openPR Logo
Press release

U.S. Photonics Market Poised for Growth with CAGR of 4.5% Through 2032 | Persistence Market Research

08-05-2025 07:54 AM CET | IT, New Media & Software

Press release from: Persistence Market Research

U.S. Photonics Market

U.S. Photonics Market

Overview of the U.S. Photonics Market

The U.S. photonics market is poised for remarkable expansion, projected to grow from US$ 138.9 billion in 2025 to US$ 189.4 billion by 2032, reflecting a CAGR of 4.5% during the forecast period. This growth trajectory signifies the sector's pivotal role across industries such as telecommunications, healthcare, defense, and semiconductors. With applications ranging from high-speed data transmission to medical diagnostics, photonics has transitioned from a niche research field into a cornerstone of U.S. technological infrastructure.

Several factors are propelling this robust expansion. Rising investments in quantum computing, national security initiatives, and increasing demand for fiber-optic communication systems are key contributors. Display technologies are anticipated to be the leading segment, projected to account for nearly 28.4% market share in 2025, primarily due to increased use of AR/VR devices and microLED innovations. Geographically, the Western U.S. dominates the market, driven by a well-established semiconductor ecosystem that supports rapid prototyping and fabrication of photonic integrated circuits (PICs).

Elevate your business strategy with comprehensive market data. Request a sample report now: https://www.persistencemarketresearch.com/samples/35446

🔍 Key Highlights from the Report

• The U.S. photonics market is expected to grow at a 4.5% CAGR from 2025 to 2032.
• Displays segment is projected to capture 28.4% of the market by 2025.
• Western U.S. leads the market due to a strong semiconductor manufacturing base.
• Demand for ultra-low noise photo detectors is rising, driven by DOE's quantum network roadmap.
• Wearable biosensors are opening new growth avenues in the healthcare segment.
• Surge in data center and fiber-optic deployments fuels need for optical transceivers.

Market Segmentation

The U.S. photonics market can be segmented based on product types such as displays, optical communication systems, detectors, sensors, lasers, and imaging systems. Among these, displays are poised to dominate due to the rising adoption of AR/VR headsets, smartphones with microLED displays, and holographic technologies. Optical communication, on the other hand, is gaining ground rapidly due to its essential role in high-speed internet and data center expansion.

From the end-user perspective, key sectors include telecommunications, healthcare, consumer electronics, aerospace & defense, and industrial manufacturing. The healthcare industry is witnessing a surge in photonics applications, especially in diagnostic imaging, wearable biosensors, and laser-based surgical equipment. Meanwhile, defense and aerospace industries are integrating photonics in LiDAR systems, night-vision tools, and secure communication infrastructure, further expanding the market's footprint.

Regional Insights

The Western U.S. is projected to lead the market due to the presence of key semiconductor hubs in California and Arizona. This region houses research institutions and startups actively working on photonic integrated circuits and quantum computing components. Government funding under the CHIPS and Science Act is also helping foster innovation in this region.

The Midwestern and Northeastern U.S. are also emerging as important contributors. These regions benefit from strong university-industry collaborations and federal laboratories that are pushing the envelope in photonics research and commercialization.

Market Drivers

One of the primary market drivers is the growing demand for high-speed internet and data transmission, especially with the rollout of 5G and increasing cloud adoption. Photonics enables faster, more efficient data movement through fiber-optic cables and optical transceivers. In healthcare, digital transformation and telemedicine adoption are boosting demand for infrared-based diagnostic tools and biosensors. Additionally, federal initiatives such as the National Quantum Initiative are fostering long-term photonics infrastructure development.

Read More for U.S. Photonics Market: https://www.persistencemarketresearch.com/market-research/us-photonics-market.asp

Market Restraints

Despite its growth potential, the photonics industry faces several restraints. High production costs and technological complexity involved in fabricating photonic components often hinder widespread adoption. Moreover, the lack of standardized design tools for photonic ICs and a skilled workforce shortage can create bottlenecks. Regulatory hurdles and long commercialization cycles for medical and defense applications also slow market acceleration.

Market Opportunities

The market presents numerous untapped opportunities, particularly in quantum communication, edge computing, and AI-driven vision systems. Startups and tech giants alike are exploring on-chip photonics to reduce energy consumption and enhance performance. Additionally, increasing interest in photonic biosensors for wearable health monitoring devices and the integration of LiDAR in autonomous vehicles promise new revenue streams for industry stakeholders.

🔎 Frequently Asked Questions (FAQs)

How Big is the U.S. Photonics Market in 2025?
Who are the Key Players in the U.S. Photonics Market?
What is the Projected Growth Rate of the Photonics Market from 2025 to 2032?
What is the Forecast Value of the U.S. Photonics Market by 2032?
Which Region is Estimated to Dominate the U.S. Photonics Industry through 2032?

🏢 Company Insights

The U.S. photonics market is highly competitive, with major players investing heavily in R&D to maintain technological leadership. Key players operating in the market include:

1. Intel Corporation
2. Rockley Photonics
3. II-VI Incorporated
4. Synopsys Inc.
5. Lumentum Holdings Inc.
6. NeoPhotonics Corporation
7. Finisar Corporation
8. Infinera Corporation
9. Thorlabs, Inc.
10. Hamamatsu Photonics K.K.

Do You Have Any Query Or Specific Requirement? Request Customization of Report: https://www.persistencemarketresearch.com/request-customization/35446

Recent Developments:

• Rockley Photonics recently announced advancements in its biosensing platform, enabling next-generation wearable health monitors that utilize infrared spectroscopy for real-time diagnostics.

• Intel has ramped up investment in its silicon photonics unit, focusing on scaling up on-chip optical interconnects for high-performance computing and AI workloads.

Final Thoughts

As digital transformation reshapes industries, photonics is emerging as a foundational technology for the next wave of innovation in the United States. From revolutionizing communication networks to advancing medical diagnostics and supporting national defense, photonics is a high-impact field brimming with opportunities. With robust government backing, private sector R&D, and surging demand across verticals, the U.S. photonics market is on a fast track to becoming a global leader by 2032.

Industry stakeholders that invest in talent development, standardization, and scalable production will be best positioned to capitalize on this dynamic market. As photonics continues to blur the lines between light and data, the future shines brightly for innovators and investors alike.

About Persistence Market Research:

At Persistence Market Research, we specialize in creating research studies that serve as strategic tools for driving business growth. Established as a proprietary firm in 2012, we have evolved into a registered company in England and Wales in 2023 under the name Persistence Research & Consultancy Services Ltd. With a solid foundation, we have completed over 3600 custom and syndicate market research projects, and delivered more than 2700 projects for other leading market research companies' clients.

Our approach combines traditional market research methods with modern tools to offer comprehensive research solutions. With a decade of experience, we pride ourselves on deriving actionable insights from data to help businesses stay ahead of the competition. Our client base spans multinational corporations, leading consulting firms, investment funds, and government departments. A significant portion of our sales comes from repeat clients, a testament to the value and trust we've built over the years.

Contact Us:

Persistence Market Research
G04 Golden Mile House, Clayponds Lane
Brentford, London, TW8 0GU UK
USA Phone: +1 646-878-6329
UK Phone: +44 203-837-5656
Email: sales@persistencemarketresearch.com
Web: https://www.persistencemarketresearch.com

This release was published on openPR.

Permanent link to this press release:

Copy
Please set a link in the press area of your homepage to this press release on openPR. openPR disclaims liability for any content contained in this release.

You can edit or delete your press release U.S. Photonics Market Poised for Growth with CAGR of 4.5% Through 2032 | Persistence Market Research here

News-ID: 4132715 • Views: …

More Releases from Persistence Market Research

Plastic Liner Market to Reach US$ 6.67 Bn by 2030, Expanding at 4.7% CAGR - Persistence Market Research
Plastic Liner Market to Reach US$ 6.67 Bn by 2030, Expanding at 4.7% CAGR - Pers …
➤ Overview of the Market The global plastic liner market has gained steady traction across multiple industries due to its cost-effectiveness, versatility, and protective characteristics. Plastic liners are widely used in agriculture, mining, construction, waste management, and packaging industries, where they serve as an essential barrier to prevent leakage, contamination, and material loss. These liners are manufactured using materials such as polyethylene (PE), polypropylene (PP), and PVC, offering superior resistance to…
Returnable Plastic Crate Market to Reach US$ 2,665.1 Million by 2030 Fueled by Sustainability and Supply Chain Efficiency
Returnable Plastic Crate Market to Reach US$ 2,665.1 Million by 2030 Fueled by S …
➤ Overview of the Market The global returnable plastic crate market is gaining momentum as industries seek cost-effective and sustainable packaging solutions. These crates are widely used for transporting and storing perishable goods, beverages, pharmaceuticals, and industrial products due to their durability, stackability, and reusability. The shift from single-use packaging to eco-friendly alternatives has accelerated the adoption of returnable plastic crates across sectors. The market, valued at US$ 1,820.0 million in…
US Thermal Power Market Expected to Reach US$ 251.9 Mn by 2031 with 2.4% CAGR Growth - Persistence Market Research
US Thermal Power Market Expected to Reach US$ 251.9 Mn by 2031 with 2.4% CAGR Gr …
➤Overview of the Market The US thermal power market plays a crucial role in the nation's energy mix, serving as a stable and reliable source of electricity despite the rise of renewables. Thermal power plants in the US rely primarily on coal, natural gas, and oil to generate electricity, with natural gas emerging as the dominant fuel source due to its affordability, efficiency, and lower carbon footprint compared to coal. According…
Europe Medical Plastic Market to Reach US$ 17 Bn by 2032 Driven by Rising Healthcare Demand
Europe Medical Plastic Market to Reach US$ 17 Bn by 2032 Driven by Rising Health …
➤Overview of the Market The Europe medical plastic market is undergoing robust growth, fueled by increasing demand for lightweight, durable, and cost-effective materials in the healthcare sector. Medical plastics are widely used in devices, surgical instruments, diagnostic tools, implants, and packaging due to their high biocompatibility, versatility, and resistance to sterilization methods. With healthcare systems across Europe investing heavily in modernization and patient safety, the adoption of medical-grade plastics has gained…

All 5 Releases


More Releases for Photonics

Photonics Market Report Analysis, Research Studies | 3SP Technologies S.A.S, Cor …
Photonics Industry Analysis, according DataM Intelligence. Although data provides an overview, the research explores the hidden aspects of the sector, breaking down its intricate dynamics, charting regional dominance, spotting demand patterns, and spotting prospective breakthroughs that could influence how businesses operate in the future. Will the Photonics market emerge as the sector's next great thing? To discover the answer, look at the Photonics market analysis and projections. In-depth insight of the…
Hollow Core Bragg Layered Fiber Market Industry Development - NKT Photonics, Pho …
Global Hollow Core Bragg Layered Fiber Market shows a quantitative fundamental market analysis to provide users with the most recent market dynamics, current market overview, and predicted market growth status for the forecast period of 2023-2029. The report provides a brief overview of the global Hollow Core Bragg Layered Fiber market globally to help build all existing as well as new market players with graphics, tables, pie charts based on…
Supercontinuum Laser Source Market 2023 | Futuristic Trends- NKT Photonics, Leuk …
The Supercontinuum Laser Source market research report delivers accurate data and innovative corporate analysis, helping organizations of all sizes make appropriate decisions. The Supercontinuum Laser Source report also incorporates the current and future global market outlook in the emerging and developed markets. Moreover, the report also investigates regions/countries expected to witness the fastest growth rates during the forecast period. The Supercontinuum Laser Source research report also provides insights of different…
Photonics Market 2022 Insights with Statistics and Growth Prediction – Coheren …
The "Photonics" Market report offers qualitative and quantitative insights and a detailed analysis of market size & growth rate for all possible segments in the market. The Global Photonics Industry presents a market overview, product details, classification, and market concentration. The report also provides an in-depth survey of key players in the market which is based on various competitive intelligence parameters like company profiles, product picture and specification, capacity, production,…
Mid-infrared Lasers Market Share, Growth, Trends, and Forecast 2018 - 2026: Hama …
The report analyzes and presents an overview on "Mid-infrared Lasers Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2018 - 2026" worldwide. Mid- infrared Lasers Market: Overview This comprehensive report by Transparency Market Research analyzes and forecasts the mid-infrared lasers market at the global and regional level. The report provides an analysis over the period 2016–2026, wherein 2018 to 2026 is the forecast period and the base year is…
Mid-infrared Lasers Market: Key Players - Hamamatsu Photonics ,IPG Photonics ,Ph …
This report researches the worldwide Mid-infrared Lasers market size (value, capacity, production and consumption) in key regions like North America, Europe, Asia Pacific (China, Japan) and other regions. This study categorizes the global Mid-infrared Lasers breakdown data by manufacturers, region, type and application, also analyzes the market status, market share, growth rate, future trends, market drivers, opportunities and challenges, risks and entry barriers, sales channels, distributors and Porter's Five Forces Analysis. Mid-infrared…