Global Visible Light Communication Market - Segmented by Component (LED, Photo Detector, Microcontroller, Software and Services), Transmission Type (Unidirectional, Bidirectional), Application (Consumer Electronics, Automotive, Infrastructure) and Region - Growth, Trends, and Forecasts (2018 - 2023)
The global visible light communication market was valued at USD 1.27 billion in 2017, and it is expected to reach a value of USD 24.2 billion by 2023, at a CAGR of 63.5%, over the forecast period (2018 - 2023). The scope of the report is limited to solutions offered by major players, including providers of LEDs, photo detectors, microcontrollers, and software and services. While the regions considered in the scope of the report include North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. The study also emphasizes on the effect of smart city initiatives on the light communication market, and the adoption of lighting solutions for the future of connected cars.
Primarily driven by the rapidly increasing usage of LEDs in practically every signaling or illumination entity, the market is expected to witness various opportunities in LEDs, as the majority of new energy-efficient lighting installations are expected to be LED-based. According to a research, the global LED penetration in the lighting market is estimated to reach 61% in 2020. Moreover, the problem of congestion of radio spectrum utilized by Wi-Fi and cellular radio systems, and the increasing technological developments in VLC and Li-Fi technology, also serves in developing the market for VLC. However, lack of awareness about this technology may hamper the growth of the visible light communication market. Since, the technology is still emerging, prototypes are being developed. Further advancements in optoelectronic devices/materials are expected to open up new opportunities for the application of this technology.
Availability of High Bandwidth will boost the Adoption of VLC Technology
The bandwidth frequency spectrum offered by visible light is larger than radio frequency, which enables achieving higher transfer rates, thereby, ensuring the accommodation of more users. Visible Light Communication (VLC) is, thus, a preferred communication technique, due to its high bandwidth and immunity toward the interference from electromagnetic sources. With increasing mobile data traffic, there will be an increase in adoption of VLC, because of the spectrum deficiency issues in RF wireless communication. According to CISCO, there will be an 11-fold increase in mobile data traffic in 2018 compared to 2013. The increase in the number of devices accessing mobile networks is the primary reason for the drastic increase in mobile data traffic. Along with this, the development of online social services, such as Facebook and Twitter, has further increased the mobile data traffic. Thus, the high bandwidth availability of VLC is expected to be the biggest attracting aspect of this technology, by using it to cater to the increasing data traffic, and further powering the growth of the visible light communication market.
Infrastructure Application accounted for the Maximum Market Share
Home and office are expected to be the two of the major end-use applications, VLC will have an extensive impact on. Development of smart houses, connected living, and IoT will be aided by VLC technology. The increasing trend of replacing traditional lights with LED is expected to drive customers to choose smart LED combined with VLC technology, thus, providing an alternative communication technology to Wi-Fi in the different environments. Wi-Fi has been in the market for more than a decade, providing high-speed connectivity. However, there is a lack of consistency and high infrastructure investment, to make it suitable for the development of smart cities and smart homes. VLC demands minimal infrastructure investment in the small commercial segment, and is thereby, more suited toward the development of smart cities and smart homes.
Due to Increasing Investments in R&D in Advanced Technological Solutions, North America Dominated the Market
North America is the most prominent market for VLC, due to increasing investment in R&D in advanced technological solutions, such as artificial intelligence, sustainable energy projects, and big data analytics. The major wireless network providers in the region, such as Telus Corp, Rogers Communications Inc., and BCE Inc.’s Bell Mobility, are investing heavily in R&D activities in VLC, along with 5G technology, to increase their market share among the wireless and internet service providers. The United States is the first country to install 5G wireless networks, making the country the global test bed for LTE services and apps. Further, government initiatives, such as “Gigabit Communities” that helps make the United States one of the high capacity and the super-fast ubiquitous broadband networks, enhance the adoption of VLC opportunities.
The key players in the market include: Koninklijke Philips NV, Panasonic Corp., LVX Systems, Purelifi Ltd, Bytelight Inc., and General Electric Co. Other players include Oledcomm, Lucibel, Outstanding Technology Co. Ltd, Axrtek, and Firefly Wireless Networks LLC.
Key Developments in the market
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