Electric Lighting Equipment Market Expected to Reach $217.4 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Electric Lighting Equipment Market," The electric lighting equipment market was valued at $105.3 billion in 2022, and is estimated to reach $217.4 billion by 2032, growing at a CAGR of 7.6% from 2023 to 2032.

Electric lighting equipment refers to electrical or electronic equipment used for producing artificial light or illumination, including any peripherals of the lighting bodies such as luminaires. To provide lighting in diverse indoor and outdoor setting electric lighting equipment is used. The equipment uses different technologies such as incandescent, fluorescent, light emitting diode (LED), high intensity discharge (HID), and others.

The market for electric lighting equipment is driven by the integration of lighting fixtures with internet of things (IoT) technologies such as sensors, bulbs, or adapters that allow users to manage their home or office lighting with their smartphone or smart home management platform. Lighting systems with Internet of Things (IoT) connectivity can exchange data with other devices and systems to reduce energy consumption, increase security and safety, and improve user experience. Building owners and facility managers can benefit from the useful data insights that IoT-enabled lighting systems can provide by better understanding how their lighting systems are used and spotting the potential for cost-savings and further optimization. Prominent lighting manufacturers are incorporating IoT technology into lighting fixtures and fittings to provide remote user control and to manage lights in the office, work environment, and civic infrastructure. To connect and manage interior and exterior lighting, IoT technology is widely employed in homes and workplaces.

The growing number of skyscrapers across the globe is also one of the factors which are bolstering electric lighting equipment market growth. For instance, according to Council on Tall Buildings and Urban Habitat (CTBUH), there are almost 25 skyscrapers globally that are currently under construction, and which are expected to be completed by 2025.

However, government regulation for energy efficiency standards for lighting equipment is anticipated to restrain the market growth over the forecast period. For instance, according to the Environmental Protection Agency's s Energy Star program, commercial buildings' lighting consumes close to 35% of the electricity used in the U.S. It also affects building systems through its electrical requirements and the waste heat it produces. Thus, the companies operating in the market need to comply with the energy efficiency standards stated by the government agencies of the different nations. On the contrary, the technological advancement of lighting equipment is expected to provide the opportunity for growth over the forecast period. For instance, Wipro provides inSync a Human-centric lighting solution that works in harmony with the earth’s natural lighting cycle and can be programmed to imitate the natural sunlight. Human-centric lighting solutions can improve concentration, safety, and efficiency in workplaces or educational environments.

The market for electric lighting equipment market analysis is anticipated to expand significantly during the forecast period owing to the rise in the number of residential and commercial construction across the globe, and the growing number of skyscrapers across the globe. Additionally, during the forecast period, electric lighting equipment is anticipated to benefit from the technological advancement of electrical illumination equipment and is expected to provide the opportunity for market growth over the forecast period. On the other hand, government regulation for energy efficiency standards for lighting equipment is anticipated to restrain the market growth over the forecast period.

On the basis of type, the market is divided into general lighting, automotive lighting, and backlighting. Based on sales channel, the market is segregated into online and offline. Based on application the market is bifurcated into residential, commercial, and others. Region-wise, the electric lighting equipment market trends are analyzed across North America (the U.S., Canada, and Mexico), Europe (UK, Germany, France, and Rest of Europe), Asia-Pacific (China, Japan, India, South Korea, and Rest of Asia-Pacific), and LAMEA (Latin America, Middle East, and Africa).

Key Findings of the Study

• Based on type, the general lighting segment accounted-for major share of the electric lighting equipment industry in 2022, while the automotive lighting segment is expected to witness faster growth during the forecast period.
• Based on sales channel, the offline segment accounted-for higher share of the electric lighting equipment market size in 2022, while the online segment is anticipated to increase faster during the forecast period.
• Based on application, the residential segment dominated the electric lighting equipment market share in 2022, while the commercial segment expected to expand at a faster rate during the forecast period.
• Based on region, Asia-Pacific accounted for the largest share of the global Electric lighting equipment Market in 2022 and is anticipated to grow faster during the forecast period.

The electric lighting equipment market players profiled in the report include General Electric, Acuity Brand Inc., Philips Lighting (Signify Holding), Stanley Electric Co Ltd., Osram GmbH, Nichia Corporation, Hubbell Incorporated, Everlight Electronics Co.ltd., Eaton Corporation plc., and Toshiba Corporation. Various strategies such as product launches, and acquisitions have been adopted by market players to expand their foothold in the electric lighting equipment market.