LED Lighting Solution Market
LED Lighting Solution Market Study by Consulting Services, Installation Services, and Maintenance & Support Services from 2024 to 2034
Analysis of LED Lighting Solution Market Covering 30+ Countries Including Analysis of US, Canada, UK, Germany, France, Nordics, GCC countries, Japan, Korea and many more
LED Lighting Solution Market Outlook (2024 to 2034)
The global LED lighting solution market size is estimated to be valued at US$ 87,821.5 million in 2024. The market is estimated to expand at a promising pace of 10.1% CAGR to accumulate a total of US$ 2,30,156.2 million by 2034. Demand for LED lights is primarily increasing owing to the expanding construction sector in developed and developing countries, along with government laws restricting the deployment of inefficient lighting systems.
LED lighting manufacturers are zeroing in on the integration of features like Wi-Fi, daylighting, and occupancy sensors to capture more customers and boost product sales. As consumers become aware of the many benefits of LED lighting solutions, like durability to endure frequent switching and versatility in designs, their adoption is projected to rise.
Top Drivers in the LED Lighting Solution Market
- LED lighting solutions are finding significant demand owing to their energy efficiency, durability, and design flexibility, which is not possible with any other lamp type. Further, LEDs can be utilized in lampshades due to their small size; otherwise, they are not possible with fluorescent and halogen bulbs. Thus increasing their consumption in the residential sector.
- Several governments across the globe are initiating the promotion of LED applications throughout various industries. Therefore, LED lights are gaining traction owing to their many benefits, like longer life, low power consumption, and an extensive range of colors.
- LED lighting solutions are significantly consumed in the Asia Pacific, driven by the rapid transition toward lighting infrastructure, energy-efficient lighting solutions, and the heightened adoption of smart lighting solutions.
- Manufacturers are including unique features in LED lighting solutions like motion sensors, dimming technology, and Bluetooth connectivity, adding to its popularity among end users. The adoption of smart lighting products like motion sensors, voice-activated lights, and timers is raising its popularity in commercial as well as residential settings.
- Property owners are taking giant steps toward sustainability by integrating LED lighting solutions across residential communities. Such solutions contain enormous lighting networks that function for almost an entire day. Therefore, numerous homeowners and renters are upgrading their interior lighting with extensive LED options.
|Estimated Market Value (2024E)
|US$ 87,821.5 million
|Forecasted Market Value (2034F)
|US$ 2,30,156.2 million
|Global Market Growth Rate (2024 to 2034)
|Maintenance and Support Services Segment Growth Rate (2024 to 2034)
|Industrial LED Lighting Solutions Segment Growth Rate (2024 to 2034)
|East Asia Market Share (2024)
|North America Market Share (2024)
|Key Companies Profiled in the LED Lighting Solution Market Report
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Which Trends Guide Market Movement Through 2034?
“Spiking Demand for LED Lighting Solutions in Developing Countries”
Several Western countries are reaching a saturation point with the adoption of LED lighting systems. In addition, the price war among the Chinese players is intensifying. Therefore, from a growth perspective, several manufacturers are seeking opportunities elsewhere.
Surging demand for LED lighting solutions, including smart LED lights, in developing countries like Vietnam and India is providing opportunities to leading players, consequently solidifying the domestic LED lighting market in the region.
“Government Move Toward Energy-efficient Lighting Technology Provide Significant Opportunities to LED Lighting Manufacturers”
Several countries across the globe are prioritizing energy efficiency. For instance, governments in Canada, the United States, and Mexico have been relentlessly promoting a green environment, leading to numerous smart homes in the region. In recent years, countries in Europe have also been taking steps to adopt energy-saving measures throughout the region. Government regulations support home automation systems.
Governments in the Asia-Pacific region are also supportive of eco-friendly and digitalization measures to lower energy consumption. A green building utilizes resource-efficient and eco-friendly equipment throughout its life cycle. Therefore, the penetration of LED lighting systems is projected to expand owing to the rising construction of smart cities and green buildings throughout the globe.
Which Challenges Plague the LED Lighting Market?
“High Initial Investment and Expensive Raw Materials Pose a Barrier to Market Growth”
The high initial investment required by LED light manufacturers is a restricting element in the growth of the LED lighting solution market. Initial investment is high due to costing of raw materials like gallium arsenide, indium phosphide, and gallium nitride, which are expensive. Further, LED lights additionally require materials like phosphors and electronic components, which are also comparatively expensive.
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The East Asia LED lighting solution market is expected to acquire a market share of 36.5% in 2024. By 2034, the market share is expected to expand to 38.4%. Value-wise, the region is projected to rise from US$ 32,054.8 million in 2024 to US$ 88,380.0 million by 2034. Due to rapid industrialization, mounting demand for smart LED lights, and surging awareness around the energy conservation benefits of LED bulbs, the region is expanding at a 10.7% CAGR through 2034.
The market in North America is expanding due to the increase in smart buildings in the region. The LED lighting solution market share in North America is expected to be 28.6% in 2024. In terms of value, the region is expected to record a valuation of US$ 25,116.9 million in 2024. By 2034, the valuation is projected to reach US$ 60,991.4 million, registering a CAGR of 9.3%.
Which Factors Propel Market Growth in China?
“Drive Toward Innovation and Green Initiatives are Propelling Market Expansion”
China’s share in East Asia is projected to be 59.2% in 2024. The market is anticipated to accumulate a revenue of US$ 18,976.5 million in 2024. By 2034, the market is projected to gain US$ 51,437.1 million, expanding at a CAGR of 10.5%.
LED lighting solution market in China is driven by increasing infrastructure projects, which is raising the demand for LED lighting solutions. Along with this, the rising energy-efficient initiatives of the government are projected to propel market growth. Further, the growing number of manufacturers functioning in these countries, with an emphasis on innovation and new launches, is expected to complement the regional market.
Which Factors are Backing the Growth in the United States?
“Increasing Investments in Smart Buildings that Boast of Energy-efficiency Leading to Growth in the United States”
The United States share of the North America LED lighting solution market is expected to be 81.5% in 2024. The market is evaluated to attain US$ 20,470.3 million in 2024. By 2034, the market is anticipated to acquire a valuation of US$ 48,488.2 million, expanding at a CAGR of 9%.
The market in the United States is driven by surging investments in energy-efficient buildings annually. The construction sector is also benefiting from rising investments in infrastructure development projects. Additionally, expanding architectural services in the country is projected to add to market expansion. These developments in the market are anticipated to expand at a significant pace.
Which Service Segment Rules the LED Lighting Solution Market?
“Maintenance and Support Services Segment Top the Charts”
Based on services, the maintenance and support services segment is anticipated to acquire a share of 60.2% in 2024. The segment is anticipated to be valued at US$ 52,868.5 million in 2024. By 2034, the segment is projected to acquire a valuation of US$ 1,34,641.4 million, expanding at a CAGR of 10.9%. Manufacturers observe a high demand for the maintenance of LED lighting systems in residential and commercial places. The growing requirement for support services is contributing to this segment’s growth.
Which End User Consumes Significant Proportion of LED Lighting Solutions?
“Consumption of LED Lights by Industrial Sector is Comparatively Higher”
The industrial sector is projected to capture significant market share in the projected period. As per the latest estimates, the segment is anticipated to acquire a share of 57.5% in 2024. The segment is expected to be valued at US$ 50,497.4 million in 2024.
By 2034, the segment’s valuation is anticipated to soar to US$ 1,35,562.0 million, expanding at a CAGR of 9.5%. Demand for LED technology is rising on account of high comfort level since LED lights emit 180-degree lighting. The use of LED lights further improves the overall energy conservation in the facility’s lighting, thus increasing its demand in industrial settings.
Which End User is Going to Rapidly Penetrate the LED Lighting Solution?
“Residential Sector Rapidly Consuming LED Lights”
The growth rate of the residential sector is projected to be 10.9% CAGR over the forecast period. It is anticipated that the segment will obtain US$ 19,935.5 million in 2024. By 2034, the segment is projected to be valued at US$ 50,864.5 million. Within the residential sector, LED lights are increasingly being used as homes become smarter with the integration of IoT-based devices.
Know thy Competitors
Competitive landscape highlights only certain players
Complete list available upon request
The market is fragmented, with the presence of numerous regional as well as international players. Leading players are expected to increase their share in the market by focusing on widening their customer base and coming into strategic collaborations. Mid-size and smaller companies are increasing their market presence by gaining new contracts and entering new markets, armed with innovative and advanced products.
Recent Developments in the Market :
- Infineon Technologies AG and Nichia Corporation, in January 2023, launched the first-ever fully integrated micro-LED light engine for HD adaptive driving beam applications. The light engine of µPLS utilizes micro-LED technology, an integrated LED driver IC, and an in-house LED chip.
- Heliospectra launched MITRA Flex, which is a flexible far-red light, in February 2023. This launch offers customers three spectra in one without compromising power, making it suitable for application-based and specialized growing.
Segmentation of LED Lighting Solution Market Research
By Service :
- Consulting services
- Installation services
- Maintenance and Support Services
By End User :
- Residential LED Lighting Solutions
- Commercial LED Lighting Solutions
- Industrial LED Lighting Solutions
By Region :
- North America
- Latin America
- East Asia
- South Asia and Oceania
- The Middle East and Africa
- FAQs -
What was the Value of the LED Lighting Solution Market in 2019?
The global LED lighting solution market was worth US$ 56,125.8 million in 2019.
What is the Sales Outlook for LED Lighting Solutions in 2024?
The sales outlook for LED lighting solutions is likely to be valued at US$ 87,821.5 million in 2024.
What is the Demand Forecast for LED Lighting Solutions for the Decade?
Demand for LED lighting solutions is projected to reach a market value of US$ 2,30,156.2 million by the end of 2034.
What is the Adoption Growth Projection for the LED Lighting Solution Market?
Demand for LED lighting solutions is projected to rise at a CAGR of 10.1% through 2034.
At What Rate is the Market in East Asia Predicted to Grow?
The East Asia market for LED lighting solutions is forecasted to expand at a CAGR of 10.7% through 2034.