Broad Application Scope of Optoelectronics

Fuels its Popularity among End Users

Research PREVIEW for

Breakthrough Innovations in Optoelectronics

D62D-TI 2

The Full Analysis Features the Following Content

Topic Slide No.

1. Executive Summary 3

2. Innovation Landscape 8

a. Optoelectronics – an overview 9

b. Key focus areas in Optoelectronics – Innovation Hotspots 10

c. Wide Application Scope for Optoelectronics 11

d. Growth Drivers and Industry Challenges 12

3. Innovation Indicators 14

a. Funding Scenario 15

b. Patent Activity 17

c. Global Footprint 18

4. Market Implications of Key Innovations 18

5. Strategic Insights 28

a. Impact on Megatrends 29

b. Technology Convergence 30

c. Analyst Insights 31

6. The Frost & Sullivan Story 33

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Key Findings

Impact

IP Activity

Optoelectronics (which involves components that detect, source, or control

visible or invisible light for transmitting and receiving data) has been widely

adopted in various applications such as automation, imaging, consumer

electronics, and security and surveillance. The technology is expected to

grow in automotive applications. Optoelectronics devices enabled by different

materials are making inroads into this sector and are expected to be adopted

on a large scale.

The patent landscape is dominated by Samsung and Corning Optical

Communication LLC, followed by Lockheed Martin Corporation. Companies

are building a strong IP portfolio with patents related to advancements in

optoelectronics technologies. This is seen as one of the strategies employed

by the companies to maintain their competitive edge.

Funding

Government support programs play an important role in funding the research

and development activities that drive various innovations in optoelectronics.

Currently, funding is mainly focused on developing this technology to meet

the growing needs of customers and making devices more feasible for

integration into various consumer products.

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Key Findings (continued)

Breadth of Industries

Potential Points of

Convergence

Optoelectronics has been implemented in a large number of products in the

consumer electronics market. In the electronics arena, there has been prolific

adoption of image and infrared sensing. Cross industrial adoption of this

technology is also expanding.

In building automation, there has been an increase in the demand for

lighting. Optoelectronics is seen as a solution to address these growing user

needs. This technology has the potential to open up or expand the industrial,

automotive, commercial, and healthcare sectors, where it could be adopted

on a large scale.

Business

Implications

Breakthrough Innovations in the field of optoelectronics are enabling:

• Significant cost reduction of products that have traditionally been of high

cost.

• Advanced functional capabilities that enable development of next-

generation products in various markets.

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Optoelectronics–An OverviewO

verv

iew

Mark

et

Imp

act

Sig

nif

ican

ce

• An optoelectronic device is capable of converting an electrical signal into

optical signals or vice versa.

• The main functions of optoelectronics components are responding to optical

power, emitting or modifying optical power, and utilizing optical radiation for

internal operations. Optoelectronics helps to increase the efficiency of

electronic products.

• Optoelectronic sensors can be used for applications, such as image sensing,

ambient light detection and gas sensing. In the industrial segment, they can

be used for proximity sensing and color quality control, and in consumer

electronics for backlight control and display management and healthcare.

• Rising awareness of energy conservation will drive the adoption of

optoelectronic devices such as light-emitting diodes (LEDs) in lighting

applications. The LED lighting sub-segment is expected to have high

efficiency rates, longer lifespans, and enable superior brightness for LEDs.

• The market for optoelectronics is at a relatively mature stage and newer

applications, such as, ambient light sensing for building automation, and

image sensors for automobiles are expected to grow.

• The costs of raw materials and labor for manufacturing optoelectronics

products is expected to be stable.

• Major revenue is expected from the consumer electronics field that includes

LED backlit display devices, LED lighting solutions, mobile phones with

cameras, digital still cameras, and digital single-lens reflex (DSLR) cameras.

The automotive segment will be the key vertical market in which numerous

innovations will be witnessed.

• The green movement across the globe supported by various governments will

encourage the use of power-efficient optoelectronic products in electronic

devices.

• According to Frost & Sullivan’s analysis, the global optoelectronics market is

expected to reach approximately 28 billion dollars by the end of 2018.

Technology Maturity0

1

2 3

4

5

Technology Adoption0

1

2 3

4

5

6

Visible Light

Communication

Smart lighting,

Mobile Connectivity

Hazardous

Environments

Vehicle and

Transportation

Laser (excluding

LIDAR)

Defense

Medical

Industrial

Commercial

Gas detection

Proximity/Position

Sensing

LIDAR (Light

Detection and

Ranging)

Topographic

mapping for

industrial,

automotive, and

defense

Infrared Sensor

Night vision, missile

guidance systems hyper

spectral imaging, photo

bio modulation, gas

detectors, water

analysis, petroleum

exploration, temperature

sensing, proximity

sensing

Image Sensor

Iris scanning,

fingerprint scanning,

mobile phones

authentication,

passports, digital

cameras, medical

devices, automotive,

scientific, aerospace

Fiber Optics

Networking, defense,

automotive, data storage

equipment, sensing,

electronics, utilities

(temperature sensing,

current sensing), oil and

gas and imaging, data

transmission , harsh

environment

Application Landscape

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Drivers and Challenges–Snapshot

Driv

ers

Re

strain

ts

Denotes Long term Impact (7-9 Years)

Denotes Current Impact (1-3 Years)

Low-Power

Consumption

Source: Frost & Sullivan.

Low

Medium

High

Impact

Low

Medium

High

Broad

Application

Scope

Untapped

Materials

Developing

Economies

Lifetime

Economic

Compatibility

of MaterialsCost

Scalability

Design

Flexibility

D62D-TI 8

Interested in Full Access? Connect With Us

Ariel BrownCorporate Communications

(210) 247.2481

ariel.brown@frost.com

Research Authors

Sitanshu

Shastri

Industry Analyst

Technical

Insights

Sumit Kumar

Pal

Senior Research

Analyst

Technical

Insights

Kasthuri

Jagdeesan

Program Manager

Technical Insights

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D62D-TI 9

Global Perspective40+ Offices Monitoring for Opportunities and Challenges

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Industry ConvergenceComprehensive Industry Coverage Sparks Innovation Opportunities

Automotive&

Transportation

Aerospace & Defense Measurement &Instrumentation

Information &Communication Technologies

HealthcareEnvironment & BuildingTechnologies

Energy & PowerSystems

Chemicals, Materials& Food

Electronics &Security

Industrial Automation& Process Control

AutomotiveTransportation & Logistics

ConsumerTechnologies

Minerals & Mining