Photonic IC Market Gains Momentum with Advancements in Miniaturized and Energy-Efficient Devices | Intel Corporation, Cisco Systems, Inc., Infinera Corporation, Polariton Technologies AG

"Global Photonic IC Market reached US$ 3.2 Billion in 2023 and is expected to reach US$ 31.7 Billion by 2031, growing with a CAGR of 33.2% during the forecast period 2024-2031." As per DataM intelligence research report

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United States: Recent Industry Developments

✅ In July 2025, Uponor North America expanded its PEX pipe production capacity in Hutchinson, Minnesota.The $35 million upgrade adds advanced extrusion lines to meet demand in residential plumbing and radiant heating.Production is set to increase by 20% annually.

✅ In June 2025, Rehau Americas launched a PEX-based flexible piping solution for district heating applications.The system offers improved insulation and higher temperature resistance, targeting urban energy efficiency projects.

✅ In May 2025, SharkBite introduced its PEX ProCrimp System for faster, tool-free installation in commercial plumbing.The product aims to reduce labor time by 30% compared to traditional copper systems.

✅ In April 2025, Zurn Elkay Water Solutions partnered with Lowe's to expand retail distribution of its PEX plumbing kits.This move aims to capture the growing DIY home improvement market in the U.S.

Japan: Recent Industry Developments

✅ In July 2025, Sekisui Chemical Co. launched a high-durability PEX piping system for earthquake-resistant building infrastructure.It is engineered to withstand both temperature fluctuations and seismic stress.

✅ In June 2025, Daiken Corporation unveiled its PEX-based underfloor heating solution with improved thermal conductivity. The product is designed to integrate with energy-efficient heat pump systems.

✅ In May 2025, Kuraray Co. developed a PEX material with enhanced chemical resistance for industrial fluid transfer.Target markets include chemical plants and semiconductor manufacturing facilities.

✅ In April 2025, Asahi Kasei Homes incorporated PEX piping into its Hebel Haus eco-friendly housing series.The move supports Japan's push for long-lasting, low-maintenance building materials.

Photonic IC Market: Drivers

The photonic IC market is driven by the growing demand for high-speed data transmission and bandwidth-intensive applications in telecommunications, data centers, and cloud computing. Increasing adoption of optical communication networks and 5G infrastructure is fueling the need for compact, energy-efficient, and high-performance photonic components. Technological advancements in silicon photonics, integration techniques, and low-loss waveguides are improving performance, scalability, and cost-effectiveness. Rising demand for miniaturized optical sensors, LiDAR systems, and imaging solutions in automotive and healthcare sectors is expanding applications. The push for energy-efficient, high-speed, and low-latency systems is driving investment in next-generation photonic IC technologies.

Market growth is further supported by increasing R&D investments by semiconductor and technology companies to enhance integration, reduce manufacturing costs, and improve functionality. Strategic collaborations between photonics manufacturers, research institutions, and end-users are accelerating innovation and commercialization. Growing applications in AI, IoT, and autonomous vehicles are creating new demand for high-speed optical interconnects. Government initiatives and funding for advanced photonics and semiconductor research are promoting technology adoption. Continuous advancements in packaging, testing, and hybrid integration are enabling broader deployment of photonic ICs across multiple industries.

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Segment Covered in the Photonic IC Market:

➥ By Component: Optical Laser, Modulator, Detector, Transceivers, Attenuators, Others
➥ By Raw Material: Lithium Niobate, Indium Phosphide, Silica-on-Silicon, Gallium Arsenide, Silicon, Quantum Dots, Silicon-on-Insulator, Others
➥ By Integration: Hybrid, Monolithic, Module
➥ By Application: Optical Communications, Sensing, Optical Signal Processing, Bio Photonics
➥ By End-User: Telecommunications, Biomedical, Data Centres, Others

Strategic Players Driving the Photonic IC Market Forward:

Intel Corporation, Cisco Systems, Inc., Infinera Corporation, Polariton Technologies AG, teem photonics, Lumentum Holdings Inc., Luxtera, Inc., LIGENTEC SA, Acacia Communications, Inc., Kaiam Corporation and TCG Crest.

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