The global industrial and commercial LED lighting market was valued at $ 9,060.0 million
in 2017, and is projected to reach $ 39,387.0 million by 2025, registering a CAGR of 19.9% from 2018 to 2025.
A light-emitting diode (LED) is a semiconductor light source that converts electrical energy directly into light energy. This device is often used in lamps as a replacement of incandescent light source. Some LEDs are called infrared-emitting diodes (IRED), emitting infrared (IR) energy, which is greater than or equal to 830 nm. An LED consists of two elements of processed materials called N-type semiconductors and P-type semiconductors, which are placed in direct contact to form a region called P‐N junction.
Factors such as high demand of cost-effective and energy-saving LED lighting, government campaign towards LED adoption , and need for replacing traditional lighting are expected to fuel growth of the industrial and commercial LED lighting market. However, voltage sensitivity and temperature dependence are expected to hinder the market growth. On the contrary, surge in need for smart lighting is expected to offer lucrative opportunities for industrial and commercial LED lighting market expansion.
Considering the regional trends of the industrial and commercial LED lighting market, Asia Pacific is projected to hold largest market size. On the other hand, LAMEA is in the introductory phase in terms of adoption of LED lightings, and is expected to grow at the highest CAGR during the forecast period.
Some of the top companies profiled in the report are Eaton Corporation Plc., Cree Inc., Deco Enterprises, Inc., Dialight Plc., Osram Licht Ag, General Electric Company, Koninklijke Philips N.V., Toshiba Corporation, Zumtobel Group Ag, and Syska. These key players focus on garnering significant revenue, as numerous companies across industry verticals are keen to adopt flexible electronics technology. Moreover, they adopt various strategies such as collaboration, partnership, acquisition, product enhancement, and others to strengthen their industrial and commercial LED lighting market share.
The global industrial and commercial LED lighting market size is segmented based on product, application, end user, and region. On the basis of product, the market is categorized into LED lamps and LED fixtures. The applications covered in this report include indoor lighting and outdoor lighting. The end users discussed in this study are industrial and commercial. Region wise, the market is analyzed across North America, Europe, Asia‐Pacific, and LAMEA.
Top Impacting Factors
The notable factors positively affecting the industrial and commercial LED lighting market growth include high demand for cost-effective and energy-saving LED lighting, government campaign towards LED adoption , and increase in need to replace traditional lighting are expected to fuel growth of the industrial and commercial LED lighting market. However, voltage sensitivity and temperature dependence are expected to hinder the industrial and commercial LED lighting market growth.
High demand for cost-effective and energy-saving LED lighting
Lighting consumes approximately 15% of total global power consumption. Moreover, lights produce around 5% of global carbon emission. Thus, the United Nations Environment Programme (UNEP) has released certain guidelines on energy-saving lighting solutions to reduce carbon emissions. With rapid urbanization and rapid economic growth, the lighting industry is expected to grow exponentially over the next two decades, resulting in more high demand for LED based lighting. Thus, need for more LED-based lighting for effective energy saving and cost saving is expected to drive the Industrial and commercial LED lighting market growth in the coming years.
Need for replacing traditional lighting
Conventional lighting consumes high amount of energy and requires a glass bulb to contain essential coatings and/or gases. For instance, fluorescent lamps generate light using a gas discharge to excite phosphors; high-intensity discharge (HID) lamps utilize an electric arc discharge, while incandescent lamps rely on a heated filament to emit light. In case of an LED, it has the ability to directly convert electrical energy into light energy, which characterizes it with less power consumption and higher reliability. In addition, LEDs have become highly efficient over traditional lighting, owing to characteristics such as extremely small & compact size and prolonged durability, which is expected to increase LED demand in industrial and commercial sector.
Increase in adoption of smart lighting
Smart lighting solutions are expected to provide huge momentum in the process of building smart cities. Smart lighting addresses sustainable development challenges successfully, thereby creating ample opportunities for the industrial and commercial LED lighting market. The smart cities market was valued at $517.63 billion in 2017, and is projected to reach $2,402.12 billion by 2025, registering a CAGR of 21.28% from 2018 to 2025.
Governments have been playing a major role in smart cities market through their regulations and initiatives focused on deployment of smart services as a major part of their infrastructure. Government regulations for smart city deployment supported by adoption of new technologies that support Industry 4.0, smart energy projects, & e-governance solutions, rapid urbanization, and need for better quality of life is expected to increase smart lighting demand over the forecast period.
Key Benefits for industrial and commercial LED lighting market:
Name: Catherine Zhao
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