Smart lighting consists of lighting systems that can remotely monitored to keep a tab on their energy consumption. This has emerged as a key area to help reduce global energy consumption, which has reached unsustainable levels. Since lighting systems don’t constitute a major portion of total energy consumption of any individual complex, this may seem like an unnecessary step. However, lighting systems are present in an overwhelming majority of households around the world, the potential cumulative impact of smart lighting systems rather more conspicuous.
The efficiency of LED smart lighting systems helps cut down on overall energy consumption. This also makes them scalable in operability; while the heat generated by incandescent lighting makes them unsuitable for large-scale operations, LED lighting is perfectly viable to be used for public as well as residential or industrial lighting purposes.
… Which Increases its Lifespan
LED lighting causes no structural damage to the lighting system during operation, which results in their lifespan being much higher than conventional lighting systems.
… Which Makes it Environmentally Viable
Since LED lighting doesn’t need to be replaced on a regular basis, manufacturing it is less harmful for the planet, since less units have to be manufactured per consumer relative to incandescent lighting. The latter also harms the environment in other ways: tungsten, used to produce the filaments in incandescent lighting, is a rare earth metal. It requires extensive mining activities for large-scale procurement. On the other hand, even though LED lighting can contain petroleum derivatives, it is less harmful to the environment than incandescent lighting.
… Which Makes it Profitable
Due to wide-ranging government support to smart lighting systems in the form of tax concessions and other financial incentives, LED systems have become highly profitable for major players in the smart lighting market, particularly in comparison to conventional lighting systems.
High Energy Efficiency, Wireless Connectivity Drive Demand for Smart Lighting
The prime drivers for the global smart lighting market are the high energy efficiency of LEDs, which have led to LEDs replacing incandescent lights in most application areas, and the wireless connectivity offered by the steady technological advancement in the field of the Internet of Things. These two factors have been crucial in driving the demand for smart lighting in street lighting, which is a rapidly growing application segment of the global smart lighting market.
Residential Sector to Show Steady Increase in Demand for Smart Lighting
Despite the dominance of the commercial and industrial sectors in the global smart lighting market, the demand for smart lighting from the residential sector is expected to exhibit robust growth in the coming years. The overall reduction in the cost of lighting due to the use of smart lighting is responsible for this. Outdoor lighting is another high-potential application area for smart lighting due to the growing use of smart grids in the developed world.
The share of the residential sector in the global smart lighting market is expected to reach 10.7% by 2020, while outdoor lighting is expected to account for 17.4% of the smart lighting market by 2020.
According to Transparency Market Research, the global smart lighting market is expected to more than double in value from 2013 to 2020 owing to the steady demand for energy-efficient lighting, rising from a market valuation of US$21 billion to US$56.62 billion at a CAGR of 15.9% from 2014 to 2020
Key players in the smart lighting market are Royal Phillips N.V. (Netherlands), Zumtobel Group AG (Austria), Acuity Brands, Inc. (U.S.), Encelium Technologies, Inc. (U.S.), Digital Lumens, Inc. (U.S.), Honeywell International Inc. (U.S.), Legrand SA (France), Osram Licht AG (Germany), Streetlight Vision (France) and Lutron Electronics, Company, Inc. (U.S.) among others.