Smart lighting: Key market research findings
- EMEA dominates the market geographically
- Commercial segment accounts for much of the market’s revenue
- Key vendors – Acuity Brands, General Electric, Honeywell, OSRAM, and Schneider Electric
Technavio’s market research analysts predict the global market for smart lighting to grow at a CAGR of around 19% between 2016 and 2020. The proliferation of smart lighting wireless networking technologies is driving the adoption of smart lighting across the globe. The next-generation lighting systems came into existence primarily because of the emergence of various wireless networking technologies such as Bluetooth, Wi-Fi, ZigBee, and Z-Wave. Lighting manufacturers utilize these wireless communication technologies to manufacture their connected devices and ecosystems. During 2015, the global smart lighting market was dominated by EMEA with a market share of around 46%. Increasing emphasis on the use of energy-efficient lighting will drive the growth of the smart lighting market in EMEA during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the smart lighting segments based on the application.
“Currently, the market is witnessing the emergence of new players with advanced product lines. Manufacturers are now using semiconductors like LEDs and IoT architecture, instead of wires and gas, inside a heated enclosure to power smart lighting. The high growth potential of smart lighting is encouraging the existing LED manufacturers and start-ups to enter this market. A leading smart lighting company, ilumi, develops multicolor and tunable Bluetooth-enabled LED light bulbs. It entered the smart lighting market in 2011 and raised over $200,000 through crowdfunding platforms Indiegogo and Kickstarter in 2013,” says Sunil Kumar Singh, Lead Analyst, Hardware & Semiconductor, Technavio Research.
Currently, the commercial segment accounts for about 70% of the overall market revenue to become the key revenue generating vertical in the market. In this segment, smart lighting systems are used in shopping malls, hotels, office spaces, retail markets, airports, and harbors. Furthermore, China’s largest property developer Dalian Wanda Group is coming up with new projects through crowdfunding. Furthermore, companies such as Philips and Havells are focusing on catering to the demand from China followed by the government’s announcement about the smart city initiative.
The key vendors in the global smart lighting market include Acuity Brands, General Electric, Honeywell, OSRAM, and Schneider Electric. One of the most critical issues relates to optimizing technology transfers into full-scale manufacturing and, hence, part of the focus remains on manufacturing R&D. Another part of the focus remains on certain technologies that are not yet completely developed but will be critical to achieving ultimate performance and cost goals. Therefore, the development and optimization of these critical technologies are handled in parallel with the establishment of an effective and efficient manufacturing capability.
A more detailed analysis is available in the Technavio report, Global Smart Lighting Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
Other related reports:
