal powder and PEDOT Polythiophene based conductive polymer.

Opinion of the Capacitor Manufacturers:

The major vendors of conductive polymer capacitors have noted that materials matching systems they develop are proprietary, and they are more comfortable with maintaining the matching system in-house as these are sources of intellectual property and the very seeds of process patents, including the manufacturing method (dip versus gas infusion). However, they do concede that a proper matching system could enable growth of solid electrolytic technology in the Far East, and that a merchant vendor would do well to initiate such a venture.

The capacitor manufacturers also concede that they will always migrate toward the best matching system, whether it is sourced captive or merchant. As long as it gives the best part to the customer.

Forecasts for the Future:

Solid polymer capacitor production has largely been controlled up to now by a few vendors, with emphasis upon Sanyo, Panasonic, Tokin and KEMET; however, now almost every major vendor of either aluminum or tantalum technology has a conductive polymer design. Many major vendors of electrolytic capacitors, such as KEMET, AVX and Nichicon are going to produce large volumes of these capacitors in China between 2006 and 2010 and it is expected the technology will eventually become indigenous to greater China as this was the pattern for aluminum, film and ceramic capacitors which made their mark on Chinese manufacturing years ago.

Companies Well Positioned:

From a capacitor manufacturing point-of-view (captive materials developments); the best electrolytic conductive polymer matching systems have been developed at Sanyo, Tokin, KEMET and Panasonic. From a materials perspective, Bayer-HC Starck operations have the greatest penetration, with major market share positions in two key elements: high capacitance tantalum metal powders and conductive polymer materials.