Power over Ethernet (POE) LED Lighting Market (Updated Version Available)

Key Market Overview:

Power over Ethernet (POE) LED Lighting Market is estimated to reach over USD 2271.96 Billion by 2030 from a value of USD 305.71 Billion in 2022, growing at a CAGR of 28.50% from 2023 to 2030.

Power over Ethernet (PoE) LED lighting is a type of lighting system that utilizes Ethernet cable as a source of power using the PoE technology. PoE technology eliminates the need for a separate power supply or wiring, making installation much easier and cost-effective. PoE LED lighting fixtures contain a small module that converts the incoming PoE voltage into usable power for the LED lights. The use of Ethernet cable reduces the risk of electrical shock, as PoE voltage is low compared to traditional lighting systems.

PoE LED lighting systems are becoming increasingly popular in various industries such as large commercial and office buildings due to their quick installation process and the ability to integrate with other building management systems. For instance, In January 2021, PoE Texas launched a fully connected lighting and automation controls using Power over Ethernet technology. It provides customers with a cost-effective and convenient solution for powering and controlling lighting systems. PoE LED lighting systems are managed and controlled remotely through a central management system allowing customers to easily adjust lighting levels according to the requirements.

Power over Ethernet (POE) LED Lighting Market Coverage

Report Attributes	Report Details
Study Timeline	2017-2030
Market Size in 2030 (USD Billion)	USD 2271.96 Billion
CAGR (2023-2030)	28.50 %
Base Year	2022
By Component	Hardware, Software, and Service
By Wattage	Up to 25 Watt and Above 25 Watt
By End Use	Residential, Industrial, and Commercial
By Geography	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	Cisco Systems, Inc., Eaton lighting, GENISYS PoE Lighting Systems, Igor, Inc., Maxim Integrated Products, Inc., NuLEDs, Inc., Platformatics INC., Signify Holding (Philips), Texas Instruments Incorporated.

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Market Dynamics:

Driver:

PoE LED lighting systems are less complex in comparison to traditional lighting systems, thus reducing the risk of errors and problems during installation. Customers are shifting towards PoE LED lights to avoid any potential issues in electric systems is driving the market growth. Moreover, the demand for PoE LED lighting systems is increasing in various industries such as in manufacturing, food & beverage and healthcare industries. In healthcare sector, PoE technology transmits electrical power to LED lights through standard ethernet cables making them an ideal device for use in areas where electrical outlets are limited or hard to reach, such as patient rooms and operating rooms. For Instance, in 2021, Axis Lighting launched BalancedCare healthcare lighting family of luminaires featuring simple controls for use in patient\'s rooms and corridors.

Restraint:

POE LED lighting systems have limitations in terms of the amount of power they provide, that is insufficient for high-powered lighting systems. Large areas such as auditoriums are quite difficult to be powered by PoE alone and require additional electrical power sources. Thus, aforementioned factor tends to be restraining the growth of the global market.

Opportunities

Power over Ethernet (POE) LED lighting systems are expected to be used in Li-Fi technology to provide a highly efficient and cost-effective lighting solution while enabling wireless communication. Li-Fi technology works by modulating the intensity of light emitted from an LED bulb at a high frequency and convert it into an electric signal. Integration of POE LED lighting and Li-Fi technology is anticipated to provide improved network performance thereby creating potential opportunities for the growth of Power over Ethernet (POE) LED lighting market. For instance, in Singapore, Republic Polytechnic announced to install Li-Fi technology in its smart devices lab to give its students new learning opportunities and broaden their exposure to smart lighting technologies.

Power over Ethernet (POE) LED Market Segmentation:



By Component

Based on component, the market is segregated into hardware, software, and services. Hardware segment holds the largest share in the market as it includes the physical components of the POE LED lighting system that are required for the system to function. Hardware segment includes the physical components such as LED light fixtures, Ethernet switches, and POE injectors. Technological advancements such as integration of PoE LED lighting systems into smart building systems is the major factor contributing to the growth of this segment in the POE LED lighting system market.

The services segment is expected to grow during the forecast period due to the increasing need for installation and support services for POE LED lighting systems. The growth is attributed to the growing demand for installation, repair and support services that are required for the proper functioning of these systems.

By Wattage

Based on wattage, the market is bifurcated into up to 25 Watt and above 25 Watt. Above 25 Watt segment accounted for the largest share in the global market due to their application in architectural and industrial lighting in large industrial facilities and commercial buildings. Above 25 Watt lighting systems offer several benefits, such as energy efficiency, long lifetimes, and ease of installation.
Up to 25 Watt segment is expected to grow in the forecast period due to the increasing demand for energy-efficient and cost-effective lighting solutions in residential and commercial sector. Moreover, with the increasing popularity of smart home and smart building technology, PoE LED lighting is an attractive solution for homeowners and businesses to modernize their lighting systems.

By End-User

Based on end-user, the market is segmented into residential, commercial, and industrial. Commercial segment account for the largest share in the market. In the commercial sector, PoE LED lighting is being used in office buildings, retail stores, and other commercial spaces due to its easy installation and cost-effectiveness. Additionally, the ability to remotely monitor and control lighting systems lead to improved energy efficiency and reduced costs.

Industrial segment is expected to register highest CAGR growth in the forecast period due to the ease of installation of PoE LED lights to carry out day-to-day operations. For instance, POE-enabled LED lights are used in hospitals and clinics to provide bright light in examination rooms, operating rooms, and other medical facilities. Additionally, the growth of the industrial segment is driven by the increasing demand for reliable and energy-efficient lighting solutions that are controlled and monitored remotely allowing adjustments in lights.

By Region

North America is the largest market for Power over Ethernet (PoE) LED lighting. North America has a high adoption rate for advanced technologies, including PoE LED lighting thus driving the growth of the regional market. Moreover, governments in North America are promoting the adoption of energy-efficient lighting solutions through energy efficiency programs. These programs provide incentives for businesses and consumers to adopt energy-efficient lighting solutions, that help to reduce energy costs and improve energy efficiency.



Asia-Pacific is expected to register highest CAGR during the forecast period. The growing construction and real estate sectors are contributing to the growth of the PoE LED lighting market in this region. Furthermore, major market players such as Signify Holding (Philips), Acuity Brands Inc. operating in the PoE LED lighting are investing in research and development leading to the development of new and innovative PoE LED lighting solutions.

Power over Ethernet (POE) LED Market Competitive Landscape:

Key Players in the PoE LED lighting market are engaged in product development and strategic alliances to expand their product portfolio and remain competitive in the market. In terms of market players, the data is related to product innovations, business collaborations, and strategies adopted by competitors. Key players in the market include-

• Signify Holding (Philips)
• Platformatics INC.
• Texas Instruments Incorporated.
• Hubbell Inc.
• NETGEAR
• GENISYS PoE Lighting Systems
• HE Williams
• Maxim Integrated Products, Inc.
• NuLEDs, Inc.

Recent Developments

• In January 2021, Netgear launched two switches MS510TXM and MS510TXUP switches compatible with cloud-management systems.

• In September 2020, Netgear, a California-based company launched four gigabit power of Ethernet switches for high density installations having a capacity of 480W for industrial and commercial purposes.