Optical Sensors Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Sensor Type (Fiber Optic Sensor, Ambient Light And Proximity Sensor, Image Sensor, Photoelectric Sensor, Others), By Technology (Consumer Electronics, Biometric, Medical, Industrial, Automotive, Others), And By Geography - Forecasts From 2023 To 2028

Optical sensors are devices that convert light intensity into an electrical signal. The devices are used in various applications ranging from biometric & medical to industrial and automotive sensors. The growing technological adoption in industrial operations is boosting the demand for optical sensors, and their growing applicability in the medical & healthcare sector for heart rate monitoring and breath analysis is further pushing the market demand for optical sensors.  Moreover, the sensors are also finding their way into the agriculture sector for on-site pest detection, which is boosting their product innovations and launches for such applications. For instance, in December 2021, FarmSense launched the Smart Trap pest monitoring system which uses optical sensors for real-time insect counting and classification.

Based on technology, the optical sensors market is segmented into consumer electronics, biometrics, medical, industrial, automotive, and others. Consumer electronics is projected to hold a decent market share during the forecast period of the optical sensors market. Optical sensors as ambient light sensing systems are used in smartphones which optimize their battery life and screen brightness with the environment’s light. Rapid urbanization coupled with technological adoption has boosted the demand for major consumer electronics items such as smartphones. For instance, according to the data issued by the Government of China, in 2021, domestic shipment of smartphones stood at 342.8 million in the country which represented an increase of 15.9% over the 296 million shipped in 2020. Furthermore, major consumer electronics manufacturers also reported an increase in their revenue sales of smartphones. For instance, as per Samsung’s 2021 Business Report, the company earned an annual revenue of KRW 104,680.6 billion from its mobile sales which represented an increase of 9% over 2020’s sales revenue. Such an increase in the sales of smartphones has provided an outlook to demand and usage of optical sensors in such consumer electronics items, thereby adding more to the market growth in the future.

Favorable investments in advanced driver assistance system and the establishment of new policies related to transport mobility has positively impacted the optical sensors market demand. Advanced driver assistance system through their numerous sensing technology increases a car’s efficiency as well as safety. Optical sensors in such system is mainly used in camera and light detection & ranging application for reversing and blind spot detection. Major automotive makers are eyeing the adoption of advanced driver assistance systems to meet the growing demand for smart vehicles. For instance, in October 2022, Volkswagen’s software unit CARIAD entered into a joint venture with Chinese car chip maker Horizon, where the company will invest US$2.3 billion to strengthen its autonomous driving technology in the Chinese automotive market. Furthermore, to provide public safety from traffic accidents and improve mobility solutions, new laws and acts have been implemented by organizations. For instance, the European Commission introduced Intelligent Road Assistance which will be regulated from July 2022 and will be mandatory for new vehicles launched in the European market. The system’s objective is to empower Europeans with new mobility solutions and also to protect them from traffic accidents. Such favorable investments and law establishment will boost the demand for advanced driver assistance systems, thereby simultaneously increasing the optical sensor’s usage in the sector. 

Recent developments

• In September 2022, Pico Technology launched its PQ316 PicoBNC+® Optical Sensor Kit which features TA497 PicoBNC+ optical sensor. The kit offers users much convenient way for capturing rotational speed reference signals for Noise, Vibration, and Harshness (NVH) balancing applications.
• In May 2021, MKS Instrument entered into a definitive agreement to acquire Canada-based Photon Control Inc. for US$320.17 million. The acquisition will enable MKS to develop optical sensors used for controlling the temperature in semiconductor wafer fabrication.
• In March 2021, Sony Corporation announced the release of its CMOS image sensor “IMX661” which is a large format image sensor having 56.73mm format and a pixel count of 127.68 megapixels. The sensor is equipped with Sony’s global stutter function and is meant to be used in industrial equipment cameras.
• In January 2021, Honeywell International launched its Optical Caliper Measurement Sensor which is designed to measure the true thickness of electrode material during the pressing and coating application of lithium-ion battery manufacturing.
• In September 2019, TT Electronics launched its OPB9001 Series reflective sensors whose robust and compact size eliminates peripheral circuitry needs. The new OPB9001 Series including the OPB9000 reflective sensor uses 90% reflective material for detecting objects as small as 2.5mm and far away as 50mm.

Covid-19 Impact on the Optical Sensors Market

Optical sensors find major applicability in mobile devices as ambient light sensor which extends their battery life and also enables easy-to-view displays. With the lockdown implementation and restrictions on the supply chain, the demand and consumption of smartphones saw a significant decline in major countries. For instance, according to Chinese government data, in 2020, domestic smartphone shipments declined by 20.4% in China with the number of handset deliveries dropping from 372 million in 2019 to 296 million in 2020. Furthermore, as per the Chinese Academy of Information and Communication, in December 2020, the number of smartphones shipped to Chinese consumers stood at 25.2 million which marked a 12.8% decline. However, in certain sectors such as medicine & healthcare, the demand for contactless sensing used in contactless sanitizer dispensers experienced positive growth.

Optical Sensors Market Scope:

Segmentation

• By Sensor Type
  • Fiber Optic Sensor
  • Ambient Light and Proximity Sensor
  • Image Sensor
  • Photoelectric Sensor
  • Others
• By Technology
  • Consumer Electronics
  • Biometric
  • Medical
  • Industrial
  • Automotive
  • Others
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • Germany
    • France
    • United Kingdom
    • Italy
    • Spain
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • United Arab Emirates
    • Others
  • Asia Pacific
    • China
    • Japan
    • South Korea
    • India
    • Taiwan
    • Others