The global silicon photonics market size is expected to reach USD 8.13 billion by 2030, according to a new report by Grand View Research, Inc. The market is anticipated to expand at a CAGR of 25.8% from 2023 to 2030. The rapid emergence of commercial and consumer electronics applications is anticipated to revolutionize the market over the forecast period. Key factors driving the growth include the increasing demand for high-speed data transfer and the need for energy-efficient communication systems. Silicon photonics offers advantages such as high bandwidth, low power consumption, compact size, and compatibility with existing semiconductor manufacturing processes.

Data centers have been a major driver for the adoption of silicon photonics due to their need for high-speed and energy-efficient interconnects. Silicon photonics enables faster and more efficient data transmission between servers and racks. Telecommunications is another key application area, where silicon photonics can enhance the performance of fiber-optic networks.

The IT and telecommunication application segment would dominate the sector in terms of market size over the forecast period. Silicon photonics devices find commercial applications in high-performance computers and data center applications. The growing importance of silicon photonics in the IT and telecom industry, enables high-speed data transmission, energy efficiency, scalability, and improved network performance. The adoption of silicon photonics in the sectors is driven by the increasing demand for advanced communication systems that can handle the growing data requirements of modern applications and technologies.

Gather more insights about the market drivers, restrains and growth of the Global Silicon Photonics Market

Small size and cost-effectiveness are the ideal features desired from silicon photonics, which is largely driving the growth of the silicon photonics industry. Vendors provide solutions across a wide range of industries, such as mobile broadband Internet access, high-performance computing, data center and enterprise networking, and metro and long-haul data communications, among many others.

The market is dominated by major players in the semiconductor industry, including Intel, Cisco, IBM, and Mellanox Technologies. However, there are also several start-ups and research organizations actively contributing to the advancement of silicon photonics technology. There is a continuous focus on improving the integration of various optical components on a single silicon chip. This integration includes lasers, modulators, photodetectors, and waveguides. Achieving higher levels of integration enables smaller form factors, lower costs, and improved performance of silicon photonics devices.

Silicon Photonics Market Report Highlights

·        The industry is projected to grow as the products would rapidly gain traction. This is attributed to the ability of products to be incorporated into different application areas, such as IT and telecommunication, consumer electronics, and commercial

·        The increasing demand for active optical cables, optical multiplexers, and optical attenuators provides numerous growth opportunities as they offer considerable options to attain low-cost economies

·        North America dominated the marketplace and is expected to account for the largest share of global revenue in 2030

·        The key industry participants include Cisco Systems Inc.; Finisar Corporation; Intel Corporation; Mellanox Technologies; and Molex Incorporated

Browse through Grand View Research's Semiconductors & Electronics Industry Research Reports.

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Silicon Photonics Market Segmentation

Grand View Research has segmented the global silicon photonics market based on component, product, application, and region:

Silicon Photonics Technology Component Outlook (Revenue in USD Million, 2017 - 2030)

·        Optical Waveguides

·        Optical Modulators

·        Photodetectors

·        Wavelength-Division Multiplexing (WDM) Filters

·        Laser

Silicon Photonics Technology Product Outlook (Revenue in USD Million, 2017 - 2030)

·        Transceivers

·        Active Optical Cables

·        Optical Multiplexers

·        Optical Attenuators

·        Others

Silicon Photonics Technology Application Outlook (Revenue in USD Million, 2017 - 2030)

·        IT & Telecommunications

·        Consumer Electronics

·        Healthcare & Life Sciences

·        Commercial

·        Defense and Security

·        Others

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