Global Optoelectronics Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Type (CMOS Image Sensors, CCD Image Sensors, Lamps, Laser Storage Pick-Ups, Displays, Couplers, Others), By End-user Industry (Communication, Consumer Electronics, Manufacturing, Automotive), And By Geography - Forecasts From 2022 To 2027

The global optoelectronics market is projected to grow at a CAGR of 5.61% to reach US$59.092 billion by 2027, from US$40.339 billion in 2020. 

Optoelectronics, also known as photoelectric components, are semiconductor devices that can either create or respond to light. The demand for photoelectric components is expected to expand throughout the projected period as the global demand for cameras rises. Furthermore, rising smartphone adoption internationally, as well as ongoing camera advancements in the same, will drive market expansion in the future years.

Growth Factors

Additionally, the growing need for optoelectronic devices in the automotive sector, especially with the increased use of electric cars, self-driving trucks, and autonomous vehicles, is projected to push the market further. The optoelectronics market is anticipated to grow rapidly as expenditures in LiDAR and additive manufacturing technologies increase. For example, Mitsubishi Electric Corporation introduced the ML562G86 pulse laser diode (LD) for projectors in December 2019, with a vivid 638-nanometer (nm) red light, an output power of 3.0W under pulse operation, and a mean time to failure1 (MTTF) of over 20,000 hours. Therefore, recent advances in the field of optoelectronics, such as plasmonic nanostructures, perovskite circuit boards, luminescent quantum dots, microscopic light bulbs, low-cost 3D imaging, beam 3D display technology, and Laser Li-Fi, are expected to cause a quantum shift in the dynamic scope of application areas of optoelectronic equipment.

Increased optoelectronics applications

Optoelectronics, which is widely utilized in automotive, telecommunications, and industrial applications, provides excellent beam-quality light with minimal power consumption and energy. Optoelectronics is employed in a variety of industrial applications, including proximity sensing, color quality assurance, scanners, and robotics. Many industrial businesses have turned to optoelectronic components for improved performance at a cheap cost and long-term operation. The ease of availability and rapidly increasing demand for these goods are the primary reasons translating into the potential for optoelectronics industry participants.

Due to fast industrialization and an increase in manufacturing activity in the area, the Asia Pacific region will have the greatest share of the market and will also expand at a booming CAGR in the upcoming years.

Furthermore, the ever-increasing expenditure on electricity by consumers in the Asia Pacific is predicted to contribute significantly to the market's high revenue. Japan is the world leader in robot manufacturing and factory automation technologies. Five of the top ten worldwide manufacturers are Japanese, including Softbank Robotics, Mitsubishi Motors Corporation, Yaskawa Electric Corporation, and others. Many enterprises in a variety of sectors are utilizing industrial automation to alter their operations. For example, in a Fanuc factory in Japan, the company has used automated manufacturing to produce industrial robots. This has enabled the corporation to decrease its human personnel to four people every shift. Because optoelectronics is a key component of robotics and industrial automation, it is in great demand in the region. Additionally, Mitsubishi Electric Corporation introduced the ML562G86 pulse laser diode (LD) for projectors in December 2019, with a vivid 638-nanometer (nm) red light, a pulse output power of 3.0W, and a mean time to failure1 (MTTF) of over 20,000 hours.

Increased partnerships and acquisitions will propel the market to grow in the coming years.

In May 2022, QT Optoelectronics, Inc. has been acquired by Fairchild Semiconductor International (QTO). QTO has agreed to sell for $97.8 million, with 12.5 percent paid in cash and the remainder in Fairchild shares. QTO will be renamed QT Optoelectronics, a Fairchild firm, and will become a completely owned subsidiary of Fairchild. QTO's product lines include optocouplers, LED lights and displays, and infrared components. The lines generate around 750 components and employ about 1500 workers worldwide. Moreover, in November 2020, E Ink Holdings, the world's leading creator of electronic ink technology, announced a strategic agreement with Yes Optoelectronics Co., Ltd., a leading developer and manufacturer of consumer LCD panels. The collaboration will concentrate on ePaper-related module research and development, product production, critical materials, and sales and marketing assistance. 

Market Key Developments

• In September 2022, OFilm, a Chinese optoelectronics production, and assembly firm, stated that its wholly-owned subsidiary has accomplished the very first technological docking of a highly pure lidar in collaboration with various local car manufacturing companies. With its uniform design, this pure solid-state lidar subverts the system design of classic robotic or semi-mechanical semi-solid-state lidars. Because of the chip mode of its reception and transmitting modules, this lidar resembles a high-end camera.
• In May 2022, Huawei and Nationstar Optoelectronics launched a collaborative innovation center to undertake in-depth innovation and manufacture and industrialize important core technologies in response to market and industry development demands. Nationstar Optoelectronics contributed expertise in LED display, backlight, and other disciplines. Huawei, on the other side, offered knowledge in semiconductors, AI, 5G, and other areas. The partnership's major focus was on the development of small and micro-LED display technology.
• In July 2021, Wistron announced the acquisition of 100% of the stock of Kaohsiung OptoElectronics Inc. (KOE), an entirely owned subsidiary division of JDI Taiwan Inc.

Global Optoelectronics Market Scope:

Segmentation

• By Type
  • CMOS Image Sensors
  • CCD Image Sensors
  • Lamps
  • Laser Storage Pick-Ups
  • Displays
  • Couplers
  • Others
• By End-User Industry
  • Communication
  • Consumer Electronics
  • Automotive
  • Manufacturing
• By Geography
  • Americas
    • USA
    • Others
  • Europe Middle East and Africa
    • Germany
    • France
    • Others
  • Asia Pacific
    • China
    • Japan
    • South Korea
    • Taiwan
    • Others