Infrared LED Market: Outlook, Opportunity and Demand Analysis, Forecast 2026

Infrared LED Market: Outlook, Opportunity and Demand Analysis, Forecast 2026

The infrared LED market analysis document represents a detailed collection of prioritized market definitions, industry scope and reach, and pivotal industry insights. Information about the many pitfalls of the market as well as the frequent challenges encountered by core industry players have been summarized in the report. That apart, the document also endorses details about the numerous driving parameters impacting the revenue landscape of this vertical.

Infrared LED market trends are poised to be driven by rising demand for a strong and efficient surveillance system across the globe. IR LEDs are gaining popularity on account of their applicability in a wide range of signal transfer systems including infrared cameras for surveillance and night vision, remote control of television, and other uses.

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Consumer electronics is likely to experience major setback in 2020 due to dropping demand for electronics like smartphones and other smart home solutions, due to the outbreak of COVID-19. However, the demand may gain substantial momentum, once economy revives from the crisis. Various smartphone manufacturers are collaborating with IR LED producers to integrate facial and iris recognition with infrared technology. For instance, Osram introduced an infrared LED of wavelength 940nm for 2D integration in mobile phones and tablets for facial recognition in 2018.  

IR LED devices with high wavelengths are used as light sources in infrared communications, photo couplers and remote controller. In 2019, 950nm-1020nm segment held over 5% of the overall market share and is expected to grow at 5% over the analysis period on account of increasing applications in surveillance cameras, infrared range finder for digital camera, smoke detectors and sensors for factory automation.

The IR LED devices for image processing are used in wide range of applications including medicine, defense & security, handheld mobile devices and industries. The imaging application segment in the market is set to grow at 7% over 2020-2026 due to high-quality image and enhanced image processing algorithms.

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In 2019, Europe infrared LED market held over 25% of the global share due to robust demand from major vehicle manufacturers in the region, such as, Audi, Volkswagen, Bentley, and BMW. Considerable investments were made by Osram in the region that are projected to contribute to product penetration. In 2017, Osram opened a new manufacturing plant in Germany to produce infrared LEDs to meet the growing demand for biometrics and lighting applications.

However, the COVID-19 pandemic has exponentially affected the market demand to a great extent due to lockdown restrictions laid by the regional government. The manufacturing plants across the region have been shut for long. Some of the prominent players operating in the infrared LED market include EVERLIGHT, Epistar, Vishay Intertechnology, Lite-On Technology, Osram, Raytek Corporation, among others.

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