Tunable Lasers Market Research Report and Outlook by 2028

The global market for tunable lasers is projected to expand from approximately US$ 1,000.1 million in 2021 to around US$ 1,888.7 million by 2028, reflecting a compound annual growth rate (CAGR) of 9.5% during the period from 2021 to 2028.

The rise in the adoption of tunable lasers within manufacturing and industrial sectors is largely fueled by the growing reliance on optical technologies for the mass production of consumer electronics. The demand for these lasers in semiconductor and materials processing has surged alongside the increasing applications in consumer electronics, including micro-sensing technologies, flat panel displays, and lidar systems. Additionally, tunable lasers find applications in industrial fiber optic sensing, which includes distributed strain and temperature mapping as well as distributed shape measurement. Emerging applications in this domain include aerial health monitoring, wind turbine health assessments, power generator diagnostics, and cavity detection or sinkhole monitoring.

Moreover, the expanding use of holographic optical elements in augmented reality (AR) displays has further diversified the applications of tunable lasers. For instance, TOPTICA Photonics, based in Europe, is innovating high-power single-frequency diode lasers in the UV/RGB spectrum, primarily aimed at lithography, optical testing, inspection, and holography.

The tunable lasers market is categorized by type, end-user, technology, wavelength, and geographical region. In terms of type, the market includes solid-state, gas, free-electron lasers (FEL), and other categories. The solid-state segment held the largest market share in 2020. When considering end-users, the market is divided into sectors such as manufacturing, telecommunications, medical and biotechnology, aerospace, electronics and semiconductors, industrial applications, and others. The telecommunications sector represented a significant portion of the market in 2020. From a technological perspective, the market is segmented into cavity diode lasers (DBR), distributed Bragg reflector lasers (DFB), vertical-cavity surface-emitting lasers (VCSELs), microelectromechanical systems (MEMS), and others, with the cavity diode laser (DBR) segment leading in market share in 2020. Regarding wavelength, the market is divided into segments of less than 1000 nm, 1000 nm-1500 nm, and above 1500 nm, with the 1000 nm-1500 nm segment being the largest in 2020. Geographically, the market is segmented into North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South America (SAM), with APAC holding a significant share of the global market in 2020.

The COVID-19 pandemic has severely impacted economies across Europe, particularly in countries like Italy, the UK, Russia, France, and Germany. The region is experiencing a financial downturn as many businesses have had to significantly reduce operations or halt them altogether. With travel restrictions, lockdowns, and disruptions in supply chains, Europe is expected to face economic challenges in 2021. The pandemic has led to the closure of numerous companies in the industrial manufacturing sector, adversely affecting the demand for tunable laser systems. Europe is a crucial industrial hub for various sectors, including machinery, manufacturing, and logistics. However, due to the aforementioned challenges, there has been a noticeable decline in activity within these industries, which has hindered market growth in the region. On a positive note, vaccination efforts across various European countries are helping to control the spread of the virus, leading to an improvement in the overall situation and a subsequent increase in demand for tunable lasers in the future.

The overall size of the tunable lasers market has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the market. This approach also aimed to provide a comprehensive overview and forecast of the tunable lasers market across all segments. Additionally, primary interviews were conducted with industry participants and experts to validate the data and gain deeper analytical insights. Participants included industry professionals such as vice presidents, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the tunable lasers market.

Key players in the global tunable lasers market include Coherent, Inc.; Daylight Solutions; EXFO Inc.; H?BNER GmbH & Co. KG; KEYSIGHT TECHNOLOGIES; Luna Innovations Inc.; NeoPhotonics Corporation; SANTEC CORPORATION; Freedom Photonics LLC; Toptica Photonics AG; Lumentum Operations LLC; FURUKAWA ELECTRIC CO., LTD.; EMCORE Corporation; Pure Photonics; and ID Photonics GmbH, all of which hold significant market shares.