Commercial Lighting Control Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Commercial Lighting Control Market size is estimated at USD 21.96 billion in 2025, and is expected to reach USD 45.14 billion by 2030, at a CAGR of 15.20% during the forecast period (2025-2030).

Key Highlights

• The lighting controller market's growth is significantly fueled by the transition from traditional lights to energy-efficient LEDs. LEDs have outpaced traditional sources like fluorescent, HID, incandescent, and high-pressure sodium lamps in popularity, especially for outdoor applications. These applications range from highways and roadways to public venues and stadiums. For instance, data from Poland's Central Statistical Office highlights a surge in LED bulb production, with August 2024 seeing a leap to 1.65 million units, up from July's 1.25 million units.
• Over the past decade, connected lighting systems have been at the forefront of modern cities' digital transformation. This trend shows no signs of waning, especially with the global surge in IoT and the adoption of connected devices in smart city projects. These advanced lighting and control systems can reduce maintenance and energy costs by 40% within a year, all while lessening environmental repercussions.
• Furthermore, as commercial construction activities surge globally, the lighting control market stands to benefit. According to the India Brand Equity Foundation (IBEF), demand for commercial real estate in India's top seven cities was 38 million square feet in 2023, mirroring the previous year's figures. Meanwhile, China witnessed a robust start to 2023, with commercial property construction at approximately 64.93 million square meters. Moreover, countries are increasingly investing in innovative infrastructure projects, from new airport terminals to underground roads and elevated railways. Such developments are poised to drive up commercial lighting control market demand.
• Integrating lighting control solutions in commercial buildings presents a significant challenge due to the diverse range of brands and technologies used for lighting, HVAC, security, and automation. Additionally, retrofitting older buildings with modern lighting controls often requires supplementary hardware, including adapters and converters, to ensure compatibility with legacy systems. These factors collectively are a significant restraint in adopting advanced lighting control solutions.
• Rising inflation has increased the costs of essential raw materials like copper, silicon, and rare earth metals. This has led to heightened prices for LED drivers, relay units, and sensors. For instance, the International Monetary Fund (IMF) highlighted a worldwide inflation uptick in 2023, with G7 nations witnessing rates ranging from Japan's 3.21% to the UK's 7.66%.
• Additionally, data from the Ministry of Statistics and Programme Implementation (MOSPI)I indicate that as of December 2023, India's consumer price index (CPI) inflation rose to 5.69%, up from November's 5.55%. Such inflationary trends threaten to escalate manufacturing costs and disrupt the market for commercial lighting control solutions.

Commercial Lighting Control Market Trends

Sensors Expected to be the Fastest Growing Hardware Segment

• Sensors are key components in commercial lighting control systems, enabling automated and intelligent lighting management based on environmental conditions and human presence. These sensors convert physical signals into electrical signals, which are processed by integrated circuits such as analog-to-digital converters, microcontrollers (MCUs), and digital-to-analog converters to control LED lighting. This functionality supports features like on/off switching, brightness adjustment, and color changes, achieving the goal of intelligent lighting control. These sensors include occupancy sensors, daylight sensors, motion sensors, photosensors, infrared sensors, and others.
• The adoption of these sensors in commercial lighting control is increasing due to their ability to improve energy efficiency, support sustainability goals, and deliver customized lighting solutions. These sensors are essential for smart building systems, enabling energy-efficient lighting, automation, and enhanced occupant comfort.
• Additionally, integrating lighting control sensors with IoT platforms facilitates remote monitoring, data analytics, and the execution of smart lighting strategies. According to Ericsson, the global tally of short-range IoT devices reached 14.4 billion in 2024, with projections skyrocketing to 32 billion by 2029. Similarly, wide-area IoT devices numbered 4.2 billion in 2024, with forecasts indicating a rise to 7.2 billion by 2029.
• Furthermore, the growing focus on human-centric lighting, which considers factors such as circadian rhythms and user preferences, further drives the demand for advanced lighting control sensors.
• Lighting control software providers are introducing new functionalities that are expected to drive demand for sensors in commercial lighting controls. Overall, the growing integration of sensors in commercial lighting control systems to achieve energy savings and improved user comfort and the growing emphasis on smart building technologies, energy efficiency regulations, and IoT connectivity are driving the adoption of these sensors in commercial lighting control.

Asia Pacific to Register Major Growth

• Developing economies such as Korea, India, China, and Japan are witnessing a surge in construction activities, which is anticipated to drive the demand for lighting control over the forecast period. Urbanization also plays a significant role in the growth of the lighting control industry, as lighting usage is more concentrated in urban areas than rural regions. According to the World Bank, by 2036, approximately 600 million people, representing 40% of India's population, will reside in metropolitan cities.
• Government initiatives focused on building renovations and new city projects to enhance infrastructure are expected to stimulate market growth further. For example, Indonesia and South Korea have announced a strategic partnership to collaborate on a new capital city project.
• Additional factors contributing to the growth of the lighting control market in the region include rapid advancements in wireless technology and sensors and increasing demand for smart lighting solutions essential for the development of smart cities and street lighting.
• Smart LED lighting solutions are emerging as a dominant trend in the LED lighting market. In recent years, smart LED lights have surged in popularity, especially in China, thanks to their energy efficiency and the convenience of remote control via smartphones. In India, the rise of Internet of Things (IoT) devices has catalyzed the growth of the lighting control market. As IoT and wireless communication technologies advance, lighting manufacturers are increasingly integrating wireless connectivity into their fixtures.
• Governments across the region are heavily investing in smart city initiatives, with a primary focus on energy conservation. Countries like Singapore, Taiwan, and Australia are spearheading various smart city projects, driving rapid modernization and infrastructure development and, consequently, propelling market growth.
• In May 2024, WiredScore, a globally recognized leader in digital connectivity and smart building rating systems for real estate, announced its expansion into India. This move marks a significant milestone in WiredScore's growth trajectory across the Asia-Pacific (APAC) region. With a presence already established in Singapore, Hong Kong, Australia, New Zealand, and Thailand, WiredScore's entry into the Indian market underscores its dedication to elevating building infrastructure throughout the APAC region. Such developments and investments are poised to spur growth opportunities in the studied market during the forecast period.

Commercial Lighting Control Industry Overview

The competitive rivalry in the commercial lighting control market is expected to remain high during the forecasted period. Market players like Signify N.V., Acuity Brands Inc., Lutron Electronics Co. Inc., and Honeywell International Inc. are in a relentless innovation race, sparking price wars and pushing for product differentiation. These companies are pouring substantial resources into R&D, focusing on Al-driven controls, cloud systems, and wireless automation.

Major factors governing this force are sustainable competitive advantage through innovation, levels of market penetration, barriers to exit, the power of competitive strategy, and the firm concentration ratio.

Brand identity plays a significant role in the market due to the consumers' inclination toward a more well-identified brand. Additionally, market penetration is growing, with a strong presence of major players in established markets.

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