The global lasers market is estimated at US$12.357 billion in 2024 and is anticipated to grow at a CAGR of 3.43% during the forecast period and reach US$14.63 billion in 2029.
The market for lasers is expected to be driven by their growth in various applications such as military and defense, material processing, research and development, healthcare, and other industrial operations. Major companies have been investing significant capital in enhancing laser technology for different applications. The major advantage of the laser is that it provides precision and higher quality and can work with any sort of material.
R&D is expected to be one of the prime growth contributors to the overall market. Military expenditure by the developed countries that comprise the United States is also likely to contribute towards steady growth during the forecast period. For instance, according to the Peter G. Peterson Foundation, defense expenditures by the United States represented a complete total of 40% of military spending in 2023. According to the Stockholm International Peace Research Institute, defense spending in 2023 increased by US$55 billion from 2022. Therefore, the increasing defense spending will likely boost the demand for lasers during the forecast period.
GLOBAL LASERS MARKET DRIVERS:
- There has been a surge in military and defense spending globally, as major countries have been investing a substantial sum of capital into the defense budget to combat and fight insurgencies, terrorism, and other related issues. For instance, according to the European Defense Agency, the total defense spending in the EU was €269 billion in 2014, which increased to €316 billion in 2022. Hence, the increasing spending in the defense sector is expected to boost the market for lasers in the projected period.
- Additionally, a rising application of lasers in the ophthalmology segment is anticipated to have a positive impact on the laser market in the coming years. The eyes can be considered as an optical device. The front of the eye has transparency, through which a laser can reach its tissue. Companies are launching new laser products that can help in treating patients efficiently. For instance, in January 2024, Bausch + Lomb Corporation, a leading eye health company, announced that the U.S. Food and Drug Administration (FDA) had approved the TENEO Excimer Laser Platform. This platform can be used for laser-assisted in situ keratomileusis (LASIK), a vision correction surgery for myopic and myopia astigmatism.
- Furthermore, advancements in various technologies through laser-based applications such as Augmented Reality or Virtual Reality, VCSEL, and LiDAR are propelling the market growth. This is because the demand is growing in various industry verticals such as healthcare, automotive, manufacturing, etc.
- Additionally, the increasing use of laser technology in the medical sector for urology, dermatology, and dentistry, among others, is anticipated to fuel the market in the forecasted period. The increasing aging population, medical infrastructure, and cosmetic surgeries are expected to positively impact the laser market in the coming years. For instance, the International Society of Aesthetic Plastic Surgery (ISAPS) showed that in 2022, there was an 11.2% increase in procedures performed by plastic surgeons, with more than 14.9 million surgical procedures and 18.8 million non-surgical procedures. Additionally, the report showed that there was a continued rise of 41.3% in aesthetic surgery over the past four years. Hence, the rising use of lasers in the medical sector is anticipated to boost its market in the forecasted period.
- The increasing use of laser technology in the automotive sector is also expected to boost the laser market in the projected period. Lasers are used in the automotive sector because they provide high precision and accuracy for welding and cutting, which helps increase productivity. The rising adoption of Advanced Driver-Assistance System (ADAS) technology is another reason for boosting this market in the coming years.
GLOBAL LASERS MARKET SEGMENT ANALYSIS:
- By type, the solid-state segment is expected to hold a significant share of the global laser market.
The global laser market is segmented by type into solid-state lasers, fiber lasers, CO2 lasers, diode lasers, and others. Owing to their increasing use in the healthcare industry, the demand for solid-state lasers is anticipated to hold a prominent share in the projected period. The increasing number of cosmetic procedures will propel the market for solid-state lasers in the coming years.
The North American region is anticipated to hold a significant share in the coming years.
The North American region is anticipated to hold a significant share in the projected period, owing to the increasing application of lasers in defense and cosmetic procedures. The region is thriving with healthcare expenditures, increasing cosmetic surgeries, and growing adoption of new and advanced technologies.
The Asia Pacific region is also anticipated to grow with the fastest CAGR in the forecasted period, owing to the increasing expenditure on research and development for new technologies. Additionally, the developing healthcare expenditure and growing penetration of laser technologies in countries such as China are anticipated to propel this market in this region. The presence of countries such as South Korea and Japan, where cosmetic surgical procedures are common, positively impacts the market. For instance, according to the ranking by ISAPS, on a per capita basis, Korea topped in the number of cosmetic procedures, which is 13.5 for every 1,000 people.
Global Lasers Market Key Developments:
- In July 2024, Aspen Laser Systems, LLC, an emerging company in medical industry devices that focuses on photobiomodulation, announced the launch of the Ascent Laser Series. This new therapeutic laser will feature 32 watts of combined power and a patented quad-wave laser.
- In April 2022, Lumentum Operations LLC, a leader in designing and manufacturing commercial laser systems, launched the new femtosecond laser system, the FemtoBlade, to its portfolio of precision ultra-fast lasers. The FemtoBlade laser employs a new modular design that provides flexibility and a high power repetition rate. This enables faster processing for improved micromachining applications, including PCB, OLED, and solar cell processing, among others.
The global lasers market is segmented and analyzed as follows:
- By Type:
- Solid State Lasers
- Fiber Lasers
- CO2 Lasers
- Diode Lasers
- Others
- By Application:
- Medical and Cosmetics
- Instrumentation and Sensors
- R&D, Military and Defense
- Material Processing
- Lithography
- Others
- By Geography:
- North America
- South America
- Europe
- UK
- Germany
- France
- Italy
- Others
- Middle East and Africa
- Saudi Arabia
- Israel
- Others
- Asia Pacific
- Japan
- China
- India
- South Korea
- Indonesia
- Thailand
- Others