Silver is far more than a precious metal: It is a key raw material for technologies that are shaping our future – solar power, electric vehicles, and artificial intelligence.
The report “Silver, the Next Generation Metal” by Oxford Economics (December 2025) explains in detail how strongly these sectors are growing and why silver remains indispensable to them.
What follows is a clear and accessible summary of the report’s key findings.
1. Solar Energy (Photovoltaics)
1.1 Why Silver Is Indispensable for Solar Cells
Silver is the most electrically conductive metal in the world. In solar cells, it is used as a conductive paste on both the front and rear sides. It fulfills three essential functions:
- Electrical conductivity: Allows solar-generated electricity to be transmitted efficiently.
- Thermal conductivity: Helps prevent overheating of the cells.
- Corrosion resistance: Ensures long-term durability under outdoor conditions.
1.2 How the Solar Industry Has Developed
Global PV Capacity 2014-2024
1.3 Share of the Solar Industry in Global Silver Demand
Share of Photovoltaics in Industrial Silver Demand
In 2014, only about 11% of industrial silver demand came from solar cells. Today, this share has risen to approximately 29%, making solar energy the single largest industrial consumer of silver.
1.4 Outlook: Solar Energy Continues to Grow Rapidly
- The International Energy Agency (IEA) expects:
- 17% annual growth in global solar power capacity through 2030.
- Solar power to become the largest renewable energy source worldwide.
- Strong government support in many countries.
- Solar electricity to become increasingly cost-competitive even without subsidies.
However, several factors must be considered:
- New solar cell technologies such as TOPCon and SHJ require more silver per cell.
- At the same time, manufacturers continue working to reduce the amount of silver used in each cell.
- Recycling will play only a minor role in the near term, as solar modules typically remain in use for 20-30 years.
2. Electric Mobility & the Automotive Industry
2.1 Why Vehicles Require Increasing Amounts of Silver
Silver is used in many components within modern vehicles. It is found in electrical contacts, ensures reliable signal transmission in sensors and safety systems, is used in various control units, and plays an important role in battery management systems and power electronics.
Battery electric vehicles (BEVs) contain significantly more electronic components and therefore require substantially more silver than conventional internal combustion engine vehicles.
2.2 How Much Silver Is Used in Different Vehicle Types?
Silver Consumption per Vehicle Type
An electric vehicle requires 67-79% more silver than a conventional internal combustion engine vehicle. Hybrid vehicles also contain significantly higher amounts of silver.
2.3 Global Production of Electric Vehicles
EV Production Forecast 2025-2031
Electric vehicles currently account for roughly one fifth of global vehicle production. This share is expected to increase significantly by 2031, driven primarily by China, but increasingly also by Europe and North America.
2.4 How Strongly Does Silver Demand Increase as a Result?
Expected Silver Demand from the Automotive Sector
Silver demand from the automotive industry continues to rise year after year. From 2027 onward, electric vehicles are expected to consume more silver than conventional combustion-engine vehicles. By 2031, the automotive sector is projected to require approximately 94 million ounces of silver per year.
An additional driver of rising silver demand is the global expansion of charging infrastructure, as charging stations also contain silver. At the same time, the share of electronics in modern vehicles continues to grow, with an increasing number of sensors, driver-assistance systems, and digital functions being integrated. Furthermore, autonomous driving will further increase silver demand, as it requires an even greater number of sensors, cameras, and high-performance electronic components.
3. Data Centers & Artificial Intelligence
3.1 Why Silver Is Essential for the Digital World
Data centers form the backbone of the modern economy. They provide cloud computing capacity, store vast amounts of data, and enable the training of artificial intelligence models. Silver plays an important role in this infrastructure: It is used in electrical contacts and wiring, incorporated into server hardware, and (thanks to its excellent thermal conductivity) helps efficiently dissipate heat in high-performance processors.
3.2 How Rapidly Data Centers Are Expanding Worldwide
Number of Global Data Centers 2000-2025
Die Anzahl der Datenzentren hat sich seit 2000 elfmal vervielfacht.
IT-Leistungskapazität von 2000-2025
Overall computing capacity has increased by more than 5,000%. Data centers today are far larger and far more powerful than they were 20 years ago. Greater computing power inevitably means more servers, more chips, and consequently more silver.
3.3 Where Are the World’s Largest Data Centers Located?
Regional Distribution of Computing Capacity in 2025
North America, Europe, and East Asia dominate the landscape, together accounting for 88% of global IT computing capacity.
3.4 How Strongly Will Expansion Continue?
Forecast for U.S. Data Center Construction Volume
In the United States, the construction of new data centers is expected to increase by 57% over the next 10 years, with similar developments anticipated worldwide.
The main drivers of this expansion are the massive boom in artificial intelligence, the rapidly growing use of cloud services and the enormous computing requirements of video and image-based AI applications. In addition, new data center locations are increasingly being established in emerging markets as these countries expand their digital infrastructure.
However, the resulting increase in silver demand does not arise solely within data centers themselves. It also extends to the technologies that enable this growth, including high-performance AI chips such as GPUs, TPUs and NPUs, modern robotics and automation systems, and the vast number of sensors and connected devices that make up the Internet of Things.
Bottom Line: Silver Remains a Key Metal for the Future
The report makes it clear that silver plays a critical role in 3 major future technologies: Solar energy, electric mobility and artificial intelligence together with the data centers required to support it. All 3 sectors are growing rapidly and increasingly rely on silver because no other metal combines such high electrical conductivity with excellent thermal conductivity.
Although technological advances aim to reduce the amount of silver used in individual components, the structural increase in demand far outweighs these efficiency gains.
The combination of the energy transition, the transformation of transportation and ongoing digitalization ensures that silver is no longer viewed merely as a traditional precious metal. Instead, it is increasingly recognized as a strategic high-tech material. Its importance extends well beyond the traditional investment and jewelry markets and firmly anchors silver in some of the world’s most important industries for the decades ahead.
Why Elementum Is a Perfect Choice for Investors Under These Conditions
The trends outlined in the report clearly show that silver will play an increasingly central role in key technologies such as solar energy, electric mobility and artificial intelligence in the years ahead. This means that industrial demand for silver is growing in a structural and long-term manner, largely independent of short-term market fluctuations.
For investors, this makes it important not only to benefit from potential price appreciation, but also to have a secure and reliable solution for holding physical silver. This is where Elementum offers distinct advantages. Precious metals are stored in a high-security facility in Switzerland, fully insured, held with 100% ownership by the client and independently audited on an annual basis. This allows investors to benefit from the long-term fundamental developments in the silver market while maintaining a high level of security, transparency, flexibility and liquidity.
In an environment in which silver is increasingly becoming a strategic raw material, Elementum provides a professional and low-risk way to participate physically in the market and to take advantage of the opportunities arising from future technology cycles over the long term.
How can you buy precious metals cheaply and store them safely?
Elementum Deutschland GmbH, based in Sindelfingen (Germany), specializes in trading physical precious metals. Customers who purchase precious metals from Elementum Deutschland (or one of the other national Elementum companies in five European countries) can store them in the renowned high-security vaulting facilities in the St. Gotthard Massif in Switzerland at Elementum International AG.
Of course, you also have the option of purchasing gold and silver directly and having it delivered to your desired address. However, storing silver in the so-called open duty-free warehouse (“offenes Zollfreilager”) at St. Gotthard offers decisive tax advantages:
- The 19% value added tax customary in Germany is completely waived on purchases and sales – a considerable price advantage that effectively secures you 19% more silver for your money.
- If you store your silver in this high-security vault, you can sell it back to Elementum Deutschland GmbH at any time – without any bureaucratic hassle and also without VAT, as the trade takes place within the duty-free warehouse. You will receive the funds via bank wire.
- VAT is only payable when you physically remove the stored silver – either by picking it up in person (after prior notification) or by having it shipped to your address.
More silver, more return
Thanks to duty-free storage, you receive 19% more physical silver when you buy. This additional amount also participates in the performance of the silver price if it rises – a leverage effect that significantly improves your return opportunities.
Secure your storage space now – free of charge and without obligation
Register now for a storage space in the St. Gotthard high-security vaulting facility and receive free access to:
- our General Terms and Conditions (GTC)
- current fee tables
- annual audit reports from the auditing company BDO AG
- transparent proof of use of funds
- family discount information
- the popular children’s program “Schatz4Kids” (“Treasure4Kids”)
- as well as numerous other documents and information on storage, purchase, and resale, as well as the ratio “switching” strategy.
Register now: https://silberbar.elementum.de/
Tip for discounted entry: Enter the promotional code “50” (“Aktionscode“) and the “Vermittler” number 1000166 when registering to receive a 50% discount on the storage space setup fee.
Important: Registration is non-binding and does not commit you to anything – but it is your first step towards an independent and crisis-proof precious metal investment.
Elementum is a second-generation, owner-managed family business. Trust, consistency, and long-term thinking are at the heart of our philosophy. The Board of Directors of Elementum International AG is composed of internationally renowned experts in the money and precious metals markets, including economists, analysts, university professors, and precious metals specialists. This in-depth expertise forms the backbone of our actions – for your security, your assets, and your future.
About the Author
Stephan Bogner
CEO of Elementum International AG
Stephan Bogner, who holds a degree in business administration, studied economics at ISM Dortmund (Germany) and wrote the university’s first thesis on precious metals as a hedge against inflation. After studying in the UK and Australia and gaining professional experience in Dubai, he took over as CEO of Elementum International AG in Switzerland in 2012. His expertise in precious metals has had a significant impact on the company’s development.
Contact
Rockstone News & Research
Stephan Bogner (Dipl. Kfm., FH)
Müligässli 1, 8598 Bottighofen
Switzerland
Phone: +41-71-5896911
Email: info@rockstone-news.com
Disclaimer: This article reflects the personal opinion of the author. Elementum assumes no responsibility for the accuracy of the content and accepts no liability for its use. This article may contain links to external third-party websites. Elementum is not responsible for the content of these external sites and expressly distances itself from all information provided there. At the time the links were created, no unlawful content was identifiable. This article does not constitute a recommendation to buy or sell. Elementum International AG is a Swiss company that specializes exclusively in the storage of physical precious metals in a high-security vault facility located in the St. Gotthard mountain massif in Central Switzerland. The Board of Directors and Executive Management of Elementum International AG have been selected solely based on their professional expertise and long-standing experience in precious metals markets. As these individuals may also be professionally active outside their roles at Elementum International AG, the company has no influence over their external activities and respects their right to freedom of expression. Therefore, the views expressed by persons working with or for Elementum do not necessarily reflect the opinion of Elementum International AG. Investments in precious metals are subject to risks, including those specific to the structure of this market. Please read our full risk disclosures and consult a licensed financial advisor before making any investment decisions. Neither the author, Elementum International AG, nor Elementum Deutschland GmbH assume any liability for actions taken based on the information provided. Past performance is not indicative of future results. The cover picture has been obtained and licenced from 123rf.com.
