A digital isolator is used to get a digital signal across a galvanic isolation boundary. They serve a similar purpose to optocouplers, except optocouplers are far too slow and error prone for high speed (1MHz+) digital signals. They also use a different coupling technology, usually transformer or RF link as opposed to an optical link.

While digital isolators only work with digital signals, they are frequently used to transfer digitised versions of analogue signals. The resulting signal chain will have better bandwidth, accuracy and linearity in comparison to an optocoupler based system. Optocouplers have inherent non-linearity and high unit to unit variations (+- 50% of your signal), so the circuit will need to immune to these variations or each unit individually calibrated.

Multiplexing digital channels across a single digital isolator path can be achieved very easily, which in turn simplifies the circuit and results in a net cost saving in-spite of using a more expensive isolation technology. In short, digital isolators are a superior to optocouplers in almost every regard
Market Analysis and Insights: Global and United States Digital Isolators Market
This report focuses on global and United States Digital Isolators market, also covers the segmentation data of other regions in regional level and county level.
Due to the COVID-19 pandemic, the global Digital Isolators market size is estimated to be worth US$ 356.8 million in 2022 and is forecast to a readjusted size of US$ 608.3 million by 2028 with a CAGR of 9.3% during the forecast period 2022-2028. Fully considering the economic change by this health crisis, by Type, Capacitive Coupling accounting for % of the Digital Isolators global market in 2021, is projected to value US$ million by 2028, growing at a revised % CAGR from 2022 to 2028. While by Application, Industrial Automation was the leading segment, accounting for over percent market share in 2021, and altered to an % CAGR throughout this forecast period.
From a global perspective, Taiwan is the largest production area, and the main production companies are also concentrated in this area, such as Silicon Labs, ADI and TI. In North America, the total output accounting for 31.98% of the world, followed by Southeast Asia. The main manufacturers are ADI, Broadcom Corporation, Maxim Integrated and Infineon. China's digital isolator industry is still an underdeveloped market.
Global Digital Isolators Scope and Market Size
Digital Isolators market is segmented by region (country), players, by Type and by Application. Players, stakeholders, and other participants in the global Digital Isolators market will be able to gain the upper hand as they use the report as a powerful resource. The segmental analysis focuses on revenue and forecast by region (country), by Type and by Application for the period 2017-2028.
For United States market, this report focuses on the Digital Isolators market size by players, by Type and by Application, for the period 2017-2028. The key players include the global and local players, which play important roles in United States.
Segment by Type
Capacitive Coupling
Magnetic Coupling
Giant Magnetoresistive GMR
Segment by Application
Industrial Automation
Automobile
Power Management
Telecom
Other
By Region
North America
U.S.
Canada
Europe
Germany
France
U.K.
Italy
Russia
Asia-Pacific
China
Japan
South Korea
India
Australia
Taiwan
Indonesia
Thailand
Malaysia
Philippines
Vietnam
Latin America
Mexico
Brazil
Argentina
Middle East & Africa
Turkey
Saudi Arabia
U.A.E
By Company
Silicon Labs
ADI
TI
Broadcom Corporation
Maxim Integrated
Infineon
Vicor
NVE
ROHM
Shanghai Chipanalog Microelectronics
Beijing Zhongke Gree Micro
2Pai Semiconductor