Wave Issue 0415 /23/2004 Article 7-01

***Greater Awareness of Potential Damage From Voltage Fluctuations
to Drive Product Uptake

Palo Alto, CA
April 21, 2004

End users tend to view uninterruptible power supply (UPS) systems
as a universal remedy for all power-related problems, overlooking
the need to protect against invisible voltage fluctuations. To
boost voltage regulator uptake, suppliers must conduct consumer
awareness campaigns about the voltage fluctuation frequency and
the damage they can cause.

New analysis from Frost & Sullivan (www.powersupplies.frost.com),
"World Voltage Regulator Markets," reveals that this market
generated revenue of $203.3 million in 2003. Total market revenue
is expected to reach $277.7 million in 2010.

Ninety-five percent of power problems can be attributed to
voltage fluctuations such as sags, surges and impulses and only 5
percent to blackouts. This revelation is a strong argument in
favor of increased adoption of voltage regulators.

"To increase product uptake, suppliers have to call end users'
attention to the fact that voltage fluctuations damage the loads
connected to the supply," says Frost & Sullivan research analyst
G.V.Suryanarayana Raju. "With most applications having several
electronic components, it is essential to improve resistance to
power fluctuations."

Greater customer awareness about the advantages of each voltage
regulating technology and the applications they are suited for
can also drive demand. Forceful promotional messages are needed
to highlight the features of established voltage regulator
technologies such as ferro resonant and buck boost. While ferro
resonant has improved isolation and noise attenuation properties,
buck boost's stability and efficiency in high power applications
are particularly notable.

Tap switching, another traditional technology, is also finding
new uses in contemporary high-speed electronic applications. Tap
switching products are becoming popular for mining and petroleum
exploration activities in Africa and South America.

The voltage regulator market in such developing regions is
conducive to global competition since there are few local vendors
that can meet domestic demand. Most of the requirement for
products is expected to come from these areas since the U.S. and
European markets have good main electricity transmission
supplies.

Deployment of superior electrical grids in advanced nations
compels dependence on the consistent expansion of power
infrastructure. Developing nations need to improve power quality
and in turn increase voltage regulator product demand. This
factor is likely to counterbalance the adverse effects of a
stagnant replacement market and incorporation of built-in voltage
regulation in original equipment.

"The highly unstable main power supply in Asia and the Rest-of-
World necessitates installation of additional external protection
in the form of voltage regulators," notes Raju.

While this need is offsetting the challenge from UPS systems with
built-in voltage regulators, electronic designs that provide
stable output current are creating fresh barriers. However,
although these designs can handle the low currents in the
electronic devices, they are restricted to these capacities and
cannot increase correspondingly with growth in power ratings.

New voltage regulating products are being created using insulated
gate bipolar transistor (IGBT) technology for its improved
stability and protection properties against voltage fluctuations
in high-power electronic devices. Once consumers are convinced of
IGBT's ability to shield equipment with isolation and fast
response features, it is expected to bring in revenue for the
voltage regulator market.

Such innovative technologies that can replace the existing ones
to suit contemporary applications, economic recovery and newly
developing markets, are expected to sustain global demand for
voltage regulators.

The "World Voltage Regulator Markets," a part of the Power
Supplies/Power Quality Equipment subscription, discusses various
market trends and opportunities for the technologies of ferro
resonant, tap switching and buck boost in North America, Europe,
Asia Pacific and Rest-of-World. The study provides drivers,
restraints and challenges that affect the market and presents
strategic recommendations to overcome growth barriers. Interviews
and executive briefings are available to the press.

If you are interested in an analysis overview which provide
manufacturers, end-users and other industry participants an
overview, summary, challenges and latest coverage of the "World
Voltage Regulator Markets," send an e-mail to Julia Paulson,
North American Corporate Communications, at jpaulson@frost.com
with the following information: Full name, Company Name, Title,
Contact Tel Number, Contact Fax Number, E-mail. Upon receipt of
the above information, an overview will be e-mailed to you.

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