Apr 10, 2017: According to a market report by Transparency Market Research, global smart lighting market was worth US$ 21 billion in 2013, which will grow at a CAGR of 15.9% from 2014 to 2020 to touch US$ 56.62 billion in 2020.
The smart lighting market is mainly driven by the significant demand for energy efficient lighting system in order to reduce energy consumption cost. Smart lighting solutions primarily find applications in commercial, industrial, residential and outdoor lightings. Presently, most of the lighting systems installed are based on the traditional lighting systems. However, increasing awareness for reducing lighting energy consumption cost among the building owners is driving the growth of the smart lighting market. In addition, development of sensor and wireless technology in the field of smart lighting for better lighting efficiency and monitoring lightings is fueling the growth of the market. Growing implementation of smart lighting for intelligent streetlights and replacement of traditional lamps with LED lamps is further aiding the growth of this market.
Controllable breaker held the highest market revenue share accounting to US$ 5.19 billion in 2014 and is expected to maintain stable growth during the forecast period. Traditional circuit breakers are gradually being replaced by smart controllable breakers driving the growth of controllable breakers market. However, smart lighting sensors and dimmers have the highest growth potential among different components of smart lighting during the forecast period. Increasing demand for energy efficient lighting systems and creating better lighting experience for users are driving the growth of these component segments.
The compact fluorescent lamp segment led the smart lighting market in 2014, by accounting for US$ 9.03 billion. The dominance of this segment is due to the high durability and energy efficiency among other lighting types. Moreover, during the forecast period LED lightings have the highest growth potential among other lighting types. However, the high cost of LED lamps is restraining the growth of this segment. The LED lighting segment is about to grow with a CAGR of 17.2% during the forecast period. By application of smart lighting, commercial and industrial application led the smart lighting market in 2014 and is expected to maintain its dominance during the forecast period. Smart lighting systems are primarily incorporated in commercial and industrial buildings for increasing demand for energy efficient and automated lighting systems.
Geographically, Europe led the smart lighting market in 2014 and the region is expected to continue its dominance in 2020. The region?s dominance is due to the increasing adoption of smart lighting solution in different application segments including commercial, industrial, outdoor and residential segment. Europe is followed by North America which accounts for approximately 35% of the global smart lighting market.