The Global Smart lighting market is predicted to increase at a compound annual growth rate (CAGR) of over 19% throughout the projection period for different market sectors. The three major application sectors are:
- Public Infrastructure
The commercial sector is anticipated to surpass $23 billion USD by the year 2020, and increasing at a compound annual growth rate more than 4% during the projection period for this sector. Shopping malls, office spaces, hotels, retail markets, harbors and airports all use Smart lighting systems. The key contributor to this sector is anticipated to be China, about their forthcoming railway and airport projects which have been approved by the National Development & Reform Commission.
During 2014, China pronounced its proposal to spend approximately $115 billion USD on some 21 supersized infrastructure projects. Further, Dalian Wanda Group, China’s largest property developer came up with additional projects by means crowdfunding. What’s more Philips and Havells, and other such companies are concentrating on supplying the demand from China which was followed by a government announcement pertaining to the Smart city initiative. Projects such as these will expand the demand for global Smart lighting market, LED lighting throughout the projection period.
India will surely follow China with their mission to achieve 100 Smart cities which will drive the growth of the market. An allocation of nearly $15 billion USD was made to enable the government to implement their Smart cities plan, which will also include railways, villages, ports and special economic zones (SEZ).
Commercialization has increased in Brazil arising out of the 2014 FIFA World Cup, the Summer Olympic Games in 2016 and also the upsurge in foreign direct investment (FDI) in real estate projects within the commercial world, which has intensified the requirement for commercial lighting. The 2016 Olympic Games will result in increased leisure, hospitality, and retail and will also increase the requirement for stadiums, malls, hotels and other similar commercial type businesses.
This particular sector is anticipated to surpass $24 billion USD by the year 2020, and has a CAGR in excess of 53% during that projection period.
China was the one of the largest in the market for Smart lighting within the residential sector during 2015. The growing population of China has in effect amplified lighting use, thereby increasing the market growth. To be able to endorse energy-efficient lighting, grants on LED lighting has been offered by the Chinese government, which therefore reduces the price.
Further, LED lighting sales are projected to rise in the future because of benefits like brightness and color tuning, and their longevity, compared to that of different lighting. Smart LED lights are in high demand throughout the residential sectors of China, and this is one of the great advantages for retailers who operate in those sectors.
Brazil follows closely behind China, where their lighting market has been greatly affected by the middle-class population growth in cities. In August 2016, around 84% of Brazil’s total population is urbanized. Real estate is boosted and also the market for Smart lighting across the country.
Sunil states “Throughout India, the developing focus on Smart cities is bound to attract a great number of Smart lighting retailers. In addition, this is anticipated to drive the combination of LED lighting sources in global Smart lighting market as data centers and will most likely substitute the most conventional lights with Smart LED’s. From these elements, this specific sector will be one of the fastest growing in the market within the projection period.”
This sector is anticipated to surpass $8 billion USD by the year 2020. This striking CAGR is an increase of more than 30% within the project period.
Public corporations and city planners are realizing plans for new street lights to be installed, but also the renovation of the existing lighting systems, and the outdoor sector is fixed to increase during the projection period. Worldwide countries are searching for the possibility of effective implementation of Smart lighting within the public infrastructures like airports, railway stations, roads and subway stations.