Outdoor Lighting Market Size and Share
Market Overview
| Study Period | 2019 - 2030 |
|---|---|
| Market Size (2025) | USD 16.27 Billion |
| Market Size (2030) | USD 22.27 Billion |
| Growth Rate (2025 - 2030) | 6.48% CAGR |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order Image © Mordor Intelligence. Reuse requires attribution under CC BY 4.0. |
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Outdoor Lighting Market Analysis by Mordor Intelligence
The outdoor lighting market size reached USD 16.27 billion in 2025 and will advance to USD 22.27 billion by 2030, reflecting a 6.48% CAGR over the forecast period. Growth rests on three pillars: smart-city capital spending, binding energy-efficiency mandates, and rapid technology improvements that turn every pole into a connected urban platform. North America leads adoption, but Asia-Pacific shows the quickest climb as megacities race to modernize grids and install IoT-ready luminaires. Decorative fixtures command the highest revenue, yet retrofit programs now expand faster than green-field projects because payback periods keep falling. E-commerce is quietly reshaping channel dynamics, while municipal tenders still dominate large projects. Market rivalry is moderate but tightening as software integrators, telecom operators, and traditional fixture brands converge on connected-lighting ecosystems.
- By product type, decorative fixtures held 38.82 of % outdoor lighting market share in 2024, whereas deck-and-patio lights are projected to post an 11.48% CAGR through 2030.
- By installation type, new projects accounted for 66.61% of the outdoor lighting market size in 2024; retrofit and replacement will accelerate at a 12.14% CAGR.
- By distribution channel, B2B tenders captured 62.13% of 2024 sales, while online platforms will grow at a 13.57% CAGR, eroding legacy models.
- By application, commercial venues represented 65.53% of the outdoor lighting market size in 2024, but residential areas will expand at an 11.10% CAGR as smart-home hubs move outside.
- By geography, North America led with 37.85% revenue share in 2024; Asia-Pacific is poised for the highest 12.92% CAGR to 2030.
- Top 5 players such as Signify (Philips Lighting), Acuity Brands Lighting, Hubbell Lighting, ams OSRAM, and Cooper Lighting Solutions hold major market share in 2024.
Global Outdoor Lighting Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Rapid urbanization and smart-city investments | +2.1% | Global, with concentration in APAC and MEA | Long term (≥ 4 years) |
| Energy-efficiency regulations mandating LED retrofits | +1.8% | North America & EU, expanding to APAC | Medium term (2-4 years) |
| Declining cost of LED & connected lighting solutions | +1.4% | Global | Short term (≤ 2 years) |
| Government roadway-safety infrastructure upgrades | +1.1% | North America & EU, selective APAC markets | Medium term (2-4 years) |
| LiDAR-enabled streetlights for traffic analytics | +0.5% | North America core, pilot programs in EU and APAC | Long term (≥ 4 years) |
| Solar-hybrid self-powered luminaires in off-grid areas | +0.3% | APAC, MEA, and rural North America | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Rapid Urbanization & Smart-City Investments
Smart-city programs are shifting streetlights from single-purpose fixtures to multifunction urban nodes. India’s Smart Cities Mission has installed 5.2 million LED streetlights across 100 municipalities, and Andhra Pradesh alone retrofitted 2.95 million units under the national program[1]Source: Ministry of Housing & Urban Affairs, “Smart Cities Mission Progress,” mohua.gov.in. . San Diego’s 3,200 sensor-equipped luminaires generate USD 2.4 million annual savings and provide real-time traffic analytics that assist law enforcement. Such projects illustrate how lighting grids underpin revenue-generating digital services, reinforcing long-term investment cases for connected systems.
Energy-Efficiency Regulations Mandating LED Retrofits
Regulators are tightening minimum-efficiency thresholds. The EU Ecodesign Regulation enforces 85 lm/W minimum efficacy for lamps sold after 2024. California’s Title 24 code requires high-efficacy exterior lighting plus automatic controls for new non-residential buildings[2]Source: California Energy Commission, “Title 24 2025 Standards,” energy.ca.gov.. Parallel dark-sky rules in 15 U.S. states cap color temperature at 3000 K and mandate full-cutoff optics, accelerating replacement of legacy HPS fixtures.
Declining Cost of LED & Connected Lighting Solutions
Manufacturing scale economies and technological maturation are driving LED costs below traditional alternatives across most applications. The U.S. Department of Energy projects that LED outdoor area lighting can achieve payback periods of 3-7 years in typical installations, with some applications reaching break-even within 18 months. Cellular photo-controls and D4i drivers have become standard SKUs; Acuity Brands’ Cell Connect platform bundles cloud analytics with revenue-grade metering at municipal price points once reserved for basic photocells. Silicon-carbide power devices further lift system efficacy while reducing maintenance cycles.
Government Roadway-Safety Infrastructure Upgrades
Pittsburgh allocated USD 15 million to modernize 35,536 streetlights, financed through American Rescue Plan grants and municipal bonds. Integrating smart cameras with luminaires helped San Diego resolve 229 criminal cases in 2024. The U.S. Department of Transportation's Integrated Lighting Campaign highlights projects linking energy savings with tangible safety metrics, sustaining bipartisan funding support.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| High upfront capex for smart lighting roll-outs | -0.9% | Global, particularly acute in developing markets | Short term (≤ 2 years) |
| Light-pollution rules & dark-sky ordinances | -0.5% | North America & EU, expanding globally | Medium term (2-4 years) |
| Cyber-security gaps in connected streetlights | -0.4% | Global, concentrated in developed markets | Medium term (2-4 years) |
| LED semiconductor supply-chain volatility | -0.3% | Global | Short term (≤ 2 years) |
| Source: Mordor Intelligence | |||
High Upfront Capex for Smart-Lighting Roll-Outs
The Chicago Smart Lighting Program delivers USD 10 million annual electricity savings, yet the city first financed a large-scale replacement of 270,000 fixtures, underscoring significant capital requirements[3] Source: City of Chicago, “Smart Lighting Program,” chicago.gov. Smaller municipalities often lack bonding capacity; the World Bank estimates funding barriers defer USD 6 billion in potential savings in U.S. cities each year. ESCO contracts and public-private partnerships, such as New York Power Authority’s Smart Street Lighting NY, increasingly shift capex off municipal balance sheets while guaranteeing performance.
Light-Pollution Rules & Dark-Sky Ordinances
Dark-sky ordinances mandate full-cutoff optics and ≤3000 K color correlated temperature (CCT), limiting luminaire choices and elevating design complexity. LEDVANCE reports higher SKU counts and precision optics to meet varied regional codes. The International Dark-Sky Association’s model ordinance is gaining global traction, pushing manufacturers toward adaptive dimming and narrow-beam optics to balance compliance with visibility.
Segment Analysis
By Product Type: Decorative Dominance Drives Market Evolution
Decorative luminaires generated 38.82% of 2024 revenue, reaffirming city beautification priorities and lifestyle shifts toward experiential public spaces. The outdoor lighting market size for deck-and-patio lights is expanding at an 8.47% CAGR as homeowners in North America and Europe invest in outdoor living upgrades that mirror indoor comfort. Path and step lights, garden spikes, and security floods continue fulfilling functional roles; however, demand is increasingly tied to fixtures that embed motion sensing and tunable-white capability for code compliance and ambiance.
Manufacturers now pair sculptural designs with Bluetooth mesh drivers, allowing color-changing scenes for festivals without re-lamping. Solar hybrids penetrate premium decorative lines, blending die-cast aluminum housings with low-profile PV panels to maintain styling. In commercial districts, programmable RGB façades serve placemaking objectives that support tourism revenue, while bollard lighting balances pedestrian safety with light-pollution restrictions.
Note: Segment shares of all individual segments available upon report purchase
By Light Source: LED Transition Accelerates Solar Innovation
LEDs captured 68.36% of the outdoor lighting market share in 2024 as efficacy gains and price erosion eclipsed HID incumbents. The outdoor lighting market size attributed to other light sources (HID/OLED/Laser) is advancing at a 7.39% CAGR, propelled by subsidies in India and off-grid African mini-grid programs. Regulatory RoHS bans on mercury-containing lamps accelerate LED retrofits across EU municipalities, while induction technology remains niche in tunnels where maintenance access is complex.
Silicon-carbide drivers and high-efficiency T-junction LEDs are pushing road-class fixtures past 200 lm/W, allowing utilities to comply with lumen-per-watt caps even at reduced operating currents. Meanwhile, solar modules now package 22% cell efficiency and MPPT controllers inside finless aluminum extrusions, cutting installation time on rural roadways and mining sites.
By Installation Type: Retrofit Momentum Builds Market Foundation
New installations still represented 66.61% of 2024 demand, reflecting ongoing greenfield urbanization. Retrofit programs are climbing at an 8.14% CAGR as aging high-pressure sodium inventories face obsolescence and energy-efficiency mandates. The outdoor lighting market size for smart-ready retrofits encompasses kits that swap luminaire heads while retaining poles and wiring, slashing civil works cost versus tear-outs.
Energy service companies (ESCOs) bundle design-build-operate contracts, guaranteeing savings to secure low-cost debt. Retrofit sensors using Zhaga Book 18 sockets turn legacy poles into asset-management nodes within hours, accelerating municipal decision cycles. Utility-hosted networks simplify wireless backhaul by piggybacking on existing AMI infrastructure, reinforcing the financial viability of large-scale upgrades.
By Application: Commercial Leadership Drives Innovation Adoption
Commercial venues held 65.53% outdoor lighting market size in 2024, encompassing hospitality façades, stadium perimeters, hospital campuses, and retail parking lots. Adaptive dimming, asset tracking, and emergency beacons justify higher bill-of-material costs where customer experience and liability mitigation carry financial weight.
Residential demand grows at 7.10% CAGR as voice assistants integrate exterior scenes into smart-home routines; Matter-certified low-voltage fixtures simplify DIY installation for single-family homes. Roadway authorities pursue LED plus V2X-ready nodes that host radar and LiDAR for autonomous-vehicle readiness, while logistics operators deploy high-mast LED floods with ultra-narrow beams to reduce glare and boost CCTV performance.
By Distribution Channel: Digital Disruption Reshapes Traditional Models
Direct B2B tenders delivered 62.13% of 2024 sales as specification complexity drove consultative purchasing. Yet online marketplaces are logging 9.27% CAGR by standardizing SKU data, freight integration, and installer networks for small projects. Manufacturers now deploy hybrid models: Signify’s BrightSites portal lets contractors configure pole kits, generate photometric layouts, and order shipments in one session.
Regional rep agencies are consolidating; the merger that formed LINX Lighting & Controls created a network of 190 brands across 11 states, blending local project support with web-based inventory access. For residential buyers, Amazon’s Pro Portal offers bundled fixtures with installation scheduling, shrinking the gap between online convenience and professional service.
Note: Segment shares of all individual segments available upon report purchase
Geography Analysis
North America commanded 37.85% of 2024 revenue, buoyed by large-scale municipal retrofits such as Chicago’s 270,000-fixture program and Pittsburgh’s USD 15 million modernization covering 35,536 streetlights. Federal infrastructure allocations and robust ESCO financing accelerate asset turnover cycles. Title 24 and ENERGY STAR rules enforce high-efficacy minimums and automatic controls, ensuring steady retrofit volumes. Utilities also pilot LiDAR and environmental sensing, positioning the region at the forefront of multifunction pole deployments.
Asia-Pacific registers an 8.92% CAGR to 2030, fueled by rapid urbanization and government-backed smart-city portfolios. India has deployed 5.2 million LED streetlights under its national mission, saving an estimated 8.5 TWh annually.
Europe advances steadily on the back of regulatory levers. Ecodesign lamp bans and the updated Energy Performance of Buildings Directive create non-discretionary connected-lighting demand. Germany, France, Spain, Italy, and the UK focus on aging-asset replacement, whereas Benelux and Nordic regions pioneer dim-to-dark schemes that exceed 70% energy savings. Eastern Europe and the Mediterranean accelerate infrastructure using EU cohesion funds, and coastal tourism hubs in Greece and Portugal invest in decorative façade lighting aligned with light-pollution guidelines.
Competitive Landscape
The market exhibits moderate concentration; the top five suppliers—Signify, Acuity Brands, Hubbell Lighting, ams OSRAM, and Cooper Lighting—command meaningful yet non-dominant shares. Vendor positioning is shifting toward vertically integrated offerings spanning luminaires, sensors, cloud software, and field services. Acuity Brands’ USD 1.215 billion acquisition of QSC extended its Intelligent Spaces portfolio from lighting to AV control, signaling a strategy to monetize building data beyond illumination. Signify’s Interact City remains the largest installed connected-lighting platform, enabled by Philips luminaire heritage and a network of service partners.
Technology capability is the main differentiation axis. Vendors race to embed cybersecurity certifications, revenue-grade metering, and AI-driven fault prediction into control nodes. Cooper Lighting’s WaveLinx Pro leverages over-the-air upgrades to introduce LiDAR options without replacing fixtures, while Hubbell invests in isolated PoE driver architectures to converge lighting with enterprise networks. Start-ups offering open-protocol controllers pressure incumbents on cost and interoperability, encouraging alliances such as Signify’s partnership with Gila Al Tawakol Electric to localize LED production in Egypt for regional tenders.
Supply-chain resilience is a competitive differentiator amid chip shortages and logistics volatility. Firms with in-house SiC fabrication or multi-site driver plants better shield customers from lead-time spikes. To counter ASP erosion, leading brands layer subscription analytics and asset-as-a-service contracts that lock in recurring revenue and raise switching barriers. As procurement shifts toward total-cost-of-ownership metrics, bundled energy-performance guarantees favor suppliers with integrated ESCO arms capable of financing, installation, and O&M services over the concession term.
Outdoor Lighting Industry Leaders
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Signify (Philips Lighting)
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Acuity Brands Lighting
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Hubbell Lighting
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ams OSRAM
-
Cooper Lighting Solutions
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- June 2025: Signify introduced Philips Hue Play Wall Washer with ColorCast projection and an AI scene-creation assistant, priced at USD 219.99.
- January 2025: Acuity Brands completed its USD 1.215 billion acquisition of QSC, bolstering its cloud-managed AV and control portfolio.
- January 2025: Kingswood Capital unveiled Coleto Brands as the new umbrella for the merged Kichler and Progress Lighting operations.
Global Outdoor Lighting Market Report Scope
| Decorative lighting | |
| Post lights | |
| Wall lights | Hanging lights |
| Chandeliers | |
| Others (flush mounts, etc.) | |
| Path & step lights | |
| Deck & patio lights | |
| Garden lights | |
| Security lighting | |
| Flood & spotlights | |
| Bollard | |
| Others (rope lights, string lights, etc.) |
| LED |
| High-Intensity Discharge (HID) |
| Fluorescent & CFL |
| Induction |
| Solar-powered (integrated PV) |
| New Installations |
| Retrofit / Replacement |
| Residential |
| Commercial |
| Direct Sales (B2B / Tenders) |
| Online / E-Commerce |
| Authorized Distributors & Retailers |
| North America | Canada |
| United States | |
| Mexico | |
| South America | Brazil |
| Peru | |
| Chile | |
| Argentina | |
| Rest of South America | |
| Europe | United Kingdom |
| Germany | |
| France | |
| Spain | |
| Italy | |
| BENELUX (Belgium, Netherlands, Luxembourg) | |
| NORDICS (Denmark, Finland, Iceland, Norway, Sweden) | |
| Rest of Europe | |
| Asia-Pacific | India |
| China | |
| Japan | |
| Australia | |
| South Korea | |
| South East Asia (SG, MY, TH, ID, VN, PH) | |
| Rest of Asia Pacific | |
| Middle East and Africa | United Arab Emirates |
| Saudi Arabia | |
| South Africa | |
| Nigeria | |
| Rest of Middle East And Africa |
| By Product Type | Decorative lighting | |
| Post lights | ||
| Wall lights | Hanging lights | |
| Chandeliers | ||
| Others (flush mounts, etc.) | ||
| Path & step lights | ||
| Deck & patio lights | ||
| Garden lights | ||
| Security lighting | ||
| Flood & spotlights | ||
| Bollard | ||
| Others (rope lights, string lights, etc.) | ||
| By Light Source | LED | |
| High-Intensity Discharge (HID) | ||
| Fluorescent & CFL | ||
| Induction | ||
| Solar-powered (integrated PV) | ||
| By Installation Type | New Installations | |
| Retrofit / Replacement | ||
| By Application | Residential | |
| Commercial | ||
| By Distribution Channel | Direct Sales (B2B / Tenders) | |
| Online / E-Commerce | ||
| Authorized Distributors & Retailers | ||
| By Geography | North America | Canada |
| United States | ||
| Mexico | ||
| South America | Brazil | |
| Peru | ||
| Chile | ||
| Argentina | ||
| Rest of South America | ||
| Europe | United Kingdom | |
| Germany | ||
| France | ||
| Spain | ||
| Italy | ||
| BENELUX (Belgium, Netherlands, Luxembourg) | ||
| NORDICS (Denmark, Finland, Iceland, Norway, Sweden) | ||
| Rest of Europe | ||
| Asia-Pacific | India | |
| China | ||
| Japan | ||
| Australia | ||
| South Korea | ||
| South East Asia (SG, MY, TH, ID, VN, PH) | ||
| Rest of Asia Pacific | ||
| Middle East and Africa | United Arab Emirates | |
| Saudi Arabia | ||
| South Africa | ||
| Nigeria | ||
| Rest of Middle East And Africa | ||
Key Questions Answered in the Report
How large is the outdoor lighting market in 2025?
It reached USD 16.27 billion and is on track to hit USD 22.27 billion by 2030.
Which region will add the most incremental revenue by 2030?
Asia-Pacific, thanks to a 8.92% CAGR driven by India’s and China’s smart-city spend.
Why are retrofit projects accelerating faster than new builds?
Existing poles already have wiring, so LED heads plus smart controls deliver quick paybacks and face less permitting.
How are municipalities financing large conversions?
| Energy-service contracts and federal grants cover upfront costs while savings repay the debt over time.
What product category grows the fastest
Deck-and-patio lights, expanding at an 8.47% CAGR as homeowners invest in outdoor living.
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