LED Lighting Market to Record a CAGR of 14.0% Over 2025-2032; Use of AI in LED Technologies to Augment Market Growth

The global LED lighting market size was valued at USD 97.07 billion in 2024. The market is projected to grow from USD 109.11 billion in 2025 to USD 272.44 billion by 2032, exhibiting a CAGR of 14.0% during the forecast period.

Fortune Business Insights™ presents this information in its latest report titled “LED Lighting Market Size, Share & Industry Analysis, By LED Type (Traditional LEDs, SMD LEDs, High-Power LEDs, RGB LEDs, UV/IR LEDs, OLEDs, Miniature LEDs, and Chip-On-Board LEDs), By Application (Display & Signage Applications, Illumination/Lighting Applications, Specialty, Scientific and Communication Applications, and Security Applications), By Industry (Consumer Electronics, Automotive, Agriculture & Horticulture, Industrial Equipment, Highway & Roads and Others), and Regional Forecast, 2025 – 2032”.

LEDs are semiconductor gadgets that produce light when an electric current passes through them. These lights have a wide range of benefits, such as high energy efficiency and longer lifespan. They are quite eco-friendly as well, which will further boost their adoption in several industries across the world. The growing number of public infrastructure projects and increasing preference for energy efficient lighting solutions are some of the key factors expected to boost the demand for LED lighting solutions.

The COVID-19 outbreak had a negative influence on the market’s growth as many industries, including LED manufacturing, faced a severe shortage of raw materials due to the supply chain disruptions caused by the pandemic. This factor forced manufacturers to push back their production schedules, which disrupted the market’s progress during this period.

AMS OSRAM Introduced New Product to Upgrade Conventional Systems to LED Tech

AMS OSRAM announced the launch of the OSRAM Night Breaker H1-LED. With the help of this product, users can legally, easily, and cost-effectively upgrade their traditional H1 halogen low and high-beam headlights to advanced LED technologies. These lamps can also help drivers improve their safety while driving in low-light conditions.

Use of Generative AI in LED Technologies to Augment Market Growth

Manufacturers of LED lighting solutions are incorporating AI to cater to the increasing demand for smarter and more efficient lighting technologies. AI-based algorithms can enhance the usage of light with the help of real-time data, reducing energy consumption. Moreover, using this technology in combination with smart sensors helps to adjust the brightness of lighting systems based on the availability of daylight and number of occupants. These smart features offered by AI-powered LED lighting solutions will boost their demand among users.

Implementation of Strict Rules Regarding Energy Efficiency to Boost Product Demand

Governments across the globe are formulating and implementing a wide range of rules and regulations to reduce power consumption of industries. These regulations are playing an important role in phasing out the use of inefficient lighting technologies and replacing them with energy efficient ones, such as LEDs. To encourage companies to adopt cost-saving lighting technologies, governments are also offering rebates, incentives, and tax credits. Such initiatives will encourage more customers to adopt LED lights.

However, the high costs associated with their purchase and installation can impede their demand, thereby slowing the LED lighting market growth.

Key Players to Enter Partnerships and Launch New Products to Expand Market Share

Some of the key market players are focusing on launching new products in the market to expand their product portfolio. They are also executing a wide range of corporate strategies, such as partnerships and collaborations to increase their market share and business operations in various regions.

Notable Industry Development

• April 2024: LSI Industries, Inc. announced that it had acquired EMI Industries. The deal was an all-cash one, costing the company USD 50 million. This acquisition was made possible to achieve LSI’s aim to expand its food service and store fixtures equipment business. This move will help the firms expand its portfolio of national retail chains that emphasize on an integrated, solutions-based approach that prioritizes quality, reliability, and technical expertise.

List of the Companies Profiled in the Report:

• EVERLIGHT ELECTRONICS Co., Ltd. (Taiwan)
• CITIZEN ELECTRONICS Co., Ltd. (Japan)
• Harvatek Corporation (Taiwan)
• OSRAM (Austria)
• Lite-ON Technology, Inc. (Taiwan)
• Signify Holding (Netherlands)
• Syska LED (India)
• Dialight (U.K.)
• Wipro (India)
• LSI Industries, Inc. (U.S.)

To get a detailed report summary and research scope of this market, click here:

https://www.fortunebusinessinsights.com/led-lighting-market-106832

Further Report Findings

• North America accounted for a dominant global LED lighting market share as the region has a vast presence of leading market players and a strong manufacturing infrastructure. Moreover, these market players are increasing their investments in a wide range of research and development programs to launch innovative products in the market. The growing need to upgrade the existing and outdated public infrastructure will further accelerate the adoption of LED lighting systems.
• Europe is also expected to showcase steady growth in the coming years as these lights are energy efficient, which align with the region’s energy efficiency rules and regulations. Moreover, the increasing demand for reducing the carbon footprint of public infrastructures will also boost the adoption of LED lights.
• Based on application, the illumination/lighting segment accounted for the largest market share in 2024. One of the major factors contributing to the segment’s dominance is the presence of higher Color Rendering Indexes, which make the colors appear more vibrant. This feature makes illumination lights more useful in art galleries, hospitals, and retail stores.

Table of Segmentation