The global plasma lighting market size was valued at USD 365.21 million in 2022 and is projected to reach USD 542.73 million by 2031, registering a CAGR of 4.5% during the forecast period (2023-2031). Increasing infrastructure-building activities in emerging economies are among the primary factors driving the plasma lighting market growth.
Plasma lighting is a revolutionary and energy-efficient lighting technology that is employed in a variety of applications. It produces Light using ionized gases, which has various advantages over typical lighting sources. Growing demand for energy-efficient lighting solutions and long-lasting illumination drive market expansion. Increased infrastructure development activities in developing economies, rising popularity and adoption of indoor farming systems equipped with plasma lighting around the world, shifting preference for plasma lighting over traditional lighting systems in marine applications, rising demand for LEP in large outdoor areas and high ceiling applications, and widespread adoption of LEP in greenhouses are expected to boost market growth during the forecast period.
Plasma lighting offers advantages such as long life, high-energy economy, better lumen maintenance, improved dimming performance, better color rendering, high light output, and a lower price when compared to LEDs, which are eventually boosting the Plasma lighting market share.
Plasma lighting is increasingly used for street lighting due to its exceptional energy economy. While traditional high-pressure sodium (HPS) or metal halide lamps are frequently utilized for street lighting, they are notorious for excessive energy consumption. Plasma lighting reduced energy consumption by 40% for street lighting. Furthermore, the city saved around USD 125,000 annually in energy costs by reducing energy consumption. The energy efficiency of plasma lighting technology is particularly useful in horticultural and agricultural applications. Indoor farming and greenhouses frequently require high lighting to stimulate plant development and maximum agricultural harvests.
Furthermore, plasma lighting offers significant energy savings compared to high-intensity discharge (HID) lighting sources like high-pressure sodium (HPS) or metal halide lamps. Traditional HPS lamps (usually 1000 watts apiece) were utilized as auxiliary illumination for crops. These HPS lights were replaced by 315-watt plasma lamps that produced a similar amount of Light but used far less electricity. The annual energy savings were expected to be more than 60%, resulting in significant cost savings for the greenhouse business.
According to a U.S. Department of Energy survey, plasma lighting can be 3-5 times more energy-efficient than standard lighting technologies such as incandescent, fluorescent, and HID. The United States Environmental Protection Agency (EPA) believes that replacing standard streetlights with energy-efficient illumination, such as plasma lighting, can save up to 65%. As a result, the plasma lighting market trend is predicted to thrive during the forecast period.
Plasma lighting technology can be costly, particularly during the first installation. Some consumers may find the expense of plasma lighting fixtures and accompanying equipment prohibitive. This can turn off potential clients, especially in applications with limited expenditures, such as local communities or businesses. Plasma lighting fixtures can be up to 30% more expensive than LED lighting fixtures. Regarding lighting, this cost difference might be a significant concern for end consumers.
A study by a major metropolitan region discovered that initial installation costs were the most important factor to consider when deciding between different energy-efficient lighting alternatives. The city chose LED lighting due to the reduced initial installation expenses. While plasma lighting provides long-term savings and energy efficiency, the initial outlay may be difficult for some potential consumers.
Global urbanization has resulted in the creation of smart cities and urban infrastructure. Plasma lighting technology, with its high energy efficiency and Light quality, has the potential to improve metropolitan surroundings significantly. Plasma lighting use in smart cities for street lighting, architectural illumination, and public places presents considerable growth prospects. As part of their smart city program, city officials in a big metropolitan area with a population of several million opted to retrofit their street lights. They have specific goals, such as lowering energy use, increasing safety, and improving the aesthetics of the urban environment. According to IDC, worldwide smart city spending is expected to reach USD 327 billion by 2022, showing a growing market for technologies that contribute to smarter and more efficient urban environments.
Furthermore, a McKinsey and Company study discovered that effective urban lighting can result in up to 50% energy savings, matching the goals of smart city efforts. Plasma lighting provides energy savings, lifespan, and smart integration features that align with urbanization and smart city development goals.
| Study Period | 2019-2031 | CAGR | 4.5% |
| Historical Period | 2019-2021 | Forecast Period | 2023-2031 |
| Base Year | 2022 | Base Year Market Size | USD 365.21 Million |
| Forecast Year | 2031 | Forecast Year Market Size | USD 542.73 Million |
| Largest Market | North America | Fastest Growing Market | Europe |
The global plasma lighting market analysis is conducted in North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.
North America is the most significant global plasma lighting market shareholder and is estimated to grow at a healthy CAGR over the forecast period. North America has the greatest market share due to the region's concentration of research laboratories. The government's push to encourage the adoption of technologies that deliver better illumination at a lower cost is projected to provide opportunities for plasma light providers in the region. The Department of Energy (DOE) says that in the United States, street lighting can account for up to 40% of a city's electricity budget. Cities may drastically reduce energy use and expenditures by shifting to energy-efficient technologies such as plasma lighting.
Furthermore, plasma lighting providers in the region are developing a wide range of products and expanding collaboration with other partners. For example, Ford Auto and Marine Dealership (Smithville, MO) replaced 400W HID light bulbs with 24 Plasma lamps to modernize their huge outdoor showroom with lighting that would display their products more effectively while saving energy. In addition, energy-efficiency rebates and incentives covered 65% of the renovation costs. Plasma lighting's energy economy, extended lifespan, and high-quality illumination make it a useful alternative for enhancing regional street lighting systems, contributing to energy savings and environmental goals.
Europe is anticipated to exhibit a healthy CAGR over the forecast period. The extensive usage of plasma lighting in greenhouses and warehouses across Europe has significantly raised the demand for plasma lights. This trend is predicted to continue until 2031, as more growers adopt this technology to meet the world's insatiable demand for fresh vegetables and fruits grown out of season.
Meanwhile, Europe continues to be one of the leading consumers of such lamps, owing to the high-quality standards demanded by European consumers and strict food safety rules. These circumstances have resulted in an extremely high demand for fresh vegetables produced under tight sanitary conditions. As a result, great emphasis has been placed on limiting light exposure and decreasing atmospheric pollution (e.g., HID gases) through clean technologies such as Plasma Lighting. Furthermore, regulators are frequently pressed to tighten food manufacturing standards to safeguard customers from hazardous infections. Indeed, numerous studies conducted by independent scientists demonstrate that plasma lights minimize atmospheric pollution and prevent contaminants such as bacteria and fungi from spreading within indoor agriculture.
The Asia-Pacific market for plasma lighting technology is dynamic and quickly expanding, according to the plasma lighting market insights. With its growing urbanization, infrastructure development, and emphasis on energy-efficient lighting solutions, Asia-Pacific presents a considerable opportunity for plasma lighting adoption in various applications. Singapore is recognized for its small land area and sought novel agricultural solutions. One of Singapore's major issues is a shortage of areas for traditional agriculture. As a result, vertical farming has gained popularity as an effective technique of crop cultivation.
Additionally, according to an International Energy Agency (IEA) report, energy consumption for lighting in Asia is anticipated to rise dramatically. In this context, energy-efficient lighting technologies such as plasma lighting provide a way to address energy consumption and operational expenses in lighting applications.
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The global plasma lighting market is segmented based on type, application, and region.
The market is further segmented by Type into Indoor, Outdoor, Light Pipe, and Pedestrian.
The indoor segment majorly influenced the market growth. The use of plasma lighting fixtures to illuminate inside places such as commercial buildings, industrial facilities, retail establishments, and residential areas is called indoor plasma lighting. These fixtures are intended for ideal indoor lighting and provide energy-efficient, high-quality illumination. Indoor plasma lighting can be used in various settings, including office spaces, manufacturing factories, retail showrooms, and residential dwellings. Its capacity to deliver high-quality, natural-looking Light can improve working conditions and visual comfort. The increasing demand for plasma lighting from the commercial and industrial sectors is driving the expansion of this segment.
The usage of plasma lighting fixtures for outside lighting applications such as street lighting, parking lots, architectural illumination, and public places is called outdoor plasma lighting. Outdoor plasma lighting is built to withstand extreme weather and deliver consistent illumination.
The market can be bifurcated by application into Industrial, transportation and infrastructure, sports and recreation, and horticulture.
The horticulture segment dominates the market. Plasma lighting is increasingly popular in horticultural and agricultural applications. It is utilized in controlled environment agriculture settings to promote plant development and maximize crop harvests. Plasma lighting is utilized in vertical farms, greenhouses, and indoor production facilities to give a full spectrum of photosynthesis-friendly Light. Compared to standard lighting solutions, it can help achieve higher crop yields, faster growth, and more energy efficiency. The increasing demand for plasma lighting from the commercial and industrial sectors is driving the expansion of this segment. Furthermore, plasma lighting is becoming more economical and accessible, encouraging its usage in horticulture.
In industrial environments where high-intensity, energy-efficient illumination is critical for safety, productivity, and quality control, plasma lighting is widely used. It may effectively illuminate manufacturing plants, warehouses, and industrial workstations. Plasma lighting is used in industrial operations for assembly line lighting, warehousing, and inspection. Its capacity to generate high-quality, uniform illumination is useful in many applications.
