Smart Lighting Market: Global Derivatives Categories Analysis and Forecast (2024 -2030)

Global Smart Lighting Market size was valued at USD 15.86 Bn. in 2023 and the total Smart Lighting revenue is expected to grow by 21.4% from 2024 to 2030, reaching nearly USD 61.64 Bn.
Smart Lighting Market Overview:
The advancement of technology has enhanced the smart lighting system. The lights that are having capability to connect either by wireless protocols or other wired based protocols and can be controlled by software easily from far away, eliminating the need for current light switches. The global market for smart lighting is growing, due to technical advancements. Sales of smart lights are being pushed forward by progress in strong Wi-Fi connection modules and better-LED drivers. In the expected period, market statistics are expected to get better because there will be more demand for intelligent lighting to enhance the building's look. The Smart Lighting Market is growing strong and it's due to many factors that are in motion. The most important factor boosting this market is the need for energy efficiency. Smart lighting solutions, which use LED technology mainly, have characteristics such as movement sensors, collecting daylight, and dimming that help to save a lot of energy when compared with traditional methods of lighting.

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The Asia-Pacific region is at the forefront of the global smart lighting market. The rise of this market is attributed to more usage in commercial and home sectors, particularly found in countries such as China, Japan, India, and South Korea. These nations are seeing fast urbanization along with investments in smart city projects. North America has the potential for a substantial increase, driven by acceptance from consumers and initiatives from regulators encouraging energy-efficient lighting solutions. The smart lighting market's competition situation is full of improvements and new products being introduced by big players. Häfele America Co., Lutron Electronics Co., Inc., Acuity Brands, Inc., and Ideal Industries, Inc. (Cree Lighting) are some companies that have brought in new advanced solutions for smart lighting which can be used in a variety of ways and are liked by consumers with different tastes. This shows how the market is becoming more competitive and innovative at the same time.
Global Smart Lighting Market Dynamics:
Drivers

1. Energy Efficiency: Smart lighting solutions mainly use LED technology and have features such as motion sensors, daylight gathering, and dimming functions. This results in considerable energy reduction compared to old-fashioned light systems. The increasing importance of saving energy and being sustainable encourages the application of smart lighting.

2. Advancements in Technology: Progress in IoT (Internet of Things), wireless communication, and sensor tech have made smart lighting systems more complex. They can now be connected to smart home ecosystems and controlled through mobile applications from any location. This progress has boosted convenience and user satisfaction, supporting market expansion.

3. Demand from Connected and Smart Homes for Smart Lighting: The increase in smart home automation, encouraged by the availability of smart devices and people's wish for convenience and comfort, is leading to a higher demand for intelligent lighting items. Connection with voice assistants, automated home systems along other clever gadgets improves compatibility and usefulness which then boosts the expansion of the Smart Lighting Market.

4. Cost Reduction and Longevity of LED Lighting: The lowering cost of LED lighting parts and the extended life span of LED bulbs, when compared with regular incandescent or fluorescent ones, make smart lighting solutions more economically feasible in a long-term scenario. The thinking about total cost of ownership also helps to speed up use in residential areas as well as business and industrial places. Hence, these are the factors that increase the demand for the Smart Lighting Market.

Restraints

1. Interoperability Concerns: The compatibility of smart lighting products and systems from different makers might create problems with seamless integration and interoperability. This could cause difficulties in both setting up and running the system, as well as limiting consumer choices.

2. Cybersecurity Concerns: As smart lighting systems are linked to networks, they can become exposed to cybersecurity dangers like hacking attempts, data leakages, and unapproved entries. Fears regarding privacy and data safety might discourage some people from embracing smart lighting technology.

3. Reliability and Stability: Things like connectivity problems, software errors, or broken hardware can affect how people interact with smart lights and reduce their trust in the system. Making sure it's strong and stable is very important for everyone to use it.

4. Limited Awareness and Education: Some consumers may not have full awareness of smart lighting technology's benefits and abilities. The absence of education or understanding regarding features, possible energy savings, and long-term advantages could delay rates of adoption which can hamper the Smart Lighting Market.

Opportunities

1. Rise in urbanization and building of infrastructure: The fast growth of smart cities along with quick urban development is pushing the need for intelligent lighting solutions. Intelligent lighting infrastructure is very important to improve safety, security, and comfort in city environments. This results in its wide use on streets, public places as well as inside buildings.

2. Government Initiatives and Regulations: Governments across the globe are making rules and starting actions to encourage energy-saving light options. Policies like energy efficiency benchmarks, allowances, and rebates push for the use of intelligent lighting tech in homes as well as business areas.

3. Health and Well-being Focus: The ability of smart lighting systems to imitate natural patterns of light, change color temperatures, and control the strength of light affects human health and well-being. Circadian lighting is a concept that imitates natural sunlight to adjust sleep-wake cycles; it's becoming crucial in settings like healthcare facilities, schools/colleges/universities, or workplaces – this trend boosts the usage of intelligent illumination solutions. The Color Rendering Index (CRI) is a numerical scale that shows how well a light source illuminates the colors of objects in comparison to an ideal natural light source, like sunlight. The CRI scale runs from 0 to 100, where higher values show better color rendering. Within medical facilities, correct color representation is of great importance for tasks like identifying skin conditions, checking wound recovery and viewing tissue appearance in surgeries. Using high CRI lighting helps healthcare workers to see colors properly which leads to better diagnosis and decisions on treatment. Good quality lighting that renders colors well also improves visual comfort by making environment more natural and welcoming. This can help reduce eye strain, headaches, and fatigue among both patients and staff.

• Data Analytics and Insights: The smart lighting systems give us data about using energy, how many people are in the area, and what kind of environment is there. We can use tools for analyzing this info along with algorithms to make better adjustments in our lighting operations as well as improve utilization of space and total building performance. This increases the need from commercial and industrial areas for smart lighting solutions that can be combined with data analytics features.
Global Smart Lighting Market Segment Analysis
Based on Communication Technology, The Wired segment held the largest market share of the Smart Lighting Market with xx% in 2023, and it's predicted to increase quickly with a CAGR of 21.8% during the time we are forecasting. The connections that need wires are necessary for the range above 30 feet. Ethernet can be used as an exception to enable wired connection within a distance of 100 meters while DALI, DSI, and DLVP provide connectivity above the range of 1000 feet. The smart lighting market is gaining more popularity in commercial and industrial sectors, which leads to a higher need for wired connections.

The wireless segment is expected to grow at a substantial CAGR in the predicted time frame. In a smart lighting setup, people usually prefer wireless connectivity when they need connections within close range. For instance, technologies such as Wi-Fi, Bluetooth, SmartThings, and Z-Wave or ZigBee are used for linking lighting fixtures with smartphone apps that manage various functions of light bulbs (such as. dimming controls and color changes). In the residential sector, wireless technology is mostly used to manage luminaire hues and colors for aesthetic reasons in a limited area.

Based on the application, In the year 2023, the indoor segment had the most revenue share with 64% in the Smart Lighting Market. The indoor segments are also divided into more segments such as residential, commercial, and industrial. The requirement for lighting control in commercial and industrial spaces is pushed by the necessity to manage lighting consumption. For instance, many offices or warehouses are functional 24/7 and require regular power supply throughout the day and night. When smart lighting gets set up with sensors inside it, this makes sure that lights just get used where people move around - these movements are sensed by those devices too. The light setting also automatically reduces based on the availability of outside lighting inside the building.

The outdoor segment is expected to have the fastest CAGR growth rate, reaching 23% during the forecast period. The outdoor segment is divided into three sub-segments including highways & roadways, architecture, and others. The outside architectural application includes lighting for patios, gardens exterior walls, and also outdoor premises of house or business space. Smart lighting is becoming more popular for outdoor applications because it offers energy-efficient lights as well as the capability to monitor outside activity. This growing trend is very much suited for smart street lighting. The government has put money into setting up smart lights that use LED technology and are linked with a camera and sensors to capture data on what happens outdoors.


Smart Lighting Market Regional Insights:
The Asia-Pacific region dominated the Smart Lighting Market with the largest market share due to the growing use from commercial and housing application sectors. China is anticipated to become the largest revenue generator and possess maximum market share globally. It's expected that countries such as Japan, India, and South Korea to lead in adopting smart lighting due to their economies are growing and they're increasing investments into projects for smart cities. China is the largest exporter of the Smart lighting Industry in the Asia Pacific region. Smart lighting in Asia-Pacific, particularly its commercial areas, is greatly affected by the altering lighting situation.

North America is expected to have a significant CAGR during the forecast period, because of the growing acceptance among consumers of smart lighting and the region's adoption of energy-efficient lighting. Various top businesses such as Honeywell International Inc., have revealed smart lighting solutions that utilize the latest technologies that promote their usage in this region. The Smart Lighting imports and exports in the United States with the second largest importing of over 4500+ shipments and third largest exporting of over 500+ shipments.





Top 3 Importers of the Smart Lighting Market (No. of Shipments)


United States
4500+


Vietnam
3700+


India
2500+



 



Top 3 Exporters of the Smart Lighting Market (No. of Shipments)


China
10,000+


Vietnam
2500+


United States
500+



Europe leads in creating performance and safety rules for indoor commercial smart lighting that's made for parking lots, roads, and garages. As LED designs keep changing with new technology developments worldwide, there is an increasing need for LED luminaires as well as LED smart replacement lamps which are becoming crucial growth sectors within the lighting industry. To handle this demand shift from traditional products towards smarter light solutions like these two types of LEDs mentioned above - manufacturers currently active in the market have started diversifying their lines so they enter into this segment too. On the other hand, recognized smart lighting manufacturers frequently refresh their product offers for varied applications such as downlighting, task lighting, landscape lighting, general ambient illumination, and outdoor general area lighting. A noticeable increase in smart luminaire vendors is observed.



Competitive Landscape:

In August 2022, Häfele America Co. released its Loox Illuminated Wireless Adjustable Shelf System, a fresh LED lighting invention. This is designed for frameless cabinets like closets, entertainment centers, kitchens, and pantries. The system has wireless controllers along with adjustable shelves plus different lighting selections to match what users want.

In January 2024, Lutron Electronics Co., Inc. launched Maestro dual controls, which include LED+ advanced dimming technology, This is especially useful in places such as kitchens, closets, and bathrooms. These types of controls are quite popular among professionals who install them and their clients. Now the newest versions also incorporate Lutron Electronics Co., Inc.'s LED+ advanced technology to offer smooth LED dimming without any disturbance, flickering, or shimmering effects.

In November 2023, Acuity Brands, Inc. launched the J6SLC LED Smart Speaker Downlight, which changes colors with RGBW, making it a good fit for connecting to smart home lighting solutions. This can be controlled using voice commands or an application through either Bluetooth connection or Zigbee connectivity.

In October 2023, Ideal Industries, Inc. (Cree Lighting) announced a breakthrough with the launch of the Guideway Series Street Light that comes equipped with NanoComfort Technology. It is designed to change how customers perceive conventional streetlights - from their performance and features to options available for use as well as importantly, the level of visual comfort they provide.

PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market has been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which gives a clear futuristic view of the industry to the decision-makers.

The reports also help in understanding the Global Smart Lighting Market dynamic, and structure by analyzing the market segments and projecting the Global Smart Lighting Market size. Clear representation of competitive analysis of key players By Price Range, price, financial position, product portfolio, growth strategies, and regional presence in the Global Smart Lighting Market make the report an investor’s guide.
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Global Smart Lighting Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US $ 15.86 Bn.


Forecast Period 2024 to 2030 CAGR:
21.4%
Market Size in 2030:
US $ 61.64 Bn.


 Segments Covered:
by Installation Type
New Installations
Retrofit Installations


by Type
Wired
  DALI (Digital Addressable Lighting Interface)
  DSI
  DLVP
Wireless
Mi-Fi
  Li-Fi
  Z-Wave
  Zigbee


by Application
Residential
Commercial
Industrial



Smart Lighting Market, by Region
North America (United States, Canada and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe)
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina Rest of South America)

Smart Lighting Market Key Players for North America

1. Acuity Brands - United States
2. Cree - United States
3. General Electric - United States
4. Honeywell - United States
5. Lutron Electronics - United States
6. Leviton Manufacturing - United States
7. Switchmate, Inc. - United States
8. Lifx - United States
9. Ketra - United States

Smart Lighting Market Key Players for Europe

1. Philips Lighting - Netherlands
2. IKEA- Sweden
3. Osram - Germany
4. Eaton - Ireland
5. Legrand - France
6. Zumtobel Group - Austria
7. Hafele Group - Germany
8. Streetlight. Vision - France
9. Nualight Limited - Ireland
10. Astera - Germany

Smart Lighting Market Key Players for Asia Pacific

1. Yeelight – China
2. Opple Lighting - China
3. Wipro Consumer Care and Lighting - India
4. Syska LED – India

Frequently Asked Questions:
1. Which region has the largest share in the Global Smart Lighting Market?
Ans: The Asia Pacific region held the highest share in 2023.

2. What is the growth rate of the Global Smart Lighting Market?
Ans: The Global Market is expected to grow at a CAGR of 21.4 % during the forecast period 2024-2030.

3. What is the scope of the Global Smart Lighting Market report?
Ans: The Global Smart Lighting Market report helps with the PESTEL, PORTER, Recommendations for Investors & Leaders, and market estimation of the forecast period.

4. Who are the key players in the Global Smart Lighting Market?
Ans: The important key players in the Global Smart Lighting Market are Honeywell, General Electric, Philips Lighting, Syska LED, Osram, Cree, Acuity Brands, Lutron Electronics, etc.

5. What is the study period of this market?
Ans: The Global Smart Lighting Market is studied from 2023 to 2030.