According to the new market research report "Silicon Photonics Market by Component (Optical Waveguides, Optical Modulators, Photo Detectors, WDM, Lasers), Product (Transceivers, Active Optical Cables, Multiplexers, and Attenuators), Application, and Geography - Global Forecast to 2022", published by MarketsandMarkets, this market is expected to be worth USD 1,078.9 Million by 2022, at a CAGR of 22.1% between 2016 and 2022.
The major driver for the growth of the silicon photonics market is the increasing use in data communication applications.
High demand for active components and active optical cables expected to drive the silicon photonics market
The market for active components is expected to grow at the highest CAGR between 2016 and 2022. Active components include optical modulators, photo detectors, wavelength-division multiplexing filters, switches, and lasers integrated within a single device, providing a smaller form factor with the help of silicon photonics. The advancements in silicon photonics-based networking services would lead the silicon photonics market. The demand for the installation of silicon as an optical medium in photonics device for high-speed data transmission with low cost is growing. Therefore, the demand for active components in silicon photonics is high.
Data communication application expected to witness the highest growth between 2016 and 2022
The market for the data communication application is expected to grow at the highest CAGR between 2016 and 2022. The demand for high-speed data transfer in data centers is expected to boost the market for silicon photonics technology. In this application, silicon photonics enhances performance in terms of computation, communication, and measurement to fulfill the needs of consumers and enterprise cloud services. This would drive the growth of the Silicon Photonics Market for the data communication application.
APAC expected to hold the largest market share and witness high growth during the forecast period
The silicon photonics market in APAC is expected to grow at the highest CAGR between 2016 and 2022. The reason for this growth is adoption of new technologies, economic growth, and increasing use of cloud-based and networking services in the corporate world. The rapid increase in technological innovations and advanced communication systems are driving the demand for silicon photonics in China, Japan, India, and South Korea. Most of the developments in telecommunication and data communication applications are expected in this region. Therefore, the market in APAC is expected to grow rapidly during the forecast period.
The key players in the ecosystem of the silicon photonics market profiled in this report are Cisco Systems, Inc. (US), Intel Corporation (US), IBM Corporation (US), Mellanox Technologies, Ltd. (US, Israel), Hamamatsu Photonics K.K. (Japan), STMicroelectronics N.V. (Switzerland), Infinera Corporation (US), Finisar Corporation (US), Luxtera Inc. (US), DAS Photonics (Spain), and Aurrion Inc. (US).