Global IR Camera Market - Segmented by Type of Detector (Cooled, Uncooled), Material (Germanium, Silicon, Sapphire), Type (Short-Wavelength IR, Medium-Wavelength IR, Long-Wavelength IR), Application (Military and Defense, Automotive, Industrial, Commercial, Residential), and Region - Growth, Trends, and Forecast (2018 - 2023)
The IR camera market was valued at USD 3.77 billion in 2017 and is expected to reach a value of USD 5.91 billion by 2023 at a CAGR of 7.72%, over the forecast period (2018 - 2023). The scope of our report covers the Short Wavelength, Mid Wavelength and Long Wavelength IR cameras along with the various applications. The regions considered in the scope of our report include North America, Europe, Asia Pacific, and Rest of the World.
Factors such as rising demand for surveillance across various verticals, gradually decreasing costs of thermal cameras and rapid development of high speed infrared cameras are leading to an increasing demand for IR cameras across various industries, consequently driving the market growth. However, inaccurate measurements and image color issues associated with the cameras are challenging the market growth. The industries heavily relying on IR cameras are military and defense and automotive.
Increasing use of thermal cameras in the automotive sector to reduce the risks in driving, especially during the night, is one of the major reasons for the growth of thermal imaging market in this application creating opportunities for IR cameras adoption in autonomous cars of future. With increasing demand for ADAS in future and investments in autonomous cars, IR cameras will witness a significant adoption in vehicles.
Gradually Decreasing Costs of Thermal Cameras will drive the Market Growth
In the initial years of infrared imaging, the cost of an infrared camera was very expensive. Typical cameras were sold for around USD 50,000. Most of the cost was associated with detector manufacturing and the optics. Also, contributing to the high cost was a limited market. Infrared cameras were usually sold to utility companies, infrared consultants, and heavy industries. With the technological advancements that reduced cost, microbolometer detector was invented that finds applications in the cameras manufactured today. Since the microbolometer did not need active cooling, manufacturers were able to use less expensive materials to create the cameras. This also allowed for smaller packaging and designs consequently reducing the IR camera costs and encouraging the market growth.
Military and Defense Sector to witness Huge Demand in the Market
IR imaging is witnessing an increased adoption in the armed forces primarily army, navy and air force because of its day night working capability and ability to perform well in all weather conditions. The army and navy use IR cameras for border surveillance and law enforcement. It is also used in ship collision avoidance and guidance systems in the naval sector. In the aviation industry, they have considerably mitigated the risks of flying in low light and night conditions. Aviation also uses them to identify, locate and target the enemy forces. Recently, they are also being incorporated in civil aviation for health monitoring of aircrafts. Investments by various countries in videos surveillance for defense and security have created the demand for IR cameras in defense. The US Department of Defense in 2016 had allocated USD 2.9 billion for combat and video surveillance in the budget.
United States to dominate the North American Market
The United States is expected to account for a significant share in the market accounting for the largest share in the North America due to growing adoption of infrared imaging products and services by organizations in the country for applications, such as surveillance, threat detection, automotive, predictive maintenance, and others. Moreover, according to the National Highway Traffic Administration System (NHTSA), there were 37,461 traffic fatalities in 2016. In 2015, there were a total of 6,243,000 passenger car accidents according to the Bureau of Transportation Statistics. Thus, there is dire need to manage the road accidents, which are resulting in the future of autonomous cars and ADAS in automobiles. Advanced Driver Assist Systems (ADAS) are becoming the norm, spotting potential problems up ahead, and making auto travel safer for drivers, passengers, and pedestrians, thereby, stimulating the adoption of IR cameras in automobiles.
Key Developments in the Market
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