The market was over $7 billion in 2007 and is forecasted to be nearly $11 billion in 2012, the study found. It also found that emerging economies, such as those in the BRIC countries (Brazil, Russia, India and China) and Eastern Europe, helped propel this growth.

"Increasing consumer demand from the growing middle class in emerging economies, new infrastructures, a friendly financial environment for capital investments and a need for producing and saving energy were primary factors for huge market growth," says Senior Analyst Himanshu Shah, the principal author of ARC's "Low Power AC Drive Worldwide Outlook, Market Analysis & Forecast Through 2012" report.