Photonic IC Market Growth Outlook with Industry Review and Forecasts from 2018-2024

In the photonic IC market, optical communication dominated the industry and will grow at a fast rate over the forecast timespan. Over the last few years, the industry has witnessed a tremendous increase in the data traffic. Optical communication based on the photonic ICs offers an efficient and cost-effective alternative to data transmission. In addition, owing to its efficiency in handling the increasing data traffic, the demand for optical communications photonic IC market is anticipated to increase. Moreover, the high bandwidth and low signal attenuation provided by optical communication systems are expected to boost their demand.

Photonic IC Market size is anticipated to grow owing to advantages of the components such as cost-effectiveness and enhanced functionalities. Several optical devices, such as multiplexers, modulators, and amplifiers, can be integrated into these circuits, reducing the overall cost and making the system compact. The miniaturization of devices and increase in the level of integration are the key factors driving the photonic IC market. These circuits host complex circuit configurations and feature power efficiency and cost reduction due to miniaturization. Photonic components enable efficient electrical to optical conversion and allow devices to work at high temperatures.

Request for an in-depth table of contents for this report @ https://www.gminsights.com/request-toc/upcoming/2547

The ICs use photons for carrying data, unlike electronic ICs that utilize electrons for data transfer. Optical rays carry more data, thereby proving to be superior than electrical semiconductor techniques and facilitate high data transmission rates than copper-based transmissions. The usage of optical devices makes the system discrete. Moreover, these chips can also be integrated with basic electronic circuits further extending their applications for more functions. High-speed data transmission facilitated by these circuits makes them suitable for a wide range of applications across the aerospace, industrial, and telecommunication, utilities, and energy sectors, which is a key factor driving the photonic IC market.

Issues pertaining to the design & packaging of the components is anticipated to hamper the photonic IC market over the coming years. Owing to huge demand for a high level of electronic-photonic integration have led to complex packaging of the circuits with control circuitry, amplifiers, and electronic drivers. Lack of digitalization and awareness of advanced packaging techniques in several economies are restraining the photonic IC market growth. In addition, factors such as thermal effect issues, need for high initial investments, and lack of skilled technicians to run the fabrication units are also restricting the growth.

Mounting pressure due to exponential increase in data has led to growing demand for data centers globally. Therefore, demand for high speed and efficient data transmission in data centers is providing attractive growth opportunities for the photonic IC market. In addition, the need for improved communication and computation needs will provide significant growth potential. Increased need for flexible, miniaturized, and power efficient circuits is a major factor that provides growth opportunities for the photonic IC market. There is a growing demand for these circuits from automation providers and cloud & network service providers.

The laser photonic IC market accounted for the majority of the industry share and is expected to grow at a high rate owing to its wide usage in applications such as telecommunication and data center domains. Usage of lasers provides a wide operating temperature range, enhanced optical power, and spectral purity. Increasing applications and widespread use of lasers in marking, engraving, cutting, welding, and drilling are being witnessed. Companies, such as Intel, are focusing on implementing technologies such as hybrid silicon laser. Lasers being one of the essential components of these ICs, the demand for the segment is expected to increase over the coming years.

Make an inquiry for buying this report @ https://www.gminsights.com/inquiry-before-buying/2547

The indium phosphide segment accounted for the largest share in the photonic IC market owing to the rising need for high-speed data transmission. The ability to integrate both passive and active devices and the capability of cost-effective mass production have led to a rise in the demand. The silicon-based photonic IC market is anticipated to grow at a fast rate owing to the advantages such as small size of components and high efficiency. Moreover, ease-of-fabrication offered by these ICs is projected to propel their demand over the forecast timespan. Enhanced computational and processing capacities of silicon-based components will further boost the segment growth.

North America photonic IC market dominated the industry owing to the presence of advanced electronics and telecom sectors in the region and its tendency to adopt the latest advanced technologies. The need to upgrade the existing infrastructure coupled with the growing adoption of the components in sensing and communications applications is driving the industry growth. The U.S. is projected to witness a strong growth owing to the major spur in transport networks, data centers, and utilities & energy industry. In addition, the region will account for a substantial share in the photonic IC market over the coming years owing to a rising demand from the IT sector in the U.S. and Canada.

Major players operating in the photonic IC market include Neophotonics Corporation, Hewlett-Packard Enterprise, Infinera Corporation, Agilent Technologies, JDS Uniphase Corporation, Ciena Corporation, Luxtera, Inc., Avago Technologies, TE Connectivity Ltd., Alcatel-Lucent, Intel Corporation, Finisar Corporation, and Huawei Technologies Co., Ltd. The photonic IC market is competitive and fragmented in nature. Major players are investing in the R&D and are competing based on technology differentiation and product innovations. Moreover, the intensity of the competition is anticipated to remain high over the coming years. 

About Global Market Insights

Global Market Insights, Inc., headquartered in Delaware, U.S., is a global market research and consulting service provider; offering syndicated and custom research reports along with growth consulting services. Our business intelligence and industry research reports offer clients with penetrative insights and actionable market data specially designed and presented to aid strategic decision making. These exhaustive reports are designed via a proprietary research methodology and are available for key industries such as chemicals, advanced materials, technology, renewable energy and biotechnology.

 Contact Us:

Arun Hegde
Corporate Sales, USA
Global Market Insights, Inc.
Phone: 1-302-846-7766
Toll Free: 1-888-689-0688
Email: sales@gminsights.com
Web: https://www.gminsights.com
Blog: http://algosonline.com/technology

Share This:

Add a Comment

Your email address will not be published. Required fields are marked *