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The global market for industrial lasers is projected to grow from $4.6 billion in 2015 to $6.3 billion in 2020, reflecting a five-year compound annual growth rate of 6.6%. Consumer electronics industry as a segment should grow from nearly $1.5 billion in 2015 to $2 billion in 2020, demonstrating a five-year CAGR of 6.1% as the largest end-use industry. Construction industry, the second-largest segment, should total almost $1.2 billion in 2020 with a five-year CAGR of 6.4%.

 

The upward trend outlined in the BCC report concurs generally with another recent industrial laser market assessment by Swiss analyst Optech Consulting, reported by optics.org in March 2016, although the BCC assessment does not comment on currency exchange factors (as did Optech) which can change a positive growth picture to the opposite effect, depending on relative currency values in this export-focused market place.

 

According to the $5985, 141-page report from BCC, major factors spurring market demand include a greater focus on product quality and production efficiency: “Many companies are expected to invest heavily in R&D to provide better end-user solutions. A rising demand for three-dimensional imaging additive manufacturing should bolster global demand, as well,” the report states.

 

Considering territories, the Asia-Pacific region should remain the largest global market for industrial lasers, says the report. “With numerous upcoming business entities and a growing focus on automation, the market should see substantial growth in major markets such as China, Japan and South Korea.”

 

Fiber lasers

 

Unlike older industrial tool industries, the industrial laser industry is still evolving. Although carbon dioxide lasers and neodymium-YAG lasers are most often used, the markets for fiber lasers and disk lasers should experience significant growth during the forecast period, BCC has determined: “The fiber lasers market, particularly, should see impressive growth, spurred by demand for its high-output power and compact size. Their reliability should also drive growth.”

 

"Fiber lasers provide high peak power and nanosecond pulses, which enable effective marking and engraving. They also provide cleaner cut edges at faster cutting speeds," says BCC Research analyst Sinha Gaurav. "The lower cost fiber laser ownership is also boosting global demand. The market, valued at $1.1 billion in 2014, should reach nearly $1.9 billion by 2020, growing at a five-year CAGR of 8.5%."

 

The report entitled Lasers for Industrial Applications: Global Markets analyzes the industry by technology, type, and by end-user application. Italso examines emerging applications, trends, pricing considerations, R&D, government regulations, and competitive technologies. Analyses of global market drivers and trends, with data from 2014, 2015, and projections of CAGRs through 2020 also are provided.

 

It was authored by Sinha G. Gaurav, who holds an MBA in finance from ICFAI Business School, Hyderabad, India, and a degree in electrical engineering from Rajasthan University. His primary focus is in the electronic, semiconductor, photonic, chemical and communications markets. Gaurav has researched various technology markets for several years, including electronics, semiconductors, chemicals, photonics and information technology.