Smart Lighting Market Summary

The global smart lighting market was valued at USD 15.05 billion in 2022 and is projected to reach USD 72.35 billion by 2030, expanding at a compound annual growth rate (CAGR) of 22.1% from 2023 to 2030. This significant growth can be attributed to the increasing adoption of connected lighting systems that integrate with IoT platforms, enabling advanced features and enhanced user experiences in both commercial and residential environments.

The growing ability of lighting systems to connect with smart devices, including smartphones and tablets, has fueled their popularity. These intelligent lighting solutions allow users to control brightness levels, set schedules, adjust color tones, and monitor energy usage remotely. Connectivity options such as Wi-Fi, Bluetooth, SmartThings, Z-Wave, and ZigBee provide flexibility in operation and automation. Moreover, voice control integration with popular platforms such as Amazon Alexa, Google Assistant, Apple Siri, and Microsoft Cortana enhances convenience and user engagement.

These technological advancements are not only driving adoption in homes but also in offices, hospitality spaces, and public infrastructure projects, where customizable lighting contributes to energy efficiency, ambiance, and overall automation. The ability to monitor energy usage and reduce wastage makes smart lighting a crucial part of sustainable building strategies.

Key Market Trends & Insights

• In 2020, the hardware segment led the smart lighting market, accounting for a substantial revenue share of 9%. This dominance is due to the rising demand for smart bulbs, fixtures, switches, and control systems that serve as the physical foundation of smart lighting setups.
• By connectivity, the wired segment accounted for the largest revenue share of 2% in 2022. It is also expected to grow at the fastest CAGR of 21.8% during the forecast period. Wired systems offer higher reliability and stability compared to wireless systems, making them a preferred choice for large-scale commercial or industrial installations.
• Based on application, the indoor segment held the largest revenue share of 5% in 2022. This dominance is supported by widespread adoption in residential buildings, corporate offices, retail environments, and hospitality facilities, where lighting customization plays a pivotal role in aesthetics, comfort, and energy management.
• Regionally, Europe led the smart lighting market in 2022, accounting for the largest revenue share of 0%. The region’s leadership is underpinned by strong government regulations promoting energy efficiency, early adoption of smart home technologies, and robust investments in infrastructure modernization.
• The Asia Pacific region is projected to grow at the fastest CAGR of 24.0% during the forecast period. This growth is attributed to rapid urbanization, increasing smart city initiatives, rising middle-class income, and growing smartphone penetration across countries like China, India, and Southeast Asian nations.

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Market Size & Forecast

• 2022 Market Size: USD 15.05 Billion
• 2030 Projected Market Size: USD 72.35 Billion
• CAGR (2023-2030): 22.1%
• Europe: Largest market in 2022
• Asia Pacific: Fastest growing market

Key Companies & Market Share Insights

Major players in the smart lighting industry are focused on expanding their product portfolios and strengthening their market positions through product launches, acquisitions, and strategic partnerships. For example, in May 2023, Cyclone Lighting, a manufacturer of outdoor lighting solutions and a brand of Acuity Brands Lighting, Inc., introduced Elencia, a new high-performance luminaire. Elencia combines stylish, modern lantern design with advanced optical performance, making it an ideal option for contemporary outdoor lighting projects.

Key Players

• Acuity Brands Lighting, Inc.
• Signify Holding
• Honeywell International Inc.
• Itron Inc.
• IDEAL INDUSTRIES, INC.
• Häfele America Co.
• Wipro Lighting
• YEELIGHT.
• Sengled Optoelectronics Co., Ltd.
• Verizon
• Schneider Electric

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Conclusion

The smart lighting market is witnessing rapid expansion driven by the proliferation of IoT devices, increasing demand for energy-efficient solutions, and the integration of voice-controlled assistants. With enhanced functionalities like remote control, color customization, and real-time monitoring, smart lighting is becoming a cornerstone of intelligent homes and infrastructure. Growth is further fueled by regional investments in smart cities and sustainable technologies. As major players innovate and expand product lines, the market is poised for sustained momentum. The combination of convenience, energy savings, and automation ensures that smart lighting will continue to transform the future of residential, commercial, and urban environments.