TEG's power generation principle is based on the "sawtooth-shaped electronic energy level theory," utilizing the thermoelectric effect of semiconductor materials (such as Bi2Te3, PbTe, etc.) to generate electricity. Traditional thermal energy conversion technologies often rely on liquid refrigerants to control the temperature difference between hot and cold ends, but their high costs and poor safety limit their development. In contrast, TEG power generation chips do not require energy conversion processes similar to traditional sources; they can directly convert thermal energy into electrical energy, resulting in higher conversion efficiency, stability, and safety. TEG is a more sustainable and environmentally friendly energy source.

As technology continues to advance, the demand for TEG power generation chips in the market is growing, and the market size is expanding accordingly. In 2017, the global TEG power generation chip market was valued at USD 119 million and is projected to reach USD 195 million by 2023, with a compound annual growth rate (CAGR) of 8.7%.

The domestic market in China is also developing rapidly. Currently, TEG power sources in China are primarily used in aerospace, military, and marine applications. With continuous technological upgrades, the domestic market's development prospects are optimistic. For example, the operation of China's Beidou Navigation System requires stable power supply for satellites, and TEG power sources, with their reliability, stability, and long lifespan, have become the mainstream solution for satellite power. Additionally, products integrating TEG, such as vehicle-mounted refrigerators and headphones, are gradually entering the consumer market, indicating enormous market development potential.

As an emerging energy source, TEG power generation technology has significant room for development and potential. On one hand, its application areas need to be continually explored, such as combining with solar panels for more efficient energy conversion or integrating with energy-saving technologies to utilize waste heat, thereby meeting production and consumption demands. On the other hand, the conversion efficiency of TEG power sources needs to be continuously improved. Currently, traditional materials achieve only around 5% conversion efficiency. Research and development of better materials are expected to enhance TEG power generation's conversion efficiency.

In summary, as environmental protection and clean energy become increasingly recognized, TEG thermoelectric power generation technology will emerge as a popular development direction in the field of new energy sources in the future. The specific market applications of TEG will gradually expand during the ongoing development and improvement process. With the continuous expansion of market demand, the future development prospects of the TEG market are highly promising.