Smart lighting, an advanced technology of illumination, has gained traction with the advent of integrated lighting control systems, spurt in smart city projects in developing economies, increasing adoption and decreasing cost of LEDs, integration of lighting solutions with smart devices, and growing awareness about energy savings among consumers and governments worldwide.
According to Marketsandmarkets report, Smart Lighting Market is expected to register an estimated growth from USD 13.4 billion in 2020 and projected to reach USD 30.6 billion by 2025, at a CAGR of 18 per cent.
The report highlights that services play a major role before and after the installation of smart lighting systems. The services segment includes pre-installation and post-installation services. The market for services is expected a buoyancy by registering the growth at the highest CAGR during the forecast period, mainly driven by the rising adoption of smart lighting solutions and the use of lighting services to reduce energy cost and achieve energy conservation and ecological safety. Spike in demand from engineering, consulting, and analytical services pertaining to smart lighting among end users will drive the growth of the market for services.
Major portions comes from Europe
Europe held the largest share of the smart lighting market for indoor end-use application in 2019. The report attributes large share to the growing consumer awareness about smart lighting and adoption of energy efficient products being offered in the smart lighting market. However, the high implementation cost of these solutions is one of the major factors inhibiting the growth of the market in the residential segment.
APAC to claim largest share
APAC region is expected to claim the largest share of smart lighting market by registering growth at the highest CAGR during the forecast period. This growth is attributed to rapid infrastructure building activities being undertaken in APAC, mainly in China and India, where smart lighting paves the way for the modernisation of infrastructure. The modernisation and development of infrastructure such as smart cities across the region, coupled with government policies to support energy efficient lighting, would also drive the demand for smart street lights, thereby, driving the market for smart lighting in this region.
Some of the major players in the smart lighting market are Signify (Philips Lighting) (Netherlands), Legrand SA (France), Acuity Brands (US), Eaton Corporation (Ireland), General Electric Company (US), and OSRAM Licht (Germany), Lutron Electronics (US), Zumtobel Group (Austria), Honeywell International Inc. (US), Hubbell Incorporated (US), and Leviton Manufacturing Company, Inc. (US). Other players operating in the smart lighting market include Dialight PLC (UK), Helvar (Finland), Ideal Industries, Inc. (Cree Lighting) (US), Adesto Technologies (Echelon Corporation) (US), Panasonic (Japan), LightwaveRF PLC (UK), RAB Lighting (US), Synapse Wireless (US), Syska LED (India), Wipro Enterprise Ltd (India), LG Electronics (South Korea), ABB (Switzerland), and Enlighted Inc (a Siemens company) (US).