Million Insights researchers find the global LED lighting market size is expected to value at $108.99 billion by 2025. Globally, the LED lighting market is predicted to grow at a CAGR of 14.4%. The market is subject to witness a substantial growth due to regular upgradation in energy conservation systems, advent of standardized deviation color matching (SDCM) systems, and extended life cycle of CFL lamps. The use of smart and connected lighting solutions is constantly growing in different verticals such as domestic, commercial, and industrial sectors, and is one of the major driving factors for growth. Numerous benefits offered with the use of the LED lighting solutions over the traditional incandescent bulbs such as high efficiency, lower production cost, and moderate heat loss is spurring the progress of the market.
Technological advancements at present and inclination towards green lighting solutions over traditional systems to achieve high-end efficiency and reduced prices are fueling the growth of market in upcoming years. Globally, the LED lighting market is predicted to grow at CAGR of 14.4% in forecast period, providing numerous opportunity for market players to invest for research and development in the LED lighting industry.
Furthermore, the stringent environmental laws by multiple local governmental agencies regarding greenhouse gas emissions are driving industry players to adopt to green lighting solutions. The growing need for electricity conservation across underdeveloped and developing countries due to insufficiency in electricity production is driving market demand for LED lighting solutions. Higher ratings and advanced design standards to achieve superior performance and high efficiency with the use of the LED lighting solutions is further attributing to the expansion of the LED lighting industry across developed regions across the globe.
The domestic or indoor LED lighting segment is expected to hold majority of the market share in recent years. While, it is anticipated that commercial segment will surpass the indoor segment in near future. The rising use of light emitting diodes as an ideal supplement to incandescent bulbs or HID or florescent bulbs is paving the way for growth of the indoor LED lighting market segment.
LED lightning have longer life cycle in comparison with the traditional lighting systems, and is considered one of the key reasons for increasing adoption of the LED lighting solutions. Also, they consume less electricity and dost not require any maintenance. The increase in adoption of the LED lighting solutions will allow to save as much as two hundred terawatt hours of electricity each year. As the prices of LED lighting systems falls, adoption of LED systems is expected to grow further.
Light emitting diodes systems utilizes fifty percent less electricity in comparison with conventional systems such as fluorescent or halogen bulbs, allowing substantial cost saving for consumers. LED lighting systems occur in various size and shapes in order maximize output while emitting least amount of heat in the process, unlike conventional lighting solutions that emits light and heat in all direction. The major reason for emission light in specific direction is, LEDs mainly placed on a flat surface so they distribute the light hemi-spherically instead of spherically. Also, at low degree temperatures, to kick start a fluorescent lamp a high voltage is required unlike LED bulbs.
The LED lighting industry is divided into regional market segment such as North America, Europe, Asia-Pacific, Latin America and Africa. North America has shown major growth in recent years owing to the presence of well-established industry players. Asia-Pacific region is predicted to hold major market share in the LED lighting market with massive growth in forecast period. Countries such as Taiwan, India and China are leading the Asia-Pacific market due to the growing need for electricity conservation and growing investments by market players assuming potential opportunities in the market. The key players in the LED lighting industry are Philip Electronics Inc., Cree Co., OsramOpto Co., Digital Lumens Incorporations, GE Lighting Solutions and Toshiba Co.
For more details, browse the "Global LED Lighting Market" report.