Optical sensor market: Trends impelling industry growtm
According to a study from Graphical Research, the global optical sensor market size is set to expand at substantial CAGR during the forecast period. Optical sensors are mainly used in the automation industry which help in providing various pieces of information to the automotive manufacturers. This information is useful for them to improve their production processes and make them more efficient as well. Some of the popular examples of the applications of these sensors are adaptive cruise control, ADAS, 360 degree view and blind spot detection. All these technologies use their surroundings to scan information and send the same to the systems to ensure effective communication.
These sensors have become popular in their use in different automobiles to make them more efficient and smarter vehicles. Road safety has been a primary concern for all countries across the world. This has led to the introduction of some strict road safety rules in various countries. Sensors have had relatively good successful in preventing accidents as they use various smart technologies to communicate with the system and to alert the driver if they are not paying attention while driving.
Some of the trends that will benefit the development of global optical sensor market during the forecast period of 2020-2026 are given below:
Increasing use of optical sensors in Europe aerospace and defense industries:
Europe optical sensors market is expected to reach $5 billion in valuation by 2026. Aerospace and defence industries in this region are increasingly using optical sensors as they help the operators get an accurate insight into their surrounding environment. Some of the key advantages of using these sensors are that they provide high resolution images, are highly sensitive to the surrounding environment and help in resisting electromagnetic radiation as well.
The features play a key role in the mentioned industries as they provide clear status to different defense machine and aircraft owners about the status of their vehicles. The governments across Europe are pouring in heavy investments and are introducing new policies and framework to encourage the use of optical sensors in military equipment. These factors will bolster the demand for optical sensors in the region.
Use of ambient light and proximity sensors in Europe:
On the basis of different sensors available, the ambient light and proximity sensors industry will experience steady rise in demand among end-users in Europe optical sensor market. This segment is expected to grow at six percent CAGR up to 2026.
One of the main reasons cited for this is that these sensors are seeing high demand in various consumer electronics like laptops, smartphones and display screens. They are helpful in sensing the surrounding light and adjusting their brightness settings accordingly. They are quite useful for smartphone OEM manufacturers as they are always planning to bring in constant innovation in their products. These aspects will immensely benefit Europe optical sensor market.
The United Kingdom will play a vital role in helping regional optical sensor market flourish. In fact, the industry in this country’s will expand at 8% CAGR between 2020-2026. One of the major reasons for this is that the government in the UK is bringing in initiatives to encourage the growth of its manufacturing sector. The authorities have even increased their funding and have introduced different regulations to promote local manufacturing industries and become less dependent on countries in East Asia.
The UK government, in July 2020, even announced the funding of around $24m to help the country’s medium and large-scale industries in expanding their operations. It will help them recover from the after-effects of the COVID-19 pandemic. This project will create funds of around $1.2m to $6m to merge innovative technologies and machinery with different business operations. These features will boost Europe optical sensor market potential.
Robotics and automation requirements in Asia Pacific:
Asia Pacific optical sensor market will cross a valuation of $16.5bn by the year 2026. The countries in this region are experiencing major economic transitions over the past few years. This has resulted in increasing implementation of various smart technologies like industrial robots and automation. Smart factories are seeing an incredible rise in their demand as well.
Governments across the region are introducing various initiatives to promote the local manufacturing industries and increase their capacity. The government in South Korea invested funds worth $414m in July 2020 to increase the number of smart factories in the country. Technologies like AI and IoT in these factories are gaining tremendous momentum in recent years, leading to rise in demand for optical sensors in the region.
Taiwan will help expand APAC optical sensor industry:
Taiwan optical sensor market could register a CAGR of more than seven percent through 2026. One of the main reasons for this is being attributed towards the rise in government initiatives that are supporting the development of electronics and semiconductor manufacturing industries.
The Government of Taiwan, in June 2020, launched subsidies worth more than $334m to attract FDIs from international semiconductor producers and help them establish their chip manufacturing plants in the country. These aspects will create new opportunities for progress for Asia Pacific optical sensor industry.
Some of the leading companies manufacturing optical sensors across the world are Keyence Corporation, Centec LLC, Rockwell Automation, Omron Corporation, ROHM, Panasonic Corporation and Sony Corporation.
Government initiatives for lighting technology in North America:
Optical sensor market in North America will achieve a valuation of nearly $7bn by 2026. The regional governments have started introducing newer initiatives to enhance the region’s optical sensor market trends. These initiatives are focused on bringing in innovative lighting technology in the region. In October 2019, the Chicago government proposed to replace nearly 270,000 city lights with LED ones and install intelligent lighting systems with smart sensors by the year 2022, leading to increase in demand for these optical in the region.
There are many companies in North America that are already innovating their existing products and are creating futuristic sensors to cater to the rise in demand for light control solutions. In the month of June 2018, for example, AMS launched a whole range of ambient light and proximity sensors. They have various features like higher sensitivity, compact size, automatic LED brightness control and adjustable power settings for display screens, propelling the demand for optical sensors in North America.
Potential of fiber optic sensors in North America:
Out of the different sensors being used for various purposes, the fiber optic sensor segment will project positive market trends through 2026. This segment is anticipated to achieve 7.5% CAGR throughout the forecast timeline. Remote sensing applications are increasingly being adopted by the aerospace and defense industries, leading to rise in demand for fiber optic sensors in North America.
The sensors are highly resistant to various factors like harsh temperatures, extreme pressures, chemical corrosion, high voltage and intense EMI. They even provide excellent land connectivity, leading to their increased adoption for commercial applications like satellites, unmanned systems and space launch vehicles.