PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1718865
PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1718865
The silicon photonics market was valued at USD 2.16 billion in 2024 and is projected to reach USD 9.65 billion by 2030, growing at a CAGR of 29.5% during the forecast period.
Scope of the Report | |
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Years Considered for the Study | 2020-2030 |
Base Year | 2024 |
Forecast Period | 2025-2030 |
Units Considered | Value (USD Billion) |
Segments | By Product, Components and Region |
Regions covered | North America, Europe, APAC, RoW |
One of the major drivers in the silicon photonics market is increasing demand for fast data transmission and power-efficient solutions in data centers, cloud computing, and 5G networks, where silicon photonics offers faster, power-efficient data transfer compared to traditional solutions.
Switch is expected to have the second-largest market size in terms of product during the forecast period.
Switches are forecasted to encompass a significant market size in the silicon photonics market due to their vital role in routing high-speed data in modern data centers and telecommunication networks. As cloud computing and high-performance computing demands continue rising, ultra-fast and power-efficient optical switching solutions are increasingly becoming significant, enabling rapid data transfer and minimal latency in large-scale networks. Silicon photonic switches have the benefits of miniaturization, low power, and scalability, rendering them in high demand for future network architectures. Major technology companies are heavily investing in creating and applying silicon-based optical switches to enable migration to 400GbE and beyond, propelled by the data traffic explosion. Combining these switches with advanced photonic integrated circuits further increases network flexibility and operational efficiency.
The telecommunication application in silicon photonics to account for the second-largest market size during the forecast period
The telecommunication sector is poised to capture a significant market size of the silicon photonics market due to the rapid expansion of 5G and future 6G networks that are extremely high-speed and highly reliable in data transmission. Silicon photonics technology enables optical elements to be developed on top of silicon chips with high bandwidth, low power consumption, and scalable cost competitiveness-core expectations for future generations of telecom infrastructure. As subscriptions for global broadband and mobile connections grow, telecommunication operators are adopting silicon photonics for access and core networks to contain the growth of the data explosion and facilitate future-generation services.
Asia Pacific is expected to exhibit the highest CAGR during the forecast period.
Asia Pacific will see the highest market growth in the silicon photonics market due to the rapid development of data centers, 5G infrastructures, and the rapidly increasing adoption of cloud computing and IoT technologies. China, Japan, and India are leading this trend with the support of favorable government policies, rising investments, and a huge pool of engineers. The high-growth telecommunication and data traffic requirements of the region are driving demand for energy-efficient, high-speed silicon photonics solutions. Large global and local firms are setting up R&D and manufacturing facilities in Asia Pacific to take advantage of these trends.
In determining and verifying the market size for several segments and subsegments gathered through secondary research, extensive primary interviews have been conducted with key officials in the silicon photonics market. Following is the breakup of the profiles of the primary participants for the report.
The report profiles key players in the silicon photonics market and analyzes their market shares. Players profiled in this report are Cisco Systems, Inc. (US), Intel Corporation (US), MACOM (US), GlobalFoundries Inc. (US), Lumentum Operations LLC (US), Marvell (US), Coherent Corporation (US), IBM (US), STMicroelectronics (Switzerland), Rockley Photonics Holdings Limited (US), Mellanox Technologies Ltd. (US), Sicoya GmbH (Germany), RANOVUS (Canada), Broadcom Inc. (US), Hamamatsu Photonics KK (Japan), Molex LLC (US), Fujitsu Limited (Japan), Chiral Photonics, Inc. (US), EFFECT Photonics (Netherlands), AIO Core Co., Ltd. (Japan), NKT Photonics (Denmark), IPG Photonics Corporation (US), DAS Photonics (Spain), TDK Corporation (Japan), SCINTIL Photonics (France), Teem Photonics (France), Lightwave Logic, Inc. (US), Source Photonics (US), Accelink Technologies Co., LTD, (China), and Infinera (US).
Research Coverage
The report defines, describes, and forecasts the silicon photonics market based on product, component, waveguide, end user, and region. It provides detailed information regarding drivers, restraints, opportunities, and challenges influencing its growth. It also analyzes competitive developments such as product launches, acquisitions, expansions, contracts, partnerships, and actions carried out by the key players to grow in the market.
Reasons to Buy This Report
The report will help the market leaders/new entrants with information on the closest approximations of the revenue numbers for the overall silicon photonics market and the subsegments. This report will help stakeholders understand the competitive landscape and gain more insights to position their businesses better and to plan suitable go-to-market strategies. The report also helps stakeholders understand the market pulse and provides information on key market drivers, restraints, challenges, and opportunities.