Ambient Lighting Market Size (2024 - 2029)

Ambient Lighting Market Analysis

The Ambient Lighting Market size is estimated at USD 69.57 billion in 2024, and is expected to reach USD 106.55 billion by 2029, growing at a CAGR of 8.90% during the forecast period (2024-2029).

The rising demand for comfortable and innovative lighting solutions and the need for energy-efficient solutions may create an opportunity for the ambient lighting market. Compared to traditional lighting solutions, such as incandescent, halogen, compact fluorescent lamps (CFLs), etc., energy-efficient lightbulbs such as LEDs typically use about 25%-80% less energy and last about 3-25 times longer.

• The ongoing technological evolutions, such as smart lighting systems in commercial or residential buildings, increasing infrastructural projects worldwide, and consumer preferences for better interior lighting design, favor the market's growth.
• Moreover, the rising concerns over global climate change have led to the implementation of various rules and regulations about energy efficiency. The increasing inefficiency of incandescent bulbs, owing to excess heat generation, is making these solutions a more preferred option, thus aiding the ambient lighting market growth.
• However, replacing traditional systems with ambient light leads to high replacement costs and is one of the hindering factors for the market growth during the forecast period. The global demand for LED lighting solutions is growing fast. With the advent of smart LED solutions, the adoption rate of LED is expected to increase further, driving the demand for ambient lighting.
• The Department of Energy estimates that LED A-type lamps will achieve a 56% penetration by 2025 in the installed stock. Thus, as LEDs continue to reduce cost-wise and grow functionality-wise, they are expected to deliver greater convenience, comfort, aesthetics, and control options that homeowners require.
• Since the outbreak of COVID-19, various businesses have faced challenges in the supply chain. The ambient lighting market is no exception. Since a prominent share of the raw materials for producing LEDs originated from Asian countries, the industry was significantly influenced during March and April, as the region was under the severe clutches of the pandemic. However, the global LED demand is expected to see lower scale impacts due to the stringent regulations in countries related to the usage of LED-based solutions for energy efficiency; yet, the market may see sluggish growth in connected solutions.

Ambient Lighting Industry Segmentation

Ambient lighting is a common type of lighting system used around the world. These lightings offer features such as low maintenance and operational cost and higher flexibility due to wireless control. The Ambient Lighting Market is segmented by Offering (Lamps and Luminaires, Lighting Controls), by Type (Surface Mounted Lights, Suspended Lights, Track Lights, Strip Lights, Recessed Lights), by End User (Residential, Hospitality and Retail, Healthcare, Office Building, Automotive), and by Geography. The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.