Market Size of LED Driver Industry
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 16.43 Billion |
| Market Size (2029) | USD 46.08 Billion |
| CAGR (2024 - 2029) | 22.91 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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LED Driver Market Analysis
The LED Driver Market size is estimated at USD 16.43 billion in 2024, and is expected to reach USD 46.08 billion by 2029, growing at a CAGR of 22.91% during the forecast period (2024-2029).
The use of LEDs as a replacement for conventional light is becoming more widespread, causing the worldwide LED driver market to increase. LEDs outperform traditional lighting products in terms of value. These advantages include an extended LED lifespan, more energy savings than conventional goods, miniaturization, and reduced heat emission. Similarly, since there are more smart homes, there is a greater need for Internet of Things (IoT) based connected lighting solutions, driving the growth of the worldwide LED driver market.
The global LED driver market is expanding due to various measures being taken by nations worldwide to increase energy conservation. Nevertheless, a few limitations are preventing the growth of the worldwide LED driver market. There is a misconception that installing LED drivers is expensive, so that the industry may experience some negative trends. Additionally, manufacturers' lack of agreed-upon standards might impede the growth of the worldwide LED driver market.
The quick technological advancements in lighting have enabled power efficiency and effectiveness, boosting the need for the product and fostering the expansion of the worldwide LED driver market. Due to the escalating demands for current lighting resolutions, the growing use of LED lighting in various applications, including horticulture, automotive, indoor, and industrial, has also boosted the expansion of the LED driver business. The business of LED drivers is anticipated to continue to grow due to the increasing utilization of LED drivers in gadgets like calculators.
Additionally, in recent years, the increasing industrial development and population growth led to a surge in global demand for energy-the decreasing amount of resources and increasing demand for power led to the energy crisis in the world. Various countries have passed regulations on energy consumption to overcome this crisis, which state the use of energy-saving consumer electronics.
Even though there is a robust global movement toward the use of more energy-efficient lighting solutions, with predictions mentioning that LED and compact florescent lamps replacing 90% of global indoor lighting by 2022, the usage and acceptance of LED light depends on the individual, their awareness, decision-making and lifestyle, and related environmental issues. The adoption of LED solutions is increasing due to stringent regulations, but consumer awareness about LEDs' benefits is significantly lower but rising significantly. Meanwhile, consumers should avoid spending on new lighting solutions based on benefits.
Further, the demand for external drivers is also expected to increase significantly across the globe owing to various innovative city initiatives under which governments worldwide are looking to reduce energy consumption and gain cost benefits. According to this, the demand for external LED drivers for street lights and outdoor lighting solutions is expected to increase.
