Global Optical Wireless Communication and LiFi Market to See Explosive 80.3% CAGR

December 18, 2018

WELLESLEY, Mass., Dec 18, 2018 – The optical wireless communication (OWC) market is expected to boom in the next few years due to the increasing number of internet users, need for wireless data transmission methods that can be used when radio-frequency systems are not desirable, and the fast-growing markets for critical VLC-based applications.

The global market for optical wireless communication equipment was valued at $3.8 billion in 2018 and is expected to reach $72.1 billion by 2023 growing at a compound annual growth rate (CAGR) of 80.3%, according to the report “Optical Wireless Communication and LiFi: Global Markets to 2023.”

Major players in the industry include Acitys, Acuity Brand Lighting, AirLinx, Anova Technologies, Bridgelux, Broadcom (AVGO), Casio (CSIOY), Cree (CREE), Efkon, E-Globaledge, fSONA Networks, Fujitsu (FJTSF), Gallium Lighting, General Electric (GE) and many others.

Research Highlights:

The U.S. currently represents the largest share of this market at 43.1% of the total. Revenues for optical communication technologies in this region are expected to expand at a CAGR of 32.0% during the next five years, bringing the U.S. market share to 30.6% by the end of 2023.
LED-based VLC (LiFi) as a segment of optical wireless communication market should grow from $3.1 billion in 2018 to reach $68.1 billion by 2023 at a CAGR of 85.4% for the period of 2018-2023.
Equipment for visible light communication (VLC) currently accounts for the largest share of the market at a projected 83.0% of the total in 2018. Growing at a CAGR of 80.5% during the two-year period, these systems are expected to generate global revenues of $3.1 billion in 2018.

“The flourishing market for portable devices, such as smartphones, tablets, entertainment gadgets and health monitors, is contributing to a rapid expansion of wireless technologies,” said analyst Margareth Gagliardi. “Wireless technologies are being applied in both human-machine and machine-machine communication.”

Market Restraints Include Underdeveloped Data Technologies, Limited Application

OWC technology presents some restraints and challenges. Among others, it requires an unobstructed light path; is presently best suited for short to mid-range applications; and data uploading technologies are not fully developed. However, these drawbacks are outnumbered by its advantages, and consequentially, demand for OWC systems is projected to continue grow at a very healthy pace during the next five years.

Editors/reporters requesting analyst interviews should contact Eric Surber at press@bccresearch.com.

Optical Wireless Communication and LiFi: Global Markets to 2023( PHO030A )
Publish Date: Nov 2018

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