Photonics devices are being increasingly used in the manufacturing facilities in the communication domain and production process, owing to the ongoing industry 4.0 revolution. This revolution aims to create smart and efficient factories which use automation solutions, internet of things (IoT)-enabled devices, and smart sensors for an efficient manufacturing process. Innovations in smart factories primarily depend on developments in optical fibers, laser technology, and sensor technology. Such highly digitized production units use lasers for drilling, cutting, and engraving purposes and utilize optical fibers to allow reliable data communication at high speed within the factory.
The application segment of the photonics market is classified into display, information technology (IT), photovoltaic (PV), communication, lighting, production technology, measurement and image processing, medical technology and life sciences, and others, such as holography and terahertz imaging. Among these, the lighting category is expected to witness the fastest growth during the forecast period, due to the amplifying need for lighting solutions in retail lighting, entertainment lighting, and agricultural lighting. Moreover, the booming construction industry will also augment the use of lighting products in the forecast years.
In recent years, photonics products manufacturing companies have focused on expanding their manufacturing facilities to cater to the burgeoning customer demand for opto-semiconductors. For instance, Hamamatsu Photonics KK has constructed a new building at the Shingai Factory, located in Shingai-Cho, Minami-Ku, Hamamatsu City, Japan. Additionally, the manufacturers are also focusing on introducing novel solutions to expand their clientele. For example, in September 2019, NeoPhotonics Corporation launched an Ultra-Narrow Linewidth Tunable C++ laser to accommodate any channel spacing, such as 50, 75, 100, 125, and 150 GHz and facilitate full gridless tuning.
According to PS Intelligence, Asia-Pacific (APAC) accounted for the largest share in the photonics market in 2019, wherein China generated the highest revenue. The leading position of China can be primarily ascribed to the presence of a large number of manufacturing industries in the country. For instance, the Eastern provinces of Hebei, Jiangsu, Fujian, and Zhejiang are hubs of automobile manufacturing. Automobile manufacturing units in these provinces use photonics technology in application areas such as cutting, brazing, coating removal, and marking.
