The global optical sensor market reached over USD 22 billion in 2022. Future Market Insights expected the market to reach a valuation of USD 24.2 billion in 2023. With an increase in demand for optical sensors for a wide range of applications, overall sales are projected to rise at a robust CAGR of around 10% from 2023 to 2033. By the end of the said forecast period, a valuation of USD 62.77 billion is expected.
Optical sensors are electronic devices that convert light or variation in light into electric signals that are then interpreted by instruments. These sensors have the ability to detect electromagnetic radiation of various wavelengths usually ranging from infrared up to ultraviolet.
| Report Attribute | Details |
|---|---|
| Estimated Base Year Value (2022) | USD 22 billion |
| Expected Market Value (2023) | USD 24.2 billion |
| Anticipated Forecast Value (2033) | USD 62.77 billion |
| Projected Growth Rate (2023 to 2033) | 10% CAGR |
During the last few decades, optical sensors have gained immense traction across the electronics industry. They have become ideal contactless detectors and are being increasingly used in various industrial and consumer applications such as automatic lamps, smartphones, smartwatches, position sensors, and photoelectric sensors.
Countries like China and the USA are emerging as leading destinations for optical sensors on account of the heavy presence of end-use industries. People in these countries spend large amounts on smart consumer electronics and healthcare devices such as wearables and smartphones.
Rapid penetration of automation across major industries including manufacturing, defense, energy & utility, and automotive is playing a key role in boosting the sales of optical sensors. Optical sensors are being incorporated into a wide range of automated machinery for non-contact detection and measurements.
In addition to this, various low-cost optical sensors are used for the detection of harmful chemicals and biomedical analysis. This will support the growth of the optical sensor market in the future.
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The global optical sensors market is forecast to grow at a significant pace owing to the increasing adoption of smartphones, technological advancements in optical sensors, the growing popularity of smart electronic home appliances, and the rising usage of optical sensors in remote sensing applications.
Optical sensors have the potential to perform effectively even in harsh environments. They are being widely used for advanced applications such as gesture recognition, occupancy sensing, and smart lighting on account of their various attractive benefits like flexibility, lightweight, compactness, and higher sensitivity. They are immune to electromagnetic interference.
As the demand for technologically advanced smartphones and tablets with in-display fingerprint or image scans continues to rise, manufacturers are integrating optical sensors into their products. These optical sensors automatically adjust the screen brightness of these devices according to the environment and aid in recognizing even the lightest and darkest areas of the image.
The introduction of novel healthcare devices such as wearables and smartwatches has provided a new thrust to the growth of the optical sensors market. Integration of optical sensors in these healthcare devices helps to monitor vital health parameters including heartbeat and body temperature.
Optical Sensors also find their application in advanced driver assistance systems in modern vehicles for functions like parking assistance and emergency brake assistance. Increasing production and sales of these smart vehicles will therefore accelerate the growth of the optical sensors market in the future.
Robust growth of biometrics market, deployment of fiber optics sensors in defense & aerospace applications, and increasing investments in smart home and smart city projects will further trigger the sales of optical sensors during the forecast period.
Despite its rapid expansion, there are various factors that are challenging the growth of the optical sensor market. Some of these factors are lack of standardization, high cost of some optical sensors, and lack of awareness. Besides, the availability of low-cost alternatives is also limiting the growth of the optical sensors market.
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North America will continue to remain the most lucrative market for optical sensors during the assessment period, owing to the increasing adoption of smart home-connected devices, rising integration of optical sensors in industrial and commercial applications, presence of leading market players, and growing awareness among people regarding the benefits of optical sensors.
Industries across countries such as the United States and Canada are increasingly adopting optical sensors for monitoring a wide range of physical and chemical parameters.
They are being used in energy field monitoring, wind turbine blade monitoring, pipeline monitoring, and several other applications. Growing penetration of automation along with increasing investments in end-use industries such as aerospace & defense, oil & gas, healthcare, and energy will continue to generate demand for optical sensors across North America.
The ever-increasing demand for consumer electronics and wearables is projected to further expand the growth of the optical sensor market in the future. Optical sensors are being embedded in smartphones, wearables, and smartwatches for ambient light and other functions. By 2033, the North American market is expected to grow by 9.5% year on year.
According to Future Market Insights, the Asia Pacific optical sensor market is expected to reflect the highest CAGR over the forecast period from 2023 to 2033. Growth in the market is driven by increasing sales of smartphones, rising penetration of automation, adoption of smart homes, and rapid expansion of the consumer electronics industry.
Countries such as China and India are witnessing huge demand for optical sensors due to increasing applications in intelligent lighting systems, smartphones, healthcare devices, etc. Deployment of ambient sensors in offices, hospitals, and residential buildings is becoming a new trend across the region.
Subsequently, the rapid expansion of manufacturing and processing industries is projected to create various opportunities for optical sensor manufacturers in the future. The region is anticipated to grow at a CAGR of 9%.
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Demand for Fiber Optic Sensors is anticipated exhibit Significant Dominance
As per Future Market Insights, the demand for fiber optic sensors is expected to incline significantly from 2023 to 2033. As of 2022, a revenue share of 8.5% was documented for this segment. A CAGR of around 7% is expected for the fiber optic sensor segment in the coming decade.
Fiber optic sensors are endowed with a range of intuitive features, such as reduced transmission losses, high resistance to electromagnetic fields, enhanced sensitivity and energy efficiency. Fiber optic sensors are especially utilized for remote sensing applications, providing enhanced performance in high-pressure environments.
The Automotive Industry is slated to be a Key Beneficiary of Optical Sensors
The automotive industry is expected to emerge as one of the most important end-users of optical sensor technologies. A revenue share of 10.2% was registered for this category as of 2022. From 2023 to 2033, a CAGR of 8% has been projected by Future Market Insights. The automotive industry is at the cusp of major technological breakthroughs.
From the installation of autonomous driving features to ADAS sensors, a plethora of innovations are yielding credible benefits to the industry. Optical sensors are an important element for ensuring the proper functioning of these systems. Moreover, the advent of autonomous driving is further likely to encourage optical sensor technology in the automotive industry.
Some of the key participants present in the global optical sensor market include Waloong Electric Instruments Co. Ltd., Shanghai Lanbao Sensing Technology Co. Ltd, Solution Galore Electronics, Profelmnet, I-Linear Automation Sdn Bhd, Shenzhen Leini-Lile Technology Ltd, ZeeAnn and Medel Elektronik.
These leading market players are focusing on partnering and collaborating with semiconductor and automation giants to increase their sales. Besides this, they are integrating novel technologies for manufacturing optical sensors at lower prices.
| Report Attribute | Details |
|---|---|
| Growth Rate | CAGR of 10% from 2023 to 2033 |
| Expected Value in 2023 | USD 24.2 billion |
| Projected Value in 2033 | USD 62.77 billion |
| Base Year for Estimation | 2022 |
| Historical Data | 2018 to 2022 |
| Forecast Period | 2023 to 2033 |
| Quantitative Units | Revenue in USD billion and CAGR from 2023 to 2033 |
| Report Coverage | Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends, and Pricing Analysis |
| Segments Covered | Type, Application, Region |
| Regions Covered | North America; Latin America; Western Europe; Eastern Europe; South Asia & Pacific; East Asia; Middle East and Africa |
| Key Countries Profiled | United States, Canada, Brazil, Mexico, Germany, United Kingdom, France, Spain, Italy, Czech Republic, Poland, Russia, Romania, India, Bangladesh, Australia, New Zealand, China, Japan, South Korea, GCC Countries, South Africa,Israel |
| Key Companies Profiled | Analog Devices Inc.; ABB Ltd.; STMicroelectronics; AlphaSense; Texas Instruments; NXP Semiconductor; ams AG; Honeywell International Inc.; ROHM Semiconductor |
| Customization & Pricing | Available upon Request |
The optical sensor market is valued at USD 24.2 billion in 2023.
The optical sensor market will be worth USD 62.77 billion by 2033.
The optical sensor market is rising at a 10% CAGR through 2033.
The automotive industry may lead the optical sensor market at an 8% CAGR through 2033.
Asia Pacific may dominate the optical sensor market sales.
1. Executive Summary 2. Market Overview 3. Market Background 4. Global Market Analysis 2018 to 2022 and Forecast, 2023 to 2033 5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Type 5.1. Fiber Optics 5.2. Position Sensors 5.3. Image Sensors 5.4. Ambient Light Sensors 5.5. Proximity Sensors 5.6. Infrared Sensors 5.7. Others 6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Application 6.1. Consumer Electronics 6.2. Automotive 6.3. Industrial Process Control 6.4. Military & Defense 6.5. Energy & Utility 6.6. Transportation & Navigation 6.7. Others 7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region 7.1. North America 7.2. Latin America 7.3. Western Europe 7.4. Eastern Europe 7.5. South Asia and Pacific 7.6. East Asia 7.7. Middle East and Africa 8. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 9. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 10. Western Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 11. Eastern Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 12. South Asia and Pacific Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 13. East Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 14. Middle East and Africa Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 15. Key Countries Market Analysis 16. Market Structure Analysis 17. Competition Analysis 17.1. Analog Devices Inc. 17.2. ABB Ltd. 17.3. Hamamatsu Photonics 17.4. STMicroelectronics 17.5. AlphaSense 17.6. Texas Instruments 17.7. NXP Semiconductor 17.8. ams AG 17.9. Honeywell International Inc. 17.10. ROHM Semiconductor 18. Assumptions & Acronyms Used 19. Research Methodology
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Optical Sensor Market
