The global smart lighting market size is expected to advance at a CAGR of 18.2% during 2021–2030, to reach $47,674.3 million by 2030. This is ascribed to the longer life, less electricity usage, and limited maintenance requirements of smart lights.
The market is also expected to be driven by the automation in lighting systems and integration of IoT sensors in luminaires to allow them communicate with personal digital assistants.
An increase in the consumer awareness of energy saving is one of the major reasons for the global smart lighting market growth. Smart lighting provides a huge saving on money by reducing the amount of energy wastage and allowing for regular load management. Apart from this, manufacturers are trying to capture the untapped outdoor smart lighting industry space by developing alliances with sustainable solution providers and offering cost-effective and energy-efficient lighting solutions for smart cities and large infrastructure projects, globally.
In the APAC region, the increasing awareness among people about the benefits of smart lights drives the market. In developing nations, such as India and China, the demand for smart lights is increasing significantly because of the swift urbanization. Further, the government initiatives to distribute low-cost LEDs and generate awareness of this technology will drive the market of the region at the highest CAGR.
The market is also growing due to the burgeoning installation of such luminaires in indoor and outdoor applications, particularly residential spaces, and the increasing adoption of home automation in the regional market.
The market growth in the region can be also owed to the surge in the rate of digitalization and increase in the adoption of connected technologies for indoor and outdoor spaces. Further, due to the rapid technological advancements in IoT and improvements in the network infrastructure, the region has a high potential for adopting smart lighting solutions in the near future.
In response to the increasing global energy demand, lighting engineers continue to enhance LEDs, to provide efficiency and cost-effectiveness to consumers. The minimal environmental effect of LEDs as compared to the traditional incandescent lamps and the former’s high energy-saving ability have been driving the global smart lighting market.
In addition, with the advancements in solid-state lighting (SSL), individual diodes have become smaller, more cost-effective, brighter, and more versatile. Smart LED-based lighting enables users to digitally control the brightness and color using a programmable microcontroller-based lighting architecture. Such architectures support varying LED types and unique power needs, with no major hardware requirements or changes. Apart from this, the adoption of IoT and wireless techniques in these devices is escalating the global market growth.
The most-significant global smart lighting market players are Signify N.V., Acuity Brands Inc., Sengled Optoelectronics Co. Ltd., Honeywell International Inc., Schneider Electric, Osram Licht AG, IKEA Systems B.V., and Itron Inc.