Abstract: Compound semiconductors are wide bandgap semiconductors and they are suitable materials for high-temperature, high-frequency, anti-radiation and large power devices. In 2020 global compound semiconductor market scale is about 44 billion US dollars. With the rapid progress of 5 G, AI and automotive electrification, the market will continuously grow further. Compound semiconductors mainly comprise GaAs, InP, GaN, SiC and ultra wide bandgap semiconductors such as diamonds and Ga₂O₃. Devices based on compound semiconductors include RF, optoelectronics and power devices, which have important applications in national defence, aerospace, petroleum exploration, wideband communication, automotive, smart grid. Development of compound semiconductors need collaborative innovation through the whole industry, referring not only to collaborate with research institutes and universities but also to understand the needs from application enterprises clearly.