Switchable Smart Film Market Size, Share & COVID-19 Impact Analysis, By Type (Smart Films for Lamination, and Self-Adhesive Smart Film), Technology (Polymer Dispersed Liquid Crystal, Suspended Particle Device, Electrochromic, Thermochromic, and Photochromic), Application (Architecture, Automotive & Transportation, Consumer Electronics, Power Generation, and Others), and Regional Forecast, 2020-2027

The global switchable smart film market size was USD 2,934.8 million in 2019 and is projected to reach USD 9,026.9 million by 2027, exhibiting a CAGR of 15.7% during the forecast period.

The switchable smart film can regulate the amount of light transmitting through it by changing the level of opacity. These films work on AC power; when voltage is applied, these films change from opaque to varying levels of transparency. These switchable films are witnessing high demand from the healthcare industry, owing to the changing preferences for curtains, partitions, and glass doors. The rising awareness amongst consumers regarding the advantages of smart films will aid in the development of the market. Besides, regulations imposed by the governments for energy-efficient buildings will further support the growth of the market.

Indefinite Loss Caused by the Pandemic to Reduce Demand

Since the onset and impact of COVID-19, several countries have imposed restrictions on the distribution and transportation of the materials, affecting the supply chain of smart films. The restrictions have had a severe impact on the prices of switchable films. The shutdown of factories, especially in the automotive and construction sector has resulted in a colossal drop in revenue of the market. However, the healthcare industry is witnessing high adoption of the smart film in the time of coronavirus. In hospitals, smart films are employed to ensure privacy inwards and ICUs. Additionally, they are easy to disinfect compared to fabric curtains, thereby reducing the possibility of infection transmission in hospitals.

LATEST TRENDS

Emphasis on Energy Conservation in Smart and Green Buildings is a Prominent Trend

Windows are the least energy-efficient component in a building, usually wasting up to 25-30% of the energy. These smart films can change the level of tint depending on the amount of solar radiation falling on it. The change in the level of transparency helps in maintaining the ambient and comfortable temperatures in the room. The growing interest of consumers towards green buildings coupled with the implementation of new regulations by authorities for energy-efficient buildings are factors boosting the market.

DRIVING FACTORS

Rising Adoption from the Building and Construction Industry to Foster Growth and contribute to Switchable Smart Film Revenue

The growing adoption of smart films in the building and construction industry will bode well for the market. Architecturally advanced constructions use large windows to reduce the load on the foundation. These buildings are exposed to a large number of UV rays, and solar radiation which are minimized by the use of smart films. These films control the amount of light entering the building, thereby maintaining the ambient temperatures. The use of such films has resulted in significant energy conservation due to the minimized usage of HVAC systems. The rising trend of green and energy-efficient buildings is anticipated to fuel the demand for these films.

Furthermore, these smart films are observing high demand from the automotive industry due to their ability to reduce glare from the lights and sun. These films are used in sunroofs, windows, and windscreen to maintain the ideal temperature.

RESTRAINING FACTORS

High Cost of Smart Films to Restrain Market Growth

Although smart films are cheaper than smart glass, the film material, liquid crystals, and cost of technology majorly influence the price of smart films. Additional features such as haziness, control speed, and degree of transparency add up to the cost of the film. The costly nature of smart films has limited its use in various high-end applications. Furthermore, limited awareness among consumers regarding the advantages of smart films will further limit the growth of the market.

SEGMENTATION

By Type Analysis

Smart Film for Lamination Segment to hold the Dominant Switchable Smart Film Market Share

Based on the types, the market for switchable smart films is segmented into the smart film for lamination, and self-adhesive smart film. The smart film for lamination segment dominates the market owing to its high demand for use in smart glass product. The rising demand for smart windows from the building & construction industry will increase the consumption of smart film for lamination. However, the self-adhesive smart film segment witnessed a higher growth rate owing to its ability to convert conventional windows into smart windows.

By Technology Analysis

Suspended Particle Device to be the Fastest Growing Segment in the Global Market

Based on Technology, the market is segmented into polymer dispersed liquid crystal, suspended particle device, electrochromic, thermochromic, and photochromic. The suspended particle device (SPD) segment holds a major share of the market owing to the increasing consumption in the automotive industry. SPD films block UV rays passing through them and provide ideal conditions to the eye.

Polymer dispersed liquid crystal (PDLC) film reduces the solar heat gain and minimizes the energy consumed by the HVAC systems, hence these films have high demand from the construction industry. Moreover, these films also reduce the need for curtains, blinds, and projection screens, which is expected to boost their demand from architectural type applications.

By Application Analysis

Automotive & Transportation Segment to Hold a Dominating Position in the Global Market

Based on the application, the global market is segmented into architecture, automotive & transportation, consumer electronics, consumer electronics, power generation, and others. The Automotive & transportation segment holds a dominating position in the global market owing to the increased use of smart films in panoramic windows, and sunroofs to reduce solar heat gain. In architecture applications, they are mainly used to control the amount of sunlight entering the rooms to maintain temperature. Smart films also help in providing privacy to conference rooms and creating partitions. The above factors will boost the demand for switchable smart film products.

REGIONAL INSIGHTS

The revenue market share by region is mainly occupied by Europe. The market size in Europe stood at USD 1,291.3 million in 2019. In Europe, regulations to make automobiles fuel-efficient, and reduce CO₂ emissions is surging the demand for switchable smart film. The growth in North America switchable smart film is owed to the increasing usage of smart films in architecture, automotive, and healthcare industries. These films provide privacy and eliminate the need for blinds and curtains which is fueling its demand.

The rising demand for smart films from the consumer electronics industry in Asia Pacific is propelling the growth of the market. Rapid industrialization and construction activities are expected to be responsible for the growth in the Rest of the World.

KEY INDUSTRY PLAYERS

Product Innovation and effective distribution channels are essential aspects of the growth of the market

Product innovation is an important aspect for a company to cater to the growing demand for smart films and enhance business overview. This will also help in improving share by manufacturers. The companies are focusing on developing wheellock smart films with additional features. Furthermore, the key players are implementing strategies such as launching new products, expanding capacities, and partnerships to establish a presence in key regions and improve gross margin. Smart Glass Group is one of the prominent companies in the market. The company incorporates PDLC technology in its product type and has completed more than 21 projects for clients which include Digifabshop, KLX Aerospace Solutions, Kubik, and McCANN.

LIST OF KEY COMPANIES PROFILED:

• Smart Glass Group (U.S.)


• Smart Films International (U.S.)


• Polytronix, Inc. (U.S.)


• Glass Apps(U.S.)


• Scienstry, Inc.(U.S.)


• Pro Display (UK)


• Rayno Window Film (U.S.)


• SmartFilm (Lithuania)


• DMDisplay (Korea)


• Smart Tint, Inc. (U.S.)


• SONTE USA (U.S.)


• Smart Film Inc. (Canada)


• Hitachi Chemical Co., Ltd. (Japan)


• Gauzy Ltd and Entities (Israel)


• Other Key Players

KEY INDUSTRY DEVELOPMENTS:

• May 2018: Smart Films International introduced a transparent smart film/glass, based on NCAP PDLC technology, with up to 1400mm (55”) width through technological innovation.  The products include self-adhesive privacy film, self-tinting solar film, glass demo, and film samples.


• February 2019 – Gauzy Ltd. and Entities announced expansion through a second production facility in Germany that produces SPD-Smart light control film for the automotive and architectural industry applications. This will increase the production capacity of the company to 1 million square meters of SPD film per annum.

REPORT COVERAGE

The switchable smart film market report provides detailed market analysis and focuses on crucial aspects such as leading companies, applications, disposable types, and distribution channels. Also, the report offers insights into market trends and highlights vital industry developments. In addition to the factors mentioned above, the report encompasses various factors that have contributed to the growth of the market over recent years.

Report Scope & Segmentation