The global VCSEL market size reached around USD 2.10 Billion in 2023. The market is projected to grow at a CAGR of 15.90% between 2024 and 2032 to reach nearly USD 7.92 Billion by 2032.
Base Year
Historical Year
Forecast Year
As per the data from CloudScene, which encompasses information from 110 countries, there were almost 8,000 data centres worldwide as of January 2021. The ten largest data centre markets, ranked by total power measured in megawatts include Northern Virginia, Beijing, Oregon, Phoenix, Shanghai, Dallas, Columbus, Atlanta, Tokyo, and London. Vertical-cavity surface-emitting lasers (VCSELs) play a crucial role in data centres by facilitating high-speed optical communication. They are extensively utilised in short-reach interconnects, such as Ethernet and Fibre Channel, which enhance efficient data transfer between servers and storage systems. The compact design, high energy efficiency, and reliability of VCSELs render them particularly suitable for dense network architectures within data centres. Their capacity to manage high data rates while consuming minimal power significantly contributes to the performance and sustainability of contemporary data centre operations.
VCSELs (Vertical Cavity Surface Emitting Lasers) are revolutionising the automotive sector by improving safety features and advanced driver-assistance systems (ADAS). They are essential components in LiDAR (Light Detection and Ranging) systems, facilitating accurate object detection and distance measurement for both autonomous and semi-autonomous vehicles. Additionally, VCSELs are utilised in gesture recognition systems and in-cabin monitoring, thereby enhancing the safety of drivers and passengers. Their small form factor, exceptional reliability, and energy efficiency render them suitable for incorporation into automotive sensors, thereby supporting the development of next-generation vehicle technologies.
Value in USD Billion
2024-2032
VCSEL Market Outlook
*this image is indicative*
The VCSEL market growth can be attributed to the increasing utilisation of VSCEL in 3D sensing technologies, escalating demand for data communication, advancements in automotive LiDAR technologies, and innovations in consumer electronics
VCSEL plays a vital role in 3D sensing applications, particularly within facial recognition systems utilised in smartphones and tablets. Its capacity to emit precise and coherent light facilitates intricate 3D mapping, thereby improving both security measures and user engagement.
The rise in data traffic, driven by cloud computing and streaming platforms, has created a pressing need for high-speed optical communication solutions. VCSEL, recognised for its efficiency and ability to support high data rates, is indispensable in data centres and short-distance communication networks.
In the realm of autonomous vehicles, VCSEL is an essential component of Light Detection and Ranging (LiDAR) systems, delivering precise distance measurements and enabling effective object detection, which significantly enhances vehicle safety and navigation functions.
The incorporation of VCSEL in consumer electronics, including gaming consoles and augmented reality devices, facilitates advanced features such as gesture recognition and depth sensing, thereby enriching the interactive experiences for users.
The market is experiencing significant growth, driven by innovations in 3D sensing, data communication, and automotive technologies. VCSELs play a crucial role in facial recognition and augmented reality within consumer electronics, thereby increasingly integrated into smartphones and gaming consoles. The rise of autonomous vehicles has further heightened the necessity for VCSELs in LiDAR systems, which improve safety and navigation capabilities. Moreover, the escalating data traffic resulting from cloud computing and streaming services is propelling the integration of VCSELs in optical communication networks. Advances in miniaturisation and energy efficiency are rendering VCSELs vital for industrial uses, such as laser printing and optical sensing.
The EMR’s report titled “Global VCSEL Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:
Breakup by Type
Breakup by Wavelength
Breakup by Material
Breakup by Application
Breakup by Industry Vertical
Breakup by Region
Based on the industry vertical, the market is segmented into consumer electronics, data centres, automotive, commercial and industrial, healthcare, and military. The consumer electronic segment is projected to grow at a CAGR of 24.6% during the forecast period of 2024-2032. VCSEL is employed in consumer electronics for different purposes such as facial recognition, optical sensing, and three-dimensional imaging, facilitating enhanced speed and precision in devices, including smartphones and laptops.
Major players are focusing on the adoption of advanced technologies to gain a competitive edge in the market.
Established in 1966 and headquartered in Pennsylvania, United States, Coherent Corporation is a leader in laser technology and photonic solutions. The company caters to sectors such as healthcare, manufacturing, and telecommunications, with a strong focus on innovation and the development of advanced optical systems on a global scale.
Founded in 2015 and headquartered in California, United States, Lumentum Holdings specialises in photonic prod...
Established in 2005 and based in Minnesota, United States, Vixar Inc. is dedicated to VCSEL technology, servin...
Founded in 1953 and headquartered in Japan, HAMAMATSU Group stands as a prominent figure in the field of photo...
*Please note that this is only a partial list; the complete list of key players is available in the full report. Additionally, the list of key players can be customized to better suit your needs.*
Other major players in the VCSEL market are Broadcom, Inc., TRUMPF SE + Co. KG, ams-OSRAM AG, Santec Holdings Corporation, Leonardo S.p.A., and VERTILAS GmbH, among others.
*While we strive to always give you current and accurate information, the numbers depicted on the website are indicative and may differ from the actual numbers in the main report. At Expert Market Research, we aim to bring you the latest insights and trends in the market. Using our analyses and forecasts, stakeholders can understand the market dynamics, navigate challenges, and capitalize on opportunities to make data-driven strategic decisions.*
Get in touch with us for a customized solution tailored to your unique requirements and save upto 35%!
In 2023, the market attained a value of nearly USD 2.10 Billion.
The market is assessed to grow at a CAGR of 15.90% between 2024 and 2032.
The market is estimated to witness a healthy growth in the forecast period of 2024-2032 to reach about USD 7.92 Billion by 2032.
The major drivers of the market are the escalating demand for data communication and advancements in automotive LiDAR technologies.
As per the EMR report, the different types of VCSEL in the market are single mode and multi-mode.
The major regions considered in the market are North America, Europe, the Asia Pacific, Latin America, and the Middle East and Africa.
The major players in the market are Coherent Corporation, Lumentum Holdings Inc., Vixar Inc., HAMAMATSU Group, Broadcom, Inc., TRUMPF SE + Co. KG, ams-OSRAM AG, Santec Holdings Corporation, Leonardo S.p.A., and VERTILAS GmbH, among others.
Explore our key highlights of the report and gain a concise overview of key findings, trends, and actionable insights that will empower your strategic decisions.
| REPORT FEATURES | DETAILS |
| Base Year | 2023 |
| Historical Period | 2018-2023 |
| Forecast Period | 2024-2032 |
| Scope of the Report |
Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment:
|
| Breakup by Type |
|
| Breakup by Wavelength |
|
| Breakup by Material |
|
| Breakup by Application |
|
| Breakup by Industry Vertical |
|
| Breakup by Region |
|
| Market Dynamics |
|
| Competitive Landscape |
|
| Companies Covered |
|
Purchase Full Report
Datasheet
Single User License
One User
Five User License
Five Users
Corporate License
Unlimited Users
How To Order
Our step-by-step guide will help you select, purchase, and access your reports swiftly, ensuring you get the information that drives your decisions, right when you need it.
Select License Type
Choose the right license for your needs and access rights.
Click on ‘Buy Now’
Add the report to your cart with one click and proceed to register.
Select Mode of Payment
Choose a payment option for a secure checkout. You will be redirected accordingly.
Gain insights to stay ahead and seize opportunities.
Get insights & trends for a competitive edge.
Track prices with detailed trend reports.
Analyse trade data for supply chain insights.
Leverage cost reports for smart savings
Enhance supply chain with partnerships.
Connect For More Information
Our expert team of analysts will offer full support and resolve any queries regarding the report, before and after the purchase.
Our expert team of analysts will offer full support and resolve any queries regarding the report, before and after the purchase.
We employ meticulous research methods, blending advanced analytics and expert insights to deliver accurate, actionable industry intelligence, staying ahead of competitors.
Our skilled analysts offer unparalleled competitive advantage with detailed insights on current and emerging markets, ensuring your strategic edge.
We offer an in-depth yet simplified presentation of industry insights and analysis to meet your specific requirements effectively.
Australia
63 Fiona Drive, Tamworth, NSW
+61-448-061-727
India
C130 Sector 2 Noida, Uttar Pradesh 201301
+91-858-608-1494
Philippines
40th Floor, PBCom Tower, 6795 Ayala Avenue Cor V.A Rufino St. Makati City,1226.
+63-287-899-028, +63-967-048-3306
United Kingdom
6 Gardner Place, Becketts Close, Feltham TW14 0BX, Greater London
+44-753-713-2163
United States (Head Office)
30 North Gould Street, Sheridan, WY 82801
+1-415-325-5166
Vietnam
193/26/4 St.no.6, Ward Binh Hung Hoa, Binh Tan District, Ho Chi Minh City
+84-865-399-124
United States (Head Office)
30 North Gould Street, Sheridan, WY 82801
+1-415-325-5166
Australia
63 Fiona Drive, Tamworth, NSW
+61-448-061-727
India
C130 Sector 2 Noida, Uttar Pradesh 201301
+91-858-608-1494
Philippines
40th Floor, PBCom Tower, 6795 Ayala Avenue Cor V.A Rufino St. Makati City, 1226.
+63-287-899-028, +63-967-048-3306
United Kingdom
6 Gardner Place, Becketts Close, Feltham TW14 0BX, Greater London
+44-753-713-2163
Vietnam
193/26/4 St.no.6, Ward Binh Hung Hoa, Binh Tan District, Ho Chi Minh City
+84-865-399-124
Share