Market Size of High Energy Lasers Industry
Study Period | 2019 - 2029 |
Market Size (2024) | USD 10.16 Billion |
Market Size (2029) | USD 14.99 Billion |
CAGR (2024 - 2029) | 8.09 % |
Fastest Growing Market | Asia Pacific |
Largest Market | North America |
Major Players*Disclaimer: Major Players sorted in no particular order |
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High Energy Lasers Market Analysis
The High Energy Lasers Market size is estimated at USD 10.16 billion in 2024, and is expected to reach USD 14.99 billion by 2029, growing at a CAGR of 8.09% during the forecast period (2024-2029).
The industry is one among the ones hit by the COVID-19 pandemic. As the demand for machine inventory declined, the demand for high-end lasers declined in the year 2020. The market started recovering eventually after a slowdown and increased demand from China.
- Lasers have demonstrated their effectiveness against missiles and are now used as the first line of defense. Because of rising defense budgets and research grants, militaries around the world are adopting high-energy laser-based equipment and investing heavily in R&D.
- High-energy lasers have played a crucial role in modern society, with increasing applications in manufacturing, communication, and defense. With the growing defense budget and research grants, militaries worldwide are adopting high-energy laser-based equipment and investing heavily in research and development. For example, in May 2021, the US army began testing a prototype laser weapon for close-range air defense; the weapon is a 50-kilowatt high-energy laser attached to a Stryker A1 vehicle that can locate, lock on, track, and destroy airborne threats.
- The defense industry drives a prominent share of the R&D and application of the technology. Major spending countries are keen on developing and inducting the technology as part of their forces and operation. According to SIPRI, total global military spending will increase by 0.7% in real terms in 2021, reaching USD 2.1 trillion. According to new data on global military spending, the five largest spenders in 2021 will be the United States, China, India, the United Kingdom, and Russia, accounting for 62% of total expenditure. Such developments should pave the way for new technologies and modernization.
- With the proliferation of drones in the defense sector, the demand for solutions that can track and destroy them has gained traction. For instance, in March 2021, European missile-maker MBDA and French firm CILAS agreed to collaborate with electronic warfare and intelligence specialist SIGN4L to explore co-development opportunities in high-energy laser weapons systems to destroy drones. Such developments are expected to increase over the coming years further.
- The application of high-energy lasers as part of missile defense systems is expected to increase, with major defense spenders increasingly adopting these solutions and showing interest in developing such solutions. For example, in March 2021, the Israeli Defense Ministry showed interest by seeking US funding and expertise for their air and missile defense lasers; Israel's current prototypes have achieved an output beam of nearly 100 kilowatts, whereas the United States has been exploring 300-kW weapons capable of killing cruise missiles.
- The most difficult task for researchers is to create a laser capable of reaching high enough levels to partially damage or defeat a target while tracking multiple objects at the same time. In turbulent air conditions such as dust and humidity, the laser must propagate efficiently and remain precisely focused on the target. The system must account for target movement, platform movement, and beam distortion caused by weather or environmental conditions.
High Energy Lasers Industry Segmentation
High-energy lasers are used in numerous industries, with applications ranging across the defense, industrial, and medical sectors. Correctly, military lasers (lasers with a higher degree of photon output and coherence) such as gas, solid-state, and excimer lasers are used in core industries such as material processing and automotive.
Presently, these are playing an increasingly important role in developing many new processes, including guiding munitions and marking targets, missile defense systems, laser lightning displays, communication, and surgical and diagnosis functions. The study considers high-power laser systems with an average power of 1 kW or above.
Application | |
Cutting, Welding & Drilling | |
Military and Defense | |
Communications | |
Other Applications |
Geography | |
North America | |
Europe | |
Asia Pacific | |
Rest of the World |
High Energy Lasers Market Size Summary
The high-energy lasers market is poised for significant growth, driven by increasing applications in defense, manufacturing, and communication sectors. The market experienced a downturn due to the COVID-19 pandemic, but has since rebounded, with notable demand from China. The defense industry, in particular, is a major driver of this market, as militaries worldwide invest in high-energy laser systems for missile defense and other applications. The effectiveness of lasers in countering airborne threats has led to their adoption as a primary defense mechanism, with countries like the United States and China leading the charge in developing and integrating these technologies into their military operations. The Asia-Pacific region is also a key player, with countries such as India and Japan actively pursuing advancements in high-energy laser systems as part of their defense strategies.
The competitive landscape of the high-energy lasers market is characterized by the presence of several major players, particularly in developed regions like North America. These companies are focusing on innovation and strategic collaborations to enhance their market share and profitability. Recent developments include the introduction of advanced laser cutting and welding technologies, as well as investments in new laser systems to meet growing demand. The market's growth is further supported by government-funded research and development initiatives, particularly in China, where military spending continues to rise. As countries strive for military dominance and technological superiority, the high-energy lasers market is expected to experience robust expansion in the coming years.
High Energy Lasers Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Overview
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1.2 Market Drivers
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1.2.1 Rising Demand for Laser Weapons Systems in Navy & Growth for Non-lethal Deterrents
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1.3 Market Restraints
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1.3.1 Regulatory Compliance & High Cost
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1.4 Industry Attractiveness - Porter's Five Forces Analysis
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1.4.1 Threat of New Entrants
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1.4.2 Bargaining Power of Buyers
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1.4.3 Bargaining Power of Suppliers
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1.4.4 Threat of Substitute Products
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1.4.5 Intensity of Competitive Rivalry
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1.5 Technology Snapshot - Product Type
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1.5.1 Gas Laser
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1.5.2 Chemical Laser
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1.5.3 Excimer Laser
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1.5.4 Solid State Laser
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1.5.5 Fiber Laser
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1.6 Impact of Covid-19 on the market
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2. MARKET SEGMENTATION
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2.1 Application
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2.1.1 Cutting, Welding & Drilling
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2.1.2 Military and Defense
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2.1.3 Communications
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2.1.4 Other Applications
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2.2 Geography
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2.2.1 North America
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2.2.2 Europe
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2.2.3 Asia Pacific
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2.2.4 Rest of the World
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High Energy Lasers Market Size FAQs
How big is the High Energy Lasers Market?
The High Energy Lasers Market size is expected to reach USD 10.16 billion in 2024 and grow at a CAGR of 8.09% to reach USD 14.99 billion by 2029.
What is the current High Energy Lasers Market size?
In 2024, the High Energy Lasers Market size is expected to reach USD 10.16 billion.