Energy Efficient Lighting Technology

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Global Market for Energy Efficient Lighting
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Technology to Register 7.90% CAGR from
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With the increased usage of CFL and LED, traditional incandescent bulbs are expected to become obsolete. The
report cites the increased usage of LED lighting applications due to their higher energy efficiency and longer
lifetime. The report estimates the LED segment to be the fastest growing segment of the global energy efficient
lighting technology market. However, the report points out that the high cost of LED coupled with lack of suitability
for heat-sensitive applications is expected to hamper the LED market during the period between 2011 and 2016.
Market Description in Detail is available at:
the Market of Energy-Efficient Lighting Technology is expected to reach USD 173.4 billion in 2016 at a CAGR of 7.9%
over the forecast period 2011 to 2016. The LED segment is the fastest growing with CAGR of 14.9% during 2011 and
The field of lighting has witnessed tremendous improvements in the past few years, especially in the area of solid
state lighting and compact fluorescent lamps (CFL). The traditional incandescent bulbs market is expected to be
superseded with the onset of CFL and LEDs (light emitting diodes). As compared to incandescent bulbs, fluorescents
have been considered for offering greater efficiency. LED lasts longer than fluorescent and HID lighting and has
proven to be the most efficient in the industry. The typical lasting power of LED light bulbs is 50,000 hours – twice as
long as fluorescents. They are four to six times more efficient than incandescent. One advantage about LED lights is
it does not get hot when in use. This makes it the present market leader in energy efficient lighting solutions.
In the overall lighting technology market, LED light bulbs are the fastest growing market growing at a CAGR of 14.9%
from 2011 to 2016. It is becoming popular due to the increasing applications of LED lighting in decorations,
residential spaces, display backlighting, and signal indicators. LED lighting applications will see double-digit growth
with the highest market share, post 2020. LED lighting is enjoying the highest growth because of its exceptional
features that include long operational life, high energy-efficiency, and robust weather resistant design.
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Today, lighting accounts for about 18% to 20% of total energy consumption globally, while around 27% to 30% of
total energy consumed is for domestic purposes. The U.S. is projected to be the largest market of LED in 2016.
However, this will be taken over by the Asian regions that will witness the highest growth rate at a CAGR of 16.6%
from 2011 to 2016.
The lighting industry is constantly evolving, improving and developing new products that are inclined toward
reducing energy, while also meeting the adequate illumination needs for a particular given space. The modern day
energy efficiency markets invent new products and deliver valuable goods and services that are meant to reduce the
energy required in order to fuel global economies. Many energy-efficiency investment plans have already catered
key changes and energy-reductions in the global energy demand.
Major players operating in the global energy-efficient lighting technology market, are Royal Philips Electronics, GE
Lighting, Cooper Lighting, Bridgelux Inc., Nichia Corporation, Osram, and Cree Inc.
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Energy efficiency is a crucial factor in reducing the quantity of energy needed to power products and services. For instance, when a home has been insulated, it requires less energy for heating and cooling purposes in order to attain as well as maintain the desired temperature. Enhancements in energy efficiency are largely attained by implementing a more efficient technology or by application of widely accepted processes to reduce energy losses or even starting a production process.