Photonics Market Updates

Photonics Market size was valued at USD 456.67 Billion in 2023 and is poised to grow from USD 489.55 Billion in 2024 to USD 853.81 Billion by 2032, growing at a CAGR of 7.20% during the forecast period (2025-2032).

'Signify (Netherlands) ', 'Schott (Germany) ', 'Shin-Etsu Chemical Company (Japan) ', 'Nikon Corporation (Japan) ', 'Hoya (Japan) ', 'Corning (US) ', 'American Elements (US) ', 'Ohara (Japan) ', 'Asahi Glass (Japan) ', 'II-VI (US) ', 'Huawei Technologies (China) ', 'Cisco Systems (US) ', 'Coherent Inc. (US) ', 'Trumpf GmbH (Germany) ', 'General Electric Company (US) ', 'Hitachi (Japan) ', 'Emerson (US) ', 'Siemens (Germany) ', 'LG Display Co., Ltd. (South Korea) ', 'Samsung Electronics (South Korea) ', 'Innolux (Taiwan) ', 'OSRAM Licht (Germany) ', 'Trina Solar (China) ', 'IPG Photonics (US)'

One of the major drivers of the photonics market is the increasing demand for high-speed data connections. Faster and more efficient data communication systems are needed due to the proliferation of smartphones, cloud computing, Internet of Things (IoT). Optical fibers offer a solution to this growing demand with the ability to transmit more data at the speed of light to optimize its system to handle the increasing traffic. As businesses and consumers embrace 5G networks and beyond, optics will become increasingly important to enable faster and more reliable data transfers. 

Widespread Applications of Photonics in Quantum Computing: One of the most important trends driving the optics market is its integration into the field of quantum computing. Light-based quantum computing has the potential to revolutionize data processing and problem-solving capabilities, with light-based qubits providing faster, more robust performance compared to traditional electronics. Companies and research institutions are using quant. and investing heavily in photonics research for applications, and it is expected that this trend, aimed at addressing current computing limitations, will drive innovation in the lighting industry and open new revenue streams, especially when quantum computers are approaching the business. 

North America plays a key role in the global photonics market, with strong investments in R&D, cutting-edge technology infrastructure and strong demand in the telecom, healthcare and security industries, leading innovation in optical communications systems, laser technology, and quantum computing. The industry benefits from a very popular telecommunications industry, which fuels demand for high-speed fiber optics and data communication technologies. In addition, the North America focus on medical advances has led to growth in ophthalmic applications in diagnostic imaging laser surgery, especially government programs and funding for defense and aerospace research further solidifies North America dominance in optics.