Americas Optoelectronics Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 10.30 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Americas Optoelectronics Market Analysis
Americas optoelectronics market is valued at USD 10.74 billion and is expected to register a CAGR of 10.3% during the forecast period to become USD 25.95 billion by the next five years.
- Advances in optoelectronics have made considerable contributions to the efficient transmission of information via optical fibers (including communication between processing machines and within them), to the high-capacity mass storage of information in laser disks, and several other specific applications. Moreover, the increasing demand in the automotive industry, specifically with the adoption of electric vehicles, self-driven trucks, and autonomous vehicles, is expected to boost optoelectronic devices' adoption, further driving the market.
- Laser diodes are the most commonly used optoelectronic components in laser generation. Current market trends in optoelectronics are towards shrinking device sizes and achieving high degrees of integration in systems such as light-emitting diode arrays, laser arrays, and integrated systems with other electronic elements on the same chip.
- Laser diodes are witnessing demand across various applications, including fiber optic communications, barcode readers, DVD/Blu-ray players, printing, and communication technologies. In comparison, growing demand for lasers in the industrial sector has also been identified to boost the market's growth. For instance, in April 2022, Lumnentum unveiled the Femtoblade laser system, the company's second generation of high-precision ultrafast industrial lasers. The new system has a modular design that produces high power at high repetition rates, ensuring excellent flexibility and speed.
- Optoelectronics-based items are more expensive than traditional products, which is one of the issues restricting industry growth. Customers may prefer alternative technologies to optoelectronics-based items, such as liquid crystal display (LCD) screens, over light emitting diode (LED) displays because LCD is a less expensive solution.
- Furthermore, compared to standard items, the cost of replacing spare components is higher. Following COVID-19, the industry gained traction, with production facilities resuming full-capacity production to meet the growing demand for optoelectronic parts across numerous industrial sectors.
Americas Optoelectronics Market Trends
Laser Diodes are Expected to Witness a Significant Growth
- Laser diodes are employed in a variety of industries, including automobile industries. Laser diodes are utilized in the automobile sector to produce car headlights that improve driver visibility, leading to better road safety. Furthermore, the tendency to downsize vehicle headlights is increasing demand for laser diodes. For instance, according to the Bureau of Economic Analysis (BEA), in the fourth quarter of 2022, approximately 3.59 million light vehicles were sold to customers in the United States. Hence, increased automobile demand will drive the studied market in the forecasted region.
- Laser diodes are employed in a variety of industries, including automobile industries. Laser diodes are utilized in the automobile sector to produce car headlights that improve driver visibility, leading to better road safety. Furthermore, the tendency to downsize vehicle headlights is increasing demand for laser diodes.
- Moreover, increasing development in the automobile industry is expected to contribute to segment growth over the forecast period. For instance, in February 2023, Naxinwei introduced Optocoupler-Compatible Intelligent Isolated Single-Transistor Driver. The NSi68515's input mode is compatible with optocoupler input, and the input and output ports use dual-capacitor-enhanced isolation technology. Based on Nanochip Adaptive OOK coding technology, it supports a minimum common-mode transient immunity (CMTI) of 150kV/s, which improves system robustness.
- Increasing advancement in laser diodes will likely increase market demand over the forecast period. For instance, in January 2023, Kyocera SLD Laser, Inc. debuted its new high-power 5-watt blue laser diode solutions for industrial, medicinal, defense, and display applications at the SPIE Photonics West Exhibition in San Francisco, CA, from January 31 to February 2, 2023.
- Furthermore, these process plastics for medical devices (polymer processing). There is an increased demand for cosmetic surgery, including surgical and non-surgical procedures that improve appearance by reshaping and enhancing the body structure.
- For instance, in February 2023, Fluence announced the release of the newest member of the Jasper family of femtosecond lasers. Pulse duration is adjustable from 270 femtoseconds to 8 picoseconds, making it useful in complex applications (optionally flexible up to 20 picoseconds). The pulse energies at 1 MHz can be changed to 5 J, and the output can range from pulse-on-demand to 20 MHz.The Jasper Micro provides numerous advantages for a variety of industries, including medical, material processing, and microtechnology.
- Laser diodes are widely utilized optoelectronic elements in laser generation, with capabilities ranging from fiber DVD/Blu-ray recorders to printing and networking technologies, optic communications, and barcode readers. Furthermore, high usage of electronic equipment has established standard display technology, with consumers wanting better resolution and efficiency, driving the rising demand for electronic devices and increasing the optoelectronics industry.
- High power lasers are finding extensive demand in industrial sectors for various applications, including cutting, welding, and fabrication. Companies are moving towards laser technologies to take advantage of high performance and reliability, driving the demand for high-power laser diodes.
United States is Expected to Hold a Significant Share
- In the current market scenario, the increasing investments in the development of smart infrastructure and the surging adoption of automation technologies would be key to the growth of the market in the studied region.
- The US government is also promoting light-emitting diode (LED) lighting solutions across various end-user verticals to increase energy efficiency. According to the Department of Energy, In the United States, demand for LED lights is anticipated to rise between 2020 and 2035, particularly for outdoor uses. By 2025, LED lighting is projected to be used in 93% of outdoor lighting installations, making it the most widely used type across all industries.
- Optoelectronics applications in the indicators and headlights of vehicles. For instance, in 2022, electric car sales in the United States increased by 55%, making it the third largest market and reaching a global sales share of 8%. This number is expected to increase over the forecast period, which would fuel the demand for the studied market.
- With the expanding local manufacturing in the country, the region is expected to witness heavy investments in local semiconductor manufacturing facilities, thus boosting optoelectronics development.
- Several cities across the globe have already experienced savings from street and roadway lighting programs. For instance, New York has replaced hundreds of thousands of streetlights with LED fixtures as part of Smart Street Lighting NY's objective of replacing at least 500,000 streetlights with LED technology by 2025. The effort directly supports the aims of the Climate Leadership and Community Protection Act, the nation's most stringent clean energy law, by encouraging member towns to employ energy efficiency to lower their yearly electricity use by 3%, which is 1.8 million New York households by 2025.
- According to the US Census Bureau and the US Department of Housing and Urban Development, privately owned housing units permitted by building permits, housing starts, and housing completions are, respectively, 1873000, 1793000, and 1303000 for new residential construction in March 2022. Growth of the LED lighting market would be positively impacted by residential sector development, which will increase demand for Optoelectronics for LED lights.
Americas Optoelectronics Industry Overview
The competitive rivalry in the Americas optoelectronics market is high owing to the presence of major players like General Electric Company, Panasonic Corporation, Samsung Electronics, Omnivision Technologies Inc., and Sony Corporation, among others. Strategic partnerships, mergers, and acquisitions have enabled the companies to expand, achieve a significant market share, and maintain a strong market position.
In June 2022, the world's first open silicon photonics architecture with integrated lasers was revealed by OpenLight Inc. The California-based company wants to make it easier for chipmakers to build photonic integrated circuits (PICs) with the highest possible performance.
In February 2022, Veeco Instruments revealed that an optoelectronic part manufacturer purchased numerous Lumina MOCVD Systems to fabricate cutting-edge photonics applications. The client now uses several Veeco MOCVD systems and different Veeco technologies.
Americas Optoelectronics Market Leaders
Panasonic Corporation
Samsung Electronics
General Electric Company
Sony Corporation
Omnivision Technologies Inc
*Disclaimer: Major Players sorted in no particular order
Americas Optoelectronics Market News
- June 2022:Coherent announced the OBIS XT Series of tiny smart ultraviolet lasers, which have a power capacity of up to 150 milliwatts with a wavelength of 320 nanometers. The OBIS XT series' compact size, low heat dissipation, and integrated controller capabilities simplify integration, saving time and money.
- June 2022: Alfa Chemistry Materials revealed a broad variety of high-quality perovskite materials, which have emerged as the most promising and effective low-cost energy materials in many optoelectronic and photovoltaic projects.
- March 2022: Nisshinbo Micro Devices Inc. finished the development of the NJL5830R reflective-type optoelectronic sensor for touchless pushbuttons and began production in April 2022. The NJL5830R is a reflecting optoelectronic sensor that combines a high-power infrared LED and a reception photo IC in a single package. By selecting buttons on extremely public infrastructure, such as touchless automatic vending machines, ticket issuing machines, and lifts, this system will aid in infection management and hygiene.
Table of Contents
1. INTRODUCTION
1.1 Study Deliverables and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Value Chain / Supply Chain Analysis
4.3 Industry Attractiveness - Porter's Five Forces
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
4.4 Market Drivers
4.4.1 Growing demand for Smart Consumer Electronics and Next Generation Technologies
4.4.2 Increasing Industrial Applications of the Technology
4.5 Market Restraints
4.5.1 High Manufacturing and Fabricating Costs
5. MARKET SEGMENTATION
5.1 Component type
5.1.1 LED
5.1.2 Laser Diode
5.1.3 Image Sensors
5.1.4 Optocouplers
5.1.5 Photovoltaic cells
5.1.6 Other Component Types
5.2 End-User Industry
5.2.1 Automotive
5.2.2 Aerospace & Defense
5.2.3 Consumer Electronics
5.2.4 Information Technology
5.2.5 Healthcare
5.2.6 Residential and Commercial
5.2.7 Industrial
5.2.8 Other End-User Industries
5.3 Geography
5.3.1 North America
5.3.1.1 United States
5.3.1.2 Canada
5.3.2 Latin America
5.3.2.1 Mexico
5.3.2.2 Brazil
5.3.2.3 Rest of Latin America
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 General Electric Company
6.1.2 Panasonic Corporation
6.1.3 Samsung Electronics
6.1.4 Omnivision Technologies Inc
6.1.5 Sony Corporation
6.1.6 Osram Licht AG
6.1.7 Koninklijke Philips N.V.
6.1.8 Vishay Intertechnology, Inc
6.1.9 Texas Instruments Inc
6.1.10 Stanley Electric Co
6.1.11 Rohm Co., Ltd (ROHM SEMICONDUCTOR)
6.1.12 Mitsubishi Electric
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. FUTURE OF THE MARKET
Americas Optoelectronics Industry Segmentation
Optoelectronics facilitates communication between optics and electronics by creating, researching, and producing a hardware device that turns electrical energy into light and light energy via semiconductors.
The market is segmented by component type (photo voltaic (PV) cells, optocouplers, image sensors, light emitting diodes (LEDs), laser diodes (LDs), infrared (IR), and other component types), application (aerospace & defense, automotive, consumer electronics, information technology, healthcare, residential, and commercial, industrial. and other end-user industries), and by geography (North America (United States, Canada), Latin America (Mexico, Brazil).
The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
| Component type | |
| LED | |
| Laser Diode | |
| Image Sensors | |
| Optocouplers | |
| Photovoltaic cells | |
| Other Component Types |
| End-User Industry | |
| Automotive | |
| Aerospace & Defense | |
| Consumer Electronics | |
| Information Technology | |
| Healthcare | |
| Residential and Commercial | |
| Industrial | |
| Other End-User Industries |
| Geography | |||||
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Frequently Asked Questions
What is the current Americas Optoelectronics Market size?
The Americas Optoelectronics Market is projected to register a CAGR of 10.30% during the forecast period (2024-2029)
Who are the key players in Americas Optoelectronics Market?
Panasonic Corporation, Samsung Electronics, General Electric Company, Sony Corporation and Omnivision Technologies Inc are the major companies operating in the Americas Optoelectronics Market.
What years does this Americas Optoelectronics Market cover?
The report covers the Americas Optoelectronics Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Americas Optoelectronics Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Americas Optoelectronics Industry Report
Statistics for the 2024 Americas Optoelectronics market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Americas Optoelectronics analysis includes a market forecast outlook to for 2024 to 2029) and historical overview. Get a sample of this industry analysis as a free report PDF download.
