VCSEL Market by Type (Single-mode, Multimode), Material (GaAs, InP, Others), Wavelength, Application (Sensing, Data Communication), Industry (Consumer Electronics, Automotive, Data Center, Commercial & Industrial), and Geography - Global Forecast to 2025
“VCSEL market projected to register a CAGR of 23.7% during 2020–2025”
The global VCSEL market size is expected to grow from USD 1.0 billion in 2020 to USD 2.9 billion by 2025, at a CAGR of 23.7%. One of the major driving factors for the market growth is the growing adoption of 3D sensing applications in smartphones. Also, due to the rising applications of VCSELs in data communication, the need for VCSELs is increasing. Moreover, the use of VCSELs in LiDAR systems of autonomous vehicles will provide significant opportunities for market players. However, the limited data transmission range offered by VCSELs is expected to restrain market growth.
“Based on wavelength, VCSEL market for near-infrared (NIR) range to grow at the highest CAGR during the forecast period”
The VCSELs operating in NIR wavelength range is expected to grow at the highest CAGR during the forecast period. VCSELs in the NIR wavelength are majorly used in smartphones for 3D sensing applications, such as face and gesture recognition. With the increasing adoption of these advanced technologies in smartphones by major smartphone manufacturers, such as Apple (US), Samsung (South Korea), Huawei (China) Oppo (China), and Xiaomi (China), the demand for VCSELs functioning in the NIR band is expected to increase significantly in the coming years. Also, these VCSELs are used in the automotive industry in advanced driver assistance systems (ADAS) and autonomous vehicles. With the growing advancements in the automotive industry related to autonomous vehicles, these VCSELs are expected to witness high adoption during the forecast period.
“Based on application, sensing segment to hold significant share from 2020 to 2025”
The sensing application is expected to hold the largest market share during the forecast period. Since the adoption of VCSELs by Apple for iPhone X, it created ample opportunities for the epiwafer, foundry, and VCSEL players. Other smartphone manufacturers, such as Xiaomi, Oppo, and Vivo, showed interest in the adoption of 3D sensing modules in their smartphones. For instance, Xiaomi Mi 8 Explore Edition supports facial recognition technology. Apple for iPhone X uses structured light technology for 3D sensing applications, such as facial recognition, security, gaming, or real-time filter applications. Increasing interests of various OEMs to drive the growth of the market for VCSEL sensing application.
“APAC VCSEL market to grow at significant CAGR during the forecast period”
The VCSEL market in APAC is expected to exhibit the highest CAGR during the forecast period. The global market players are experiencing high demand from countries such as China, Japan, and South Korea. APAC’s large population, along with increasing penetration of the internet, has spurred the demand for smartphones in recent years. APAC is a leading manufacturer and end user of consumer devices. The increasing importance of VCSELs and the increasing interest of OEMs to adopt these VCSELs in smart devices are expected to drive the growth of the market. Also, the development of data centers in these countries by companies such as Google (US), Facebook (US), and Microsoft (US) is projected to fuel the demand for VCSELs.
In the process of determining and verifying the market size for several segments and subsegments gathered through secondary research, extensive primary interviews have been conducted with key industry experts in the VCSEL market space. The break-up of primary participants for the report has been shown below:
By Company Type: Tier 1 – 45%, Tier 2 – 30%, and Tier 3 – 25%
By Designation: C-level Executives – 40%, Directors – 35%, and Others – 25%
By Region: North America – 45%, Europe – 30%, APAC – 15%, and RoW – 10%
The report profiles key players in the global VCSEL market with their respective market ranking analysis. Prominent players profiled in this report are II-VI (US), Lumentum (US), ams (Austria), TRUMPF (Germany), Broadcom (US), Leonardo Electronics (US), MKS Instruments (US), Santec (Japan), VERTILAS (Germany), Vertilite (China), Alight Technologies (Denmark), Coherent (US), FLIR (US), Inneos (US), IQE (UK), WIN Semiconductors (Taiwan), Thorlabs (US), TriLumina (US), TT Electronics (UK), and Ushio America (US).
The study includes an in-depth competitive analysis of these key players in the VCSEL market, with their business overview, recent developments, and key market strategies for leaders.
This research report categorizes the global VCSEL market by type, material, wavelength, data rate, application, industry, and geography. The report describes the major drivers, restraints, challenges, and opportunities pertaining to the VCSEL industry and forecasts the same till 2025. Also, the report consists of a market ranking analysis of key players operating in the VCSEL market.
Key Benefits of Buying the Report
The report would help leaders/new entrants in this market in the following ways:
1. This report segments the VCSEL market comprehensively and provides the closest market size projection for all subsegments across different regions.
2. The report helps stakeholders understand the pulse of the market and provides them with information on key drivers, restraints, challenges, and opportunities for market growth.
3. This report would help stakeholders understand their competitors better and gain more insights to improve their position in the business. The competitive landscape section includes market ranking analysis of major players, product launches, partnerships and collaborations, expansions, agreements, and acquisitions.
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