Key Market Overview:
The laser technology market has seen steady growth in recent years and is expected to continue growing due to increasing demand in various applications. The market size was valued at over USD 12.61 billion in 2022 and is projected to reach USD 17.54 billion by 2030, with a CAGR of 4.21% during the forecast period (2023-2030). Factors driving market growth include the demand for non-invasive surgical procedures, advanced manufacturing techniques, and military and defense applications.
Laser technology is the use of laser light in various applications such as cutting, welding, drilling, marking, and engraving. Lasers are a source of light with unique properties which makes their application area-wide. Laser technology provides greater precision, higher speed, and cleaner cuts in comparison to traditional methods of manufacturing. Moreover, laser technology has a wide range of applications in different fields including medicine, manufacturing, communication, entertainment, and scientific research.
The increasing adoption of laser technology for cutting, welding, and marking applications is driving the growth of the laser technology market. Moreover, advancements in laser technology, including the development of more powerful and efficient laser systems are further accelerating the growth of the market. For instance, in January 2022, TRUMPF showcased its latest laser technology advancements and products at Photonics West 2022. The company highlighted its latest innovations in laser technology, including new laser sources, systems, and software.
Laser Technology Report Coverage:
|Report Attributes||Report Details|
|Market Size in 2030 (USD Billion)||USD 17.54 Billion|
|CAGR (2023-2030)||4.21 %|
|By Product||System and Laser|
|By Laser Type||Solid-State, Liquid, And Gas Lasers|
|By Application||Laser Processing, Optical Communication, And Others|
|By End Use||Aerospace And Defense, Automotive, manufacturing, Electronics And Semiconductors, Healthcare, And Others|
- Asia-Pacific [China, Southeast Asia, India, Japan, Korea, Western Asia]
- Europe [Germany, UK, France, Italy, Russia, Spain, Netherlands, Turkey]
- North America [United States, Canada, Mexico]
- Middle East & Africa [GCC, North Africa, South Africa]
- South America [Brazil, Argentina, Columbia, Chile, Peru]
|Key Players||Corning Incorporated, Coherent, Inc., Bystronic Laser, Access Laser Company, IPG Photonics Corporation, Hans Laser Technology Industry Group Co., Ltd., Lumentum Holdings Inc., Norlase, AP Lazer, Lumenis Ltd., LaserStar Technologies Corporation, Jenoptik AG, Toptica Photonics, The TRUMPF Group, The 600 Group PLC|
The increasing demand for laser technology inthe treatment of chronic diseases such as cancer and cardiovascular disease witin healthcare industry is driving the growth of the laser technology market. Laser technology offers a precise and non-invasive alternative to traditional surgical procedures, which reduces pain, scarring, and recovery times for patients. Therefore, laser technology has become an attractive option for both patients and healthcare providers. For instance, in April 2022, Acclaro launched a new laser system for treating skin conditions in the United States. The UltraClear Laser System uses advanced laser technology to treat a range of skin conditions, including wrinkles, pigmentation, and acne scars.
The ongoing maintenance and operating costs associated with laser technology are quite high that limits the adoption of laser technologies in various industries such as healthcare and manufacturing. The cost of replacement parts and energy consumption contribute to the high costs of laser technology. Furthermore, there are some safety concerns associated with laser technology. Lasers cause eye damage if proper precautions are not taken. Therefore, such safety concerns limit the growth of the laser technology market.
The application of laser technology in 3-D printing is expected to provide potential opportunities for the growth of the laser technology market. In 3D printing, lasers are used to melt or fuse materials, such as metals or plastics, to create three-dimensional objects that are difficult to achieve with traditional manufacturing methods. For instance, in February 2022, Mitsubishi Electric launched a new digital wire-laser metal 3-D printer. The printer is designed to use the laser beam to create high-quality 3-D structures providing enormous opportunities for the growth of the market during the forecast period.
Laser Technology Market Segmentation:
Based on the product, the market is bifurcated into system and laser. The system segment accounted for the largest revenue share in 2022. Laser systems are becoming increasingly popular due to their ability to offer high-precision and efficient manufacturing solutions. As a result, the demand for laser cutting, welding, engraving, drilling, and marking systems is also increasing, contributing to the growth of this segment. For instance, in April 2022, Bharat Fritz Werner launched a metal additive manufacturing Photon 4000G Laser-DED Machine for the printing of large metal alloy components in India.
The laser segment is anticipated to witness significant growth during the forecast period. Lasers are increasingly being used in industries such as manufacturing, and healthcare since they offer high precision and quality. Furthermore, laser is also used in fiber-optic communication systems for high-speed data transmission.
By Laser Type
Based on the laser type, the market is trifurcated into solid-state, liquid, and gas lasers. The solid-state laser segment accounts for the major market share due to the high efficiency and high beam quality of solid-state lasers. Solid-state lasers produce a narrow, intense beam that is focused on a very small spot size ideal for precision cutting, welding, and drilling applications. For instance, in January 2023, IPG Photonics launched six high-efficiency diode lasers specifically for industrial heating and drying applications.
The gas laser segment is anticipated to witness significant growth during the forecast period. Gas lasers are capable of producing high-power output suitable for industrial cutting, welding, and drilling applications. Moreover, gas lasers are a popular choice for industrial applications due to the availability of gas lasers in a wide range of wavelengths.
Based on the application, the market is segmented into laser processing, optical communication, and others. The laser processing segment accounted for the largest revenue share in 2022. Laser processing offers high precision and efficiency in material processing compared to traditional methods. Lasers have the ability to cut, weld, drill, and mark materials with high accuracy and speed, leading to increased productivity and cost-effectiveness. For instance, in February 2021, Jenoptik and 4JET group collaborated with each other to drive the commercialization of innovative laser technology.
The optical communication segment is anticipated to grow during the forecast period due to the increasing demand for high-speed data transmission and the growing use of optical fibers in communication networks. Laser technology plays a crucial role in optical communication as it uses light as a medium to transmit information over long distances.
By End User
Based on the end-user, the market is segmented into aerospace and defense, manufacturing, automotive, electronics and semiconductors, healthcare, and others. The manufacturing industry accounted for the largest revenue share in 2022. Lasers technology is used to manufacture different parts with high precision and tight tolerances. Lasers are used in the manufacturing industry for material processing, such as cutting, welding, drilling, and marking. For instance, in January 2023, IPG Photonics launched three new high-power deep ultraviolet (DUV) lasers designed to provide high-quality and high-precision machining of materials such as glass, ceramics, and polymers for micromachining applications.
The healthcare industry is anticipated to register significant growth during the forecast period. Lasers are used for a range of medical procedures, including laser surgery, laser therapy, and diagnostic imaging. Moreover, laser technology is used for therapeutic applications, such as the treatment of skin conditions such as acne and treatment of cancer.
North America dominates the global market and accounted for the largest revenue share in the year 2022. North America is the major region of technological innovation, with ongoing advancements in laser technology driving growth in the market. Advancements in technology include improvements in laser power and speed, as well as the development of new laser materials for various industries such as automotive, manufacturing, and healthcare industry. Furthermore, the presence of key players such as Coherent, Inc., IPG Photonics Corporation, and Corning Incorporated is contributing to the growth of the regional market.
The Asia-Pacific region is anticipated to grow during the forecast period. The manufacturing industry in Asia Pacific is growing rapidly, and there is increasing demand for laser technology in manufacturing processes. Governments of several countries in Asia-Pacific are supporting the growth of the laser technology market through initiatives such as funding for research and development and incentives for companies operating in the market. For instance, the Make in India initiative, boosts the manufacturing sector in India through the use of advanced technologies such as laser technology.
Laser Technology Market Competitive Landscape:
The laser technology market is highly competitive, with a large number of companies operating in the market. These companies are putting in constant efforts to provide technologically advanced products to enhance their product offerings in the market. As a result, other players are also taking the initiative to form partnerships and joint ventures for the creation of revenue-generation opportunities in the coming years. Mentioned are the prominent market players that consist of the latest market concentration–
• Corning Incorporated
• Coherent, Inc.
• Bystronic Laser
• Access Laser Company
• IPG Photonics Corporation
• Hans Laser Technology Industry Group Co., Ltd.
• Lumentum Holdings Inc.
• AP Lazer
• Lumenis Ltd.
• LaserStar Technologies Corporation
• Jenoptik AG
• Toptica Photonics
• The TRUMPF Group
• The 600 Group PLC
• In September 2022, AP Lazer launched a new laser system to create an interactive indoor shopping experience.
• In October 2020, Norlase announced the launch of a new LION laser system. The LION laser is an integrated device eliminating the need of an external laser console.