The global silicon photonics market is expected to reach USD 918.3 million by 2025, according to a new report conducted by Grand View Research, Inc. The rapid emergence of commercial and consumer electronics applications is anticipated to revolutionize the market by 2025.
The IT and telecommunication application segment would dominate the sector in terms of market size over the forecast period. Silicon photonics devices find commercial applications in high-performance computers and data center applications. The silicon photonics technology offers a cost-effective and reliable solution to commercial applications.
The key value chain components for the silicon photonics system include raw material suppliers, component manufacturers (chip and optical interconnect fabrication firms), Original Equipment Manufacturers (OEMs), server system distributors, and end-use segments. Silicon photonics has been a significant research arena since the last decade on account of potential benefits of the optoelectronics integration.
The market can be categorized based on application types into consumer electronics, IT & telecommunication, commercial, defense & security, and healthcare & life science verticals. Silicon photonics devices find commercial applications in high-performance computers and data center applications.
Small size and cost-effectiveness are the ideal features desired from silicon photonics, which is largely driving the growth of the silicon photonics market. Vendors provide solutions across a wide range of industries, such as mobile broadband Internet access, high-performance computing, data center and enterprise networking, and metro and long haul data communications, among many others.
Further key findings from the report suggest:
- The industry is predicted to grow as the products would rapidly gain traction. This is attributed to the ability of products to be incorporated in different application areas, such as IT and telecommunication, consumer electronics, and commercial.
- The increasing demand for active optical cables, optical multiplexers, and optical attenuators provides numerous growth opportunities as they offer considerable options to attain low-cost economies
- The North American region dominated the marketplace, accounting for the largest global market share (in terms of revenue) in 2015
- The key industry participants include Cisco Systems Inc., Finisar Corporation, Intel Corporation, Mellanox Technologies, and Molex Incorporated