The Global LED Light Engine Market size is expected to reach $66.6 billion by 2027, rising at a market growth of 13.4% CAGR during the forecast period. The LED light engine refers to an integrated compilation of one or more LED arrays or light-emitting diodes (LEDs) and also an LED driver with the other mechanical, thermal, optical, and electrical elements. This LED light engine is an advanced lighting technology, which delivers improved efficiency & longevity. In addition, an LED light engine is an essential part of a luminaire.
Such light engines are increasingly substituting the standard lamps. Additionally, it is built from LED chips employed on the circuit board. There are primarily two types of LED light engines: lamps and luminaires. In comparison to conventional LEDs, an LED light engine does not need any AC/DC transformer as they are closely linked to alternating current or AC power.
There is increasing popularity of using LEDs as light sources across the world. However, in several places, usage of LEDs became mandatory to attain energy efficiency & color rendering standards. In addition, LED light engines show light-emitting gadgets and also a heatsink, a consistent current driver, and occasionally secondary optics to meet the light pattern needs, which makes it different from incandescent bulbs. These are some of the components that support the lumen-per-watt efficacy of the system and are required to be optimized.
The Covid-19 pandemic has impacted almost every domain of society, whether business or individual. There is a huge impact of the pandemic on the global electronics and semiconductor industry. It is owing to the temporary shutdown of the manufacturing units, nationwide lockdowns, and restricted imports & exports across the globe. Various restrictions imposed by the governments have restricted the usage of the LED light engine in several projects like smart cities.
The unavailability of the workforce during the lockdown has also restricted the production of the product, which has further hampered the product demand in the market. In addition, the gap between supply chain and demand was also increased during the lockdown period. Thus, it is anticipated that the overall growth of the LED light engine market would witness a slowdown in the forecast period.
Based on Product Type, the market is segmented into Luminaire and Lamp. As the core component of an LED lighting system, the luminaries sub-segment is likely to dominate the market for LED light engines. The LED light engine market for luminaries is predicted to grow as consumer awareness of energy conservation and the installation of high-efficiency lighting systems is increasing. Depending on the application, LED light engines come in a variety of shapes and sizes, including linear, round, square, and rectangular. A luminaire's LED light engine is its most important component.
Based on Installation Type, the market is segmented into New Installation and Retrofit Installation. The increased awareness among the population regarding the usage of energy-efficient lighting products would create lucrative opportunities for the key market players in this region. In addition, the growing usage of the LED light engine in various areas like residential, commercial, and industrial places would spur the demand for the product in this region. The presence of various key players along with the big corporate houses is creating the demand for LED light engines across this region.
Based on Application, the market is segmented into Indoor and Outdoor. The Indoor market dominated the Global LED Light Engine Market by Application 2020, growing at a CAGR of 12.5 % during the forecast period. The Outdoor market is expected to witness a CAGR of 14.8% during (2021 - 2027).
Based on End User, the market is segmented into Commercial, Industrial and Residential. Residential buildings (a key sub-segment of indoor lighting) are considered to have enormous future potential. It is likely to increase at a rapid pace. Because of government regulations for energy conservation, countries all over the world are expected to use energy-efficient lighting solutions in residential applications.
| Report Attribute | Details |
|---|---|
| Market size value in 2020 | USD 24.8 Billion |
| Market size forecast in 2027 | USD 66.6 Billion |
| Base Year | 2020 |
| Historical Period | 2017 to 2019 |
| Forecast Period | 2021 to 2027 |
| Revenue Growth Rate | CAGR of 13.4% from 2021 to 2027 |
| Number of Pages | 223 |
| Number of Tables | 414 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Companies Strategic Developments, Company Profiling |
| Segments covered | Product Type, Installation Type, Application, End User, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Based on Regions, the market is segmented into North America, Europe, Asia Pacific, and Latin America, Middle East & Africa. The surge in initiatives by governments in the region encouraging the regional population to utilize LED lightings, which is one of the elements boosting the market growth. As a result of these efforts, the APAC light engine market is expected to grow. Nonetheless, the rise of China's population, combined with the adoption of LEDs, is expected to drive the market development. China is already the world's largest manufacturer and consumer of lighting fixtures and bulbs.
Free Valuable Insights: Global LED Light Engine Market size to reach USD 66.6 Billion by 2027
The major strategies followed by the market participants are Product Launches. Based on the Analysis presented in the Cardinal matrix; Samsung Electronics Co., Ltd. is the major forerunner in the LED Light Engine Market. Companies such as Acuity Brands, Inc., OSRAM GmbH, and Signify N.V. are some of the key innovators in the market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Signify N.V., OSRAM GmbH (AMS AG), LEDRAbrands, Inc., Hubbell Incorporated, Zumtobel Group AG, Samsung Electronics Co., Ltd. (Samsung Group), Acuity Brands Lighting, Inc., Lumitech LLC, Lutron Electronics Co., Inc., and Glamox AS
By Product Type
By Installation Type
By Application
By End User
By Geography
The LED light engine market size is projected to reach USD 66.6 billion by 2027.
The small size of the LED light engine along with greater efficiency are driving the market in coming years, however, Lack of integrated standard components have limited the growth of the market.
Signify N.V., OSRAM GmbH (AMS AG), LEDRAbrands, Inc., Hubbell Incorporated, Zumtobel Group AG, Samsung Electronics Co., Ltd. (Samsung Group), Acuity Brands Lighting, Inc., Lumitech LLC, Lutron Electronics Co., Inc., and Glamox AS
The unavailability of the workforce during the lockdown has also restricted the production of the product, which has further hampered the product demand in the market. In addition, the gap between supply chain and demand was also increased during the lockdown period. Thus, it is anticipated that the overall growth of the LED light engine market would witness a slowdown in the forecast period.
The expected CAGR of the LED light engine market is 13.4% from 2021 to 2027.
On the basis of installation type, Retrofit installations would exhibit maximum growth rate in the LED light engine market.
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