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Photonics is a science that involves generation, emission, modulation, signal processing, switching, amplification, and detection of light. Photonic devices includes optical fibers, light emitting diodes, image sensors, laser diodes, VCSELs, detectors, optics, and imaging systems. Photonics technology find applications in sectors such as healthcare and life sciences, transportation, information and communication technologies, defense and security, and solid-state lighting among others. In healthcare sector, photonic devices plays a vital role, from assisting diagnosis to aiding minimally invasive medical procedures. Optical fibers are used for endoscopy for real-time imaging of internal organs of the human body. Laser diodes and laser scalpels are used for precision surgery and treatments.
The global Photonics Market is estimated to be valued at US$ 757.03 Mn in 2024 and is expected to exhibit a CAGR of 7.9% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics
The photonics market is expected to be flourished by adoption of optical components in healthcare. Optical technologies such as fiber optics, lasers, LEDs play a vital role in diagnosis as well as treatment procedures in healthcare sector. Lasers find wide applications in surgical procedures for precision cutting and coagulation. Fiber optic endoscopy is widely used for diagnosis of gastrointestinal diseases by real time imaging of internal organs. Fiber optic sensors and optical coherence tomography helps in non-invasive imaging and 3D reconstruction of tissues. Furthermore, LED and laser based phototherapy aids in wound healing and aesthetic treatment procedures. Thus increasing healthcare expenditure and growing demand for minimally invasive surgeries and real time diagnosis is expected to propel the demand for photonics components in healthcare sector during the forecast period.
Another driver for photonics market is growing demand for high speed internet connectivity. Photonics enables tremendous data transmission capacity through optical fibers due to its advantages over metal wires. Optical fibers has enabled development of 5G telecommunication networks with terabit data transmission capability. Optical transceivers and integrated photonic chips are key enablers for high speed data transmission in 5G networks. Thus growing demand for internet connectivity across sectors and proliferation of internet of things is anticipated to boost the photonics market during 2024-2030 period.
Key players operating in the photonics market are Carl Zeiss AG, Hamamatsu Photonics KK, Schott AG, Intel Corporation, Photonics SAS, Polatis Photonics Inc., Philips Photonics, Alcatel-Lucent SA, Osram Licht AG and Molex Inc. Carl Zeiss leads the market owning to wide product portfolio including optical systems and modules for industrial manufacturing, semiconductor manufacturing and medical technology. Hamamatsu Photonics specializes in photomultiplier tubes, silicon photodiodes and optical sensors.
Segment Analysis
The photonics market can be segmented into laser technology, optoelectronics, and classic light sources and others. The laser technology segment dominates the market and holds around 35% share owing to wide applications in industrial manufacturing, healthcare, defense, and communication sector. Laser based devices find use in material processing, microscopy, surgery, bar code scanners, fiber optic communication, and military range finding due to properties like coherence, directionality and high power intensity.
PEST Analysis
Political: The government regulations regarding import/export of strategic and defense photonics components influences the market. Economic: Rising applications of photonic devices in manufacturing, healthcare and telecommunication industries drives the economic growth. Social: Increasing demand for fiber optic networks for data transmission and healthcare equipment for diagnosis and treatment shapes the social factors. Technological: Advancements in laser sources, optical amplifiers, photonic integrated circuits and optical sensors to improve functionality, efficiency and miniaturization act as technological promoters.
Regional Analysis: The Asia Pacific region dominates the market currently due to presence of key players and fibre optical network projects in countries like China and India. Countries in this region are extensively investing in R&D of photonic integrated circuits and optical communications infrastructure to improve connectivity.
Key Takeaways
The global Photonics Market is expected to witness high growth.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc.
