Photonic Integrated Circuit Market Size (2024 - 2029)

Photonic Integrated Circuit Market Analysis

The Photonic Integrated Circuit Market size is estimated at USD 15.11 billion in 2024, and is expected to reach USD 38.35 billion by 2029, growing at a CAGR of 20.47% during the forecast period (2024-2029).

• As soon as a single chip is attached, different components of the photonics, like waveguides, lasers, modulators, and detectors, become known as photonic integrated circuits. Photonic integrated circuits are extremely fast, accommodate higher bandwidth, and have high energy efficiency compared to traditional ICs. These features have dealt with some of the fundamental drawbacks associated with traditional ICs.
• In the case of photonic ICs, the power consumed in such critical applications could be reduced by at least 50%. The frequencies that could be covered with photons are about 1,000-10,000 times higher than the spectrum covered with microelectronics, implying that by using photonic ICs, end users can achieve much higher frequencies that are far more energy-efficient than traditional ICs.
• These low costs of photonics devices manufactured through the hybrid monolithic approach are growing exponentially every year as a result of DataDriven Ecosystems, finding great demand from end users' applications.
• In addition, several market participants are working to take advantage of PIC's active developments as part of a highly integrated photonic technology and in order to meet the growing volume of network traffic driven by COVID-19 pandemic responses, particularly within data centers.
• While hybrid photonic ICs are highly efficient and have a number of advantages compared to previous generations of conventional ICs, they do not achieve the level of market penetration found in traditional ICs.
• The surveillance market is growing with threats and scenarios like COVID-19. Many public places worldwide are deploying optical and photonic sensors that enable high-sensitivity night vision sensors, cameras, and systems combined with semiconductor photocathode technology with silicon-based digital video technology.

Photonic Integrated Circuit Industry Segmentation

A microchip contains two or more optical components forming a working circuit, which is sometimes referred to as an Integrated Photonics Circuit. This system is capable of detecting, generating, transporting, and processing.

The scope of the study covers photonic ICs, their growth and restricting factors, and the increased demand across various applications. The study also briefly analyzes the impact of macroeconomic trends on the market. The concept of the photonic integrated circuit is similar to electronic integrated circuits.

The report offers global photonic IC market growth, and the market is segmented by type of raw material (iii-v material, lithium niobate, silica-on-silicon, and other raw materials), integration process (hybrid and monolithic), application (telecommunications, biomedical, data centers, and other applications like optical sensors, LiDAR, and metrology), and geography (North America, Europe, Asia Pacific and the Rest of the World). The market sizes and forecasts are provided in terms of value in USD for all the above segments.