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Photonic Integrated Circuit (PIC) - Global Strategic Business Report

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    Report

  • 463 Pages
  • March 2024
  • Region: Global
  • Global Industry Analysts, Inc
  • ID: 3619379

Global Photonic Integrated Circuit (PIC) Market to Reach $6.6 Billion by 2030

The global market for Photonic Integrated Circuit (PIC) estimated at US$1.5 Billion in the year 2023, is projected to reach a revised size of US$6.6 Billion by 2030, growing at a CAGR of 20.5% over the analysis period 2023-2030.

Hybrid Integration, one of the segments analyzed in the report, is projected to record 18.9% CAGR and reach US$3.1 Billion by the end of the analysis period. Growth in the Monolithic Integration segment is estimated at 24.1% CAGR for the next 8-year period.

The U.S. Market is Estimated at $570.3 Million, While China is Forecast to Grow at 32.1% CAGR

The Photonic Integrated Circuit (PIC) market in the U.S. is estimated at US$570.3 Million in the year 2023. China, the world's second largest economy, is forecast to reach a projected market size of US$1.3 Billion by the year 2030 trailing a CAGR of 32.1% over the analysis period 2023 to 2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 14.4% and 16.5% respectively over the 2023-2030 period. Within Europe, Germany is forecast to grow at approximately 16.9% CAGR.

Exciting New Report Features

  • Full access to influencer engagement stats
  • Free access to digital archives & research platform. The proprietary platform is fully enabled to unlock creativity and market knowledge of domain experts worldwide in a cohesive and collaborative manner. The state-of-art tools bring world class market perspectives while protecting participants` privacy and identity. Numbers, statistics and market narrative in the report are based on fully curated insights shared by domain experts and influencers in this space.
  • Opportunity to engage with interactive questionnaires that come with real-time data simulator tools & bespoke report generation capabilities
  • Full client access to peer collaborative and interactive platform for cross-enterprise smart exchange of ideas
  • Complimentary report updates for one year
  • Competitor coverage with global market shares of major players
  • Player market presence analysis (Strong/Active/Niche/Trivial) across multiple geographies
  • Access to curated YouTube video transcripts of domain experts/influencer interviews, podcasts, press statements and event keynotes

What to Expect from the Global Economy in 2024

Edgy geopolitics, and economic instability caused by monetary policy tightening and ensuing higher interest rates will create a tumultuous landscape for 2024. Several factors will continue to exert pressure on the path to recovery including hostilities in the Middle East and increasingly common climate disasters. Among the risks, several positives are also taking shape such as growing signs of disinflation and easing of anxiety over stubborn inflation, supply chain normalization and price moderation despite volatility in energy costs. Elections across several G21 jurisdictions, notably in India and the United States, will have potential ramifications for capital flows and investment strategies. While India emerges as a compelling destination in the global investment landscape, U.S, based tech firms will continue to dominate, fueled by a dynamic ecosystem of talent and capital. Tech opportunities in Silicon Valley and beyond remain attractive for investors seeking high-growth prospects supported largely by a resilient albeit slowing domestic economy and conducive regulatory environment. Europe will continue to battle tight monetary policy and recession risks with U.K. having the most challenging outlook and running the greatest risk of recession in 2024. China remains a wild card with hope for growth in the country underpinned by government spending and improvements in consumer spending. The volatile environment will offer both opportunities and challenges for investors and businesses alike. Embracing volatility as a catalyst for growth together with agility and strategic foresight in navigating investment decisions will remain important for survival.

Select Competitors (Total 98 Featured)

  • Broadcom Inc.
  • Ciena Corporation
  • EMCORE Corporation
  • ams AG
  • ANSYS, Inc.
  • EFFECT Photonics BV
  • Bright Photonics BV
  • AifoTec AG
  • ColorChip Ltd.
  • DenseLight Semiconductors Pte., Ltd.
  • Enablence Technologies, Inc.
  • AEPONYX
  • Applied NanoTools
  • DAS Photonics
  • Avo Photonics

Table of Contents

I. METHODOLOGYII. EXECUTIVE SUMMARY
1. MARKET OVERVIEW
  • An Introduction to Photonic Integrated Circuit (PIC)
  • Materials Used in Making PIC
  • Integration Models for PIC
  • Applications
  • Photonic Integrated Circuit (PIC): Current Market Scenario and Outlook
  • Substrate Materials and Fabrication Methods for PICs
  • Indium Phosphide: Largest & Fastest Growing Material Type
  • World Photonic Integrated Circuit (PIC) Market by Raw Material (2024 & 2030): Percentage Breakdown of Revenues for Indium Phosphide (InP), Silicon-on-Insulator (SOI), Gallium Arsenide (GaAs), Silicon (Si), and Other Raw Materials
  • Silicon Substrates Remain in Contention
  • Hybrid Integration: The Widely Used PIC Fabrication Method
  • World Photonic Integrated Circuit (PIC) Market by Technique (2024 & 2030): Percentage Breakdown of Revenues for Hybrid Integration, Monolithic Integration, and Module Integration
  • Monolithic Integration Emerges as Fastest Growing Fabrication Approach
  • Analysis by Application
  • World Photonic Integrated Circuit (PIC) Market by Application (2024 & 2030): Percentage Breakdown of Revenues for Optical Communications, Optical Signal Processing, and Other Applications
  • Competitive Scenario
  • Photonic Integrated Circuit (PIC) Competitor Market Share Scenario Worldwide (in %): 2020
  • Recent Market Activity
  • Select Global Brands
  • Photonic Integrated Circuit (PIC) - Global Key Competitors Percentage Market Share in 2023 (E)
  • Competitive Market Presence - Strong/Active/Niche/Trivial for Players Worldwide in 2023 (E)
2. FOCUS ON SELECT PLAYERS
3. MARKET TRENDS & DRIVERS
  • Expanding Role of DCI in Data Centers Creates Potential Market Opportunities
  • Data Center Interconnect (DCI) Related Needs of Enterprises by Sector: A Snapshot
  • Major Data Center Trends Influencing DCI Implementations
  • Rapid Growth in Data Center Traffic
  • Global Data Center Traffic Scenario (2018, 2020 & 2023E): Percentage Breakdown of Data Center Traffic by Equipment Type
  • Global Cloud Data Center Market (2018 & 2023E): Percentage Breakdown of Data Center Traffic by Cloud Type
  • Big Data and Cloud Computing Proliferate Demand for Hyperscale Data Centers
  • PIC to Gain from Introduction of 5G
  • Breakdown of Network Latency (in Milliseconds) by Network Type
  • Programmable PICs Exude Tremendous Potential to Transform Photonics
  • Optical Communications: Largest Application Market for PIC
  • Key Trends Influencing the Uptake of PICs in Optical Communication Space
  • Soaring Deployments of 100G & Ultra-100G OTNs
  • Growing Uptake of FTTx Networks
  • Growing Bandwidth Needs Bring Fiber Optic Networks to the Fore, Steering PIC Demand
  • Optical Signal Processing Emerges as Fastest Growing Application Segment
  • Biophotonics: A Niche Market Segment for PIC
  • Expanding Application Base for Biophotonics Generates Parallel Opportunities for PIC
  • Increased Focus on Optical In-Vitro Diagnostics Augurs Well
  • Biosensors Build on SiN Photonic Integrated Circuits
  • Northbound Trajectory in Fiber Optic Sensors Vertical Gives Impetus to Market Expansion
  • Global Fiber Optic Sensors Market (2019 & 2024E): Breakdown of Sales in US$ Million by Geographic Region
  • Smart Cities Concept to Underpin Sales Growth in the Coming Years
  • World Smart City Investments (in US$ Billion) for the Years 2018 through 2025E
  • Smart Homes to Drive Demand for PICs
  • Global Smart Homes Market (In US$ Billion) for the Years 2019, 2021, 2023 & 2025E
  • Advanced Simulation Software for Designing PICs for Automotive Applications
  • Upcoming Quantum Computing Model to Infuse New Growth Opportunities
  • World Quantum Computing Market by End-Use (2021 & 2027E)
  • Economic Unviability of Electronic IC in OEO Conversion Puts Focus on Photonic IC
  • Photonic IC vs. Electronic IC: A Brief Comparative Analysis
  • Reduced Number of Optical Packages & Decreased Need for Fiber Coupling Enhance the Image of PIC
  • Technology Innovations: Key to High Growth and Consistent Demand
  • A Monolithic InP-on-Si-on-Insulator Developed by a HKUST Team of Engineers.
  • Optoscribe Begins Sampling its New PIC Coupling Solution, OptoCplrLT
  • A University of Rochester Team Creates Miniature Modulators for High Potential PICs
  • Purdue University Research Team Develops an Electrically Driven, Magnetic-Free Linear Optical Isolator for PIC Production
  • Horizon 2020 Project INSPIRE, Aims to Combine Beneficial Properties of Two Mature Photonic Integration Platforms
  • Next Generation Silicon Photonics & Polymer Based Photonic ICs Enhance Speed, Bandwidth and Scalability
  • Collaborative Initiatives Foster Development of Innovative Products
  • Challenges with PIC Production
4. GLOBAL MARKET PERSPECTIVE
  • Table 1: World Recent Past, Current & Future Analysis for Hybrid Integration by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 2: World 7-Year Perspective for Hybrid Integration by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 3: World Recent Past, Current & Future Analysis for Monolithic Integration by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 4: World 7-Year Perspective for Monolithic Integration by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 5: World Recent Past, Current & Future Analysis for Module Integration by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 6: World 7-Year Perspective for Module Integration by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 7: World Recent Past, Current & Future Analysis for Indium Phosphide (InP) by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 8: World 7-Year Perspective for Indium Phosphide (InP) by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 9: World Recent Past, Current & Future Analysis for Silicon-on-Insulator (SOI) by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 10: World 7-Year Perspective for Silicon-on-Insulator (SOI) by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 11: World Recent Past, Current & Future Analysis for Gallium Arsenide (GaAs) by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 12: World 7-Year Perspective for Gallium Arsenide (GaAs) by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 13: World Recent Past, Current & Future Analysis for Silicon (Si) by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 14: World 7-Year Perspective for Silicon (Si) by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 15: World Recent Past, Current & Future Analysis for Other Raw Materials by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 16: World 7-Year Perspective for Other Raw Materials by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 17: World Recent Past, Current & Future Analysis for Optical Communications by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 18: World 7-Year Perspective for Optical Communications by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 19: World Recent Past, Current & Future Analysis for Optical Signal Processing by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 20: World 7-Year Perspective for Optical Signal Processing by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 21: World Recent Past, Current & Future Analysis for Other Applications by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 22: World 7-Year Perspective for Other Applications by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World for Years 2024 & 2030
  • Table 23: World Photonic Integrated Circuit (PIC) Market Analysis of Annual Sales in US$ Thousand for Years 2020 through 2030
  • Table 24: World Recent Past, Current & Future Analysis for Photonic Integrated Circuit (PIC) by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets - Independent Analysis of Annual Revenues in US$ Thousand for Years 2023 through 2030 and % CAGR
  • Table 25: World 7-Year Perspective for Photonic Integrated Circuit (PIC) by Geographic Region - Percentage Breakdown of Value Revenues for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America and Rest of World Markets for Years 2024 & 2030
III. MARKET ANALYSIS
UNITED STATES
  • Photonic Integrated Circuit (PIC) Market Presence - Strong/Active/Niche/Trivial - Key Competitors in the United States for 2024 (E)
  • The United States: Largest Market for PIC Solutions
  • Fiber Optic Deployments Register Steady Growth
  • Percentage Population (%) Covered by Fiber Networks in Select States
  • Novel Use Case of Biophotonics in Medical Devices Augurs Well
  • Mainstream Image of Fiber Optic Sensors to Underpin Market Expansion
  • Market Analytics
CANADA
  • Market Overview
  • Growing Use of Fiber Optic Sensors Revs Up PIC Demand
JAPAN
  • Photonic Integrated Circuit (PIC) Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Japan for 2024 (E)
  • Market Overview
CHINA
  • Photonic Integrated Circuit (PIC) Market Presence - Strong/Active/Niche/Trivial - Key Competitors in China for 2024 (E)
  • Market Overview
  • Increased Adoption of Fiber Optic Sensors Infuses Market Momentum
  • Sensors Manufacturing Scenario in China
EUROPE
  • Photonic Integrated Circuit (PIC) Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Europe for 2024 (E)
  • Market Overview
  • Healthy Home Entertainment Sector Spurs Demand for Fiber Optic Networks
FRANCEGERMANYITALYUNITED KINGDOMSPAINRUSSIAREST OF EUROPE
ASIA-PACIFIC
  • Photonic Integrated Circuit (PIC) Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Asia-Pacific for 2024 (E)
INDIASOUTH KOREATAIWANREST OF ASIA-PACIFIC
LATIN AMERICA
  • Photonic Integrated Circuit (PIC) Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Latin America for 2024 (E)
BRAZIL
  • Market Overview
MEXICO
  • Market Overview
REST OF LATIN AMERICAREST OF WORLDIV. COMPETITION

Companies Mentioned (Partial List)

A selection of companies mentioned in this report includes, but is not limited to:

  • Broadcom Inc.
  • Ciena Corporation
  • EMCORE Corporation
  • ams AG
  • ANSYS, Inc.
  • EFFECT Photonics BV
  • Bright Photonics BV
  • AifoTec AG
  • ColorChip Ltd.
  • DenseLight Semiconductors Pte., Ltd.
  • Enablence Technologies, Inc.
  • AEPONYX
  • Applied NanoTools
  • DAS Photonics
  • Avo Photonics