Recent studies predict stormy growth in the VCSEL world market through to the middle of the coming decade. The volume could rise to USD 4.38 billion.
Research and Markets from Dublin, Ireland, recently presented several analyses of the world market for Vertical-Cavity Surface-Emitting Lasers (VCSEL). VCSELs emit light vertically to the chip level, which distinguishes them from edge-emitting laser diodes where light is emitted at one or two edges. According to suppliers, such as TRUMPF, VCSELs are also less expensive to manufacture.
These cost benefits and the many different areas of application are stimulating the market. For instance, Research and Markets forecast annual growth rates of more than 17 percent through to 2025. According to the Irish researchers, sales at the end of 2018 were in the range of USD 945 million and in 2019 passed the billion-dollar mark. The forecast burst of growth will drive the VCSEL market to a global sales volume of up to USD 3.8 billion by the middle of the 2020s. The market researchers identified the trend to 3D imaging in smartphones and the increasing number of applications in smart and autonomous vehicles as the most important sales areas. According to their analysis, the US market, at 18.6 percent, and China, at 17 percent annual growth, as well as the EU and Japan will remain the most important markets for VCSELs.
In the U.S., market researchers from Verified Market Research also analyzed the VCSEL market. Their study, published in December 2019, specifies a higher base value: According to them, the market already had a volume of USD 1.34 billion in 2017. Based on this forecast, annual growth of around 16 percent will drive total sales to up to USD 4.38 billion.
In their studies, both market research companies identify important players in this market that are aligning their structures to cope with the predicted market dynamics. These include companies such as the Finisar Corporation, which has considerably increased its production capacities for 3D VCSELs. Through its takeover of Philips Photonics in the middle of 2019, TRUMPF has already put itself in a promising position. The leading suppliers include many exhibitors at LASER World of PHOTONICS, such as AMS, II-VI Inc., Coherent, LASER COMPONENTS, and LUMENTUM, Newport, SANTEC and Vixar Inc.
VCSELs are get common in medical technology, industrial processes, smartphones, and automated driving.