Press release
Silicon Photonics Market to Reach $10.36 Bn by 2030, Driven by Data Center Upgrades, 5G Expansion, and Automotive LiDAR Adoption
Silicon Photonics Market
Silicon Photonics Market Overview
The global Silicon Photonics Market [https://www.mordorintelligence.com/industry-reports/silicon-photonics-market?utm_source=abnewswire] is projected to grow from USD 3.11 billion in 2025 to USD 10.36 billion by 2030, reflecting a strong CAGR of 27.21%. This growth is fueled by rising demand for high-speed optical interconnects, co-packaged optics in hyperscale data centers, and the increasing adoption of frequency-modulated continuous-wave (FMCW) LiDAR systems in automotive applications. Market dynamics are shaped by innovations in wafer fabrication, integration of active and passive optical components, and the expansion of data center and telecom infrastructure worldwide.
Key Trends in the Silicon Photonics Market
Energy-Efficient Co-Packaged Optics in Data Centers
Hyperscale data centers are increasingly adopting co-packaged optics to embed optical engines directly beside switch ASICs. This integration reduces electrical-optical conversions, cutting rack-level power consumption by up to 40%.
Low-Power Optical Interconnects and Carbon Reduction
Government mandates for energy-efficient data centers are accelerating the replacement of traditional copper interconnects with optical links. Silicon photonics modules consume significantly less power while maintaining high data rates, helping cloud providers meet carbon-neutral targets and comply with regional sustainability regulations.
5G Fronthaul and Backhaul Expansion
The rapid rollout of 5G networks is increasing demand for high-speed optical modules, particularly 400 G and 800 G solutions. Silicon photonics enables compact and power-efficient optical solutions for mid-haul and fronthaul networks, supporting dense fiber deployments and reducing footprint and energy cost per bit.
Automotive LiDAR Adoption
Automotive OEMs are integrating FMCW LiDAR systems based on silicon photonics to enhance detection range and resolution for Level-3 and above autonomous vehicles. This approach simplifies sensor design, reduces bill-of-material costs, and supports thermal resilience, broadening the Silicon Photonics Market beyond data center applications.
Check out more details and stay updated with the latest industry trends, including the Japanese version for localized insights: https://www.mordorintelligence.com/ja/industry-reports/silicon-photonics-market?utm_source=abnewswire
Silicon Photonics Market Segmentation
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By Product: Optical Transceivers, Optical Switches, Active Optical Cables, Silicon Photonic Sensors, Wafer-level Test Systems, Multiplexers/De-Multiplexers, Attenuators and Modulators, Others
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By Component: Active Components (Lasers, Modulators, Photodetectors), Passive Components (Waveguides, Filters, Couplers, Others)
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By Wafer Size: 300 mm, 200 mm, 150 mm and Below
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By Data Rate: Above 100 Gbps, 200 Gbps, 400 Gbps, 800 Gbps, Above 1.6 Tbps
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By Application: Data Centers and High-Performance Computing, Telecommunications, Automotive and Autonomous Vehicles, AR/VR and Consumer Electronics, Healthcare and Life Sciences, Defense and Aerospace, Quantum Computing, Other Applications
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By End-User: Hyperscale Cloud Providers, Telecom Operators, Automotive OEMs and Tier-1 Suppliers, Medical Device Manufacturers, Government and Defense Agencies, Research and Academic Institutions
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By Geography: North America, Europe, Asia-Pacific, South America, Middle East and Africa
Explore Our Full Library of Technology, Media and Telecom Research Industry Reports - https://www.mordorintelligence.com/market-analysis/technology-media-and-telecom?utm_source=abnewswire
Key Players in the Silicon Photonics Market
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Sicoya GMBH
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Intel Corporation
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Cisco Systems Inc.
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Lumentum Operations LLC
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Juniper Networks Inc.
Explore more insights on the silicon photonics market competitive landscape: https://www.mordorintelligence.com/industry-reports/silicon-photonics-market/companies?utm_source=abnewswire
Conclusion
The Silicon Photonics Market is poised for substantial growth over the forecast period, driven by data center upgrades, 5G expansion, and automotive LiDAR adoption. Increasing adoption of energy-efficient optical interconnects, growing hyperscale cloud investments, and strong government incentives are shaping the competitive landscape. While thermal management and packaging standardization remain challenges, ongoing research and ecosystem collaboration continue to enhance market potential.
For more insights on Silicon Photonics Market, please visit the Mordor Intelligence Page: https://www.mordorintelligence.com/industry-reports/silicon-photonics-market?utm_source=abnewswire
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