Dublin, Aug. 05, 2024 (GLOBE NEWSWIRE) -- The "Global VCSEL Market Forecast to 2029" report has been added to ResearchAndMarkets.com's offering.
The global VCSEL market is projected to grow from USD 1.3 billion in 2024 and is estimated to reach USD 1.9 billion by 2029; it is expected to grow at a CAGR of 8.1% from 2024 to 2029.
This research report categorizes the VCSEL market on the basis of type, wavelength, material, application, data rate, vertical, and region. The report describes the major drivers, restraints, challenges, and opportunities pertaining to the VCSEL market and forecasts the same till 2029. Apart from these, the report also consists of leadership mapping and analysis of all the companies included in the VCSEL ecosystem.
The growth of VCSEL market is driven by expanding use of facial recognition and biometric security systems. VCSELs helps to achieve high-resolution depth-sensing supporting accurate facial recognition in biometric systems. High-security environments such as airports, passport offices, and government buildings are implementing facial recognition systems for biometric authentications, which heavily relies on VCSEL, thus driving the market growth. Adding to this, the rise in adoption of 3D sensing applications in smartphones, and increase in application of VCSELs in data communication are some of the promising growth factors fueling the VCSEL market growth.
The shortwave infrared (SWIR) segment is projected to record the highest CAGR during the forecast period
The market for shortwave infrared VCSEL is projected to grow at a high rate during the forecast period. Shortwave infrared (SWIR) VCSELs are increasingly gaining traction in various high-tech applications due to their superior performance and versatility. SWIR VCSELs operate in the spectral range, which is highly beneficial for applications requiring enhanced sensitivity and resolution. SWIR VCSELs are increasingly utilized in environmental monitoring, spectroscopy, and medical diagnostics due to their superior penetration and minimal interference from ambient light. Companies are emphasizing joint product development of SWIR VCSELs to stay competitive.
In April 2024, VERTILAS GmbH (Germany) and TriEye Ltd. (Israel) partnered to develop a 1.3-?m VCSEL-powered SWIR sensing system. Through this partnership, the companies have integrated TriEye's cost-effective SWIR sensors, fabricated using silicon CMOS processing, with VERTILAS GmbH's VCSEL arrays, which operate at longer wavelengths enabled by indium phosphide (InP) material. The new solution is targeted to cater to the growing demand for SWIR VCSELS FROM the automotive, consumer, biometrics, and mobile robots markets.
The emerging & other applications segment of the VCSEL market will witness the highest growth during the forecast period
The market for VCSELs for emerging & other applications is expected to grow at the high CAGR during the forecast period. This growth is driven by the increasing use of VCSELs in automotive applications. VCSELs are pivotal in automotive applications, particularly advanced driver assistance systems (ADAS) and autonomous vehicles. They enable high-resolution 3D sensing and LiDAR systems essential for enhancing vehicle safety and navigation. As automotive manufacturers continue to prioritize safety and automation, the demand for VCSEL-based solutions is expected to surge. In September 2023, TRUMPF (Germany) and KDPOF (Spain) introduced a groundbreaking 980 nm multi-gigabit interconnect system designed specifically for automotive applications.
This system utilizes VCSEL technology to achieve high-speed for data-transmission of up to 10 Gbps. By leveraging 980 nm wavelength VCSELs, the solution aims to enhance robustness and longevity, crucial for automotive environments. The partnership between TRUMPF and KDPOF aims to establish a new standard in optical data communication within automotive systems, with the ultimate goal of launching an integrated transceiver for multi-gigabit optical communications. This initiative underscores the growing adoption of VCSELs in automotive applications, driven by the demand for high-speed, reliable data transmission solutions in vehicles.
North America to hold a major market share of the VCSEL market during the forecast period
North America is projected to hold the largest share of the VCSEL market during the forecast period. North America is home to various leading VCSEL manufacturers, including Lumentum Operations LLC (US), Coherent Corp. (US), and Broadcom (US). The high demand for VCSELs is generated in this region owing to the increased adoption of smartphones, smart home devices, and autonomous vehicles.
The presence of major consumer technology companies such as Apple Inc. (US), Google (US), and Microsoft (US) boosts the adoption of VCSEL in their devices. For instance, Apple Inc. (US) has been at the forefront of adopting VCSELs in their smartphones for advanced facial recognition and gesture sensing technologies, highlighting its widespread adoption in consumer electronics. This extensive integration of VCSEL technology by leading tech giants exemplifies North America's capacity for rapid technological adoption and innovation, reinforcing its dominant market position.
Competitive Landscape
The report profiles key players in the VCSEL market with their respective market ranking analysis. Prominent players profiled in this report are Coherent Corp. (US), Lumentum Operations LLC (US), ams-OSRAM AG (Austria), TRUMPF (Germany), Broadcom (US), MKS Instruments (US), Santec Holdings Corporation (Japan), Leonardo Electronics US, Inc. (US), VERTILAS GmbH (Germany), and Vertilite (China).
Apart from this, Sony Semiconductor Solutions Corporation (Japan), Alight Technologies (Denmark), Teledyne FLIR LLC (US), Inneos LLC (US), IQE PLC (UK), Thorlabs, Inc. (US), TT Electronics (UK), Ushio America, Inc. (US), WIN Semiconductors (Taiwan), Frankfurt Laser Company (Germany), Inphenix, Inc. (US), Bandwidth10 (US), Zhejiang RaySea Technology Co., Ltd. (China), Wuhan Qianmu Laser Co. Ltd. (China), OCTLIGHT (Denmark), Sanan IC (China), and Brightlaser Ltd. (Hong Kong) are among a few emerging companies in the VCSEL market.
Key Attributes
| Report Attribute | Details |
| No. of Pages | 299 |
| Forecast Period | 2024 - 2029 |
| Estimated Market Value (USD) in 2024 | $1.3 Billion |
| Forecasted Market Value (USD) by 2029 | $1.9 Billion |
| Compound Annual Growth Rate | 8.1% |
| Regions Covered | Global |
Market Dynamics
- Drivers
- Rise in Adoption of 3D Sensing Applications in Smartphones
- Increase in Application of VCSELs in Data Communication
- Higher Market Investment for VCSEL Manufacturing
- Expanding Use of Facial Recognition and Biometric Security Systems
- Restraints
- Limited Data Transmission Range
- Limitations of Semiconductor Materials Hampering Performance
- Opportunities
- Use in LiDAR Systems for Automotive Applications
- Growth in IoT Market and Data Processing Across Commercial and Government Sectors
- Higher Adoption of VCSELs in Consumer Electronic Devices
- Rise in Adoption of VCSEL into Medical Imaging and Biomedical Sensing Applications
- Challenges
- Manufacturing Defects in Epitaxial Layers
- Managing Intellectual Property Rights and Patent Issues
Pricing Analysis
- Pricing Analysis of Consumer Electronics Industry, by Key Players, 2023
- Average Selling Price Trend, by Region
Technology Analysis
- Key Technologies
- 3D Camera
- LiDAR
- Backside Emitting VCSEL
- Zonal Illumination
- Polarization Multiplexing
- Complementary Technologies
- Augmented Reality (AR) and Virtual Reality (VR)
- Biometric Systems
- Adjacent Technologies
- Edge Emitting Lasers (EELs)
- Silicon Photonics
Patent Analysis
- Key Patents
Trade Analysis
- Import Scenario
- Export Scenario
Case Study Analysis
- TRUMPF Empowered Sick AG's SPEETEC Sensors with VCSEL Diodes for Modern Production Needs
- TRUMPF and Bosch SensorTec Collaborated to Develop Advanced VCSEL-Powered Fine Dust Detection Solution
- ams-OSRAM AG's Low-Power IR VCSEL Laser Enabled Face Recognition in Xiaomi Mi8 Explorer Edition
Companies Featured in the Report
- Coherent Corp.
- Lumentum Operations LLC
- ams-OSRAM AG
- TRUMPF
- Broadcom
- MKS Instruments
- Santec Holdings Corporation
- Leonardo Electronics US Inc.
- VERTILAS GmbH
- Vertilite
- Sony Semiconductor Solutions Corporation
- Alight Technologies ApS
- Teledyne FLIR LLC
- Inneos LLC
- IQE PLC
- ThorLabs, Inc.
- TT Electronics
- Ushio America, Inc.
- Win Semiconductors
- Frankfurt Laser Company
- Inphenix, Inc.
- Bandwidth10
- Zhejiang RaySea Technology Co. Ltd.
- Wuhan Qianmu Laser Co. Ltd.
- OCTLIGHT
- Sanan IC
- Brightlaser Ltd.
For more information about this report visit https://www.researchandmarkets.com/r/yqkcvr
About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
Attachment
