Nanophotonics Market Size - By Material, Application, End Use Industry Analysis, Share, Growth Forecast, 2025 - 2034

Nanophotonics Market Size

The global nanophotonics market was valued at USD 20.5 billion in 2024 and is estimated to grow at a CAGR of 16% to reach USD 88.8 billion by 2034. The expansion of the nanophotonics industry is attributed to factors such as increasing demand for high-speed data transmission, communication networks, energy efficiency, and quantum computing.
 

The increasing need for high-speed data transmission is fuelling the adoption of nanophotonics technologies. Nanophotonic materials such as plasmonic and silicon enable ultra-fast data transmission, which significantly increases bandwidth and reduces latency. 5G networks highly depend on high-speed optical communications where nanophotonics components such as plasmonic and PIC (photonic integrated circuits) play essential roles in enabling faster and more consistent data transmission.
 

The increasing demand for 5G networks is expected to drive the demand for the nanophotonic market. For instance, according to GSMA, in 2023 the number of 5G connections surpassed 1,500 million making it the growing fastest-growing network to date. This makes nanophotonics essential for 5G networks, fiber optics, communication, and data centers, hence driving the demand for the nanophotonics market.
 

Additionally, Nanophotonics is gaining high traction in consumer electronics applications. The demand for large bandwidth and energy-efficient devices is driving the adoption of nanophotonic components. Nanophotonics components are increasingly being used in electronics such as optic cables, wearables, smartphones, AR/VR headsets, tablets, and laptops which is driving the demand of nanophotonics. For instance, according to Statista, the revenue of global consumer electronics is expected to exceed USD 1 Trillion with a volume of 9 billion by 2029. This growth of consumer electronics is mainly driven by increasing smartphone penetration. Moreover, with the advancements driving down costs and integration into consumer products, nanophotonic technologies are primed for increased adoption across diverse sectors.
 

Companies should invest in the development of advanced plasmonic and PICs due to the increasing demand for high-speed data transmission. As 5G network is rapidly growing, nanophotonics will be demanded more to enable faster and reliable transmission. Moreover, companies can also make alliances through partnerships with telecom providers to provide customized solutions for 5G networks and fiber optics infrastructure.
 

Nanophotonics Market Trends

• One of the key trends significantly impacting the nanophotonics industry is the booming nanotechnology market as it is expected to be the next industrial revolution. Nanotechnology is the key enable of nanophotonics that are reshaping industries such as as healthcare, consumer electronics, energy and agriculture. The growing expertise of fusing nanotechnology and nanophotonics is becoming essential in several optical systems which is driving the growth of market. According to NLM (National Institutes of Health), the nanotechnology market exceeded USD 125 billion in 2024.
   
• Another significant trend is the emerging photonic medicine that is increasingly being used for detection, disease prevention, and treatment. Photonic medicine has an extremely fast rate of light modulation which recover diagnostic and medications in a single theragnostic procedure. The growth of the nanophotnics market is driven by the increasing use of photonic medicine due to advancements in biophotonics and precision medicine.
   
• Companies should focus on investing in biophotonics and precision medicine as photonic medicine is growing and its providing the significant opportunity for growth of nanophotonics market.
   
• Companies should focus on research and development of photonics devices for real time detection and specialized therapy. Moreover, they should collaborate with various healthcare and research companies to offer advanced nanophotonic components for early cancer diagnosis and customized treatments.
   
•   Another significant trend is the growing use of gold nanoparticles (AuNPs) due to its unique properties. Gold particles (AUNPs) play an essential role in nanophotonics owing to its plasmonic properties and capability to improve light interactions at a nanoscale. AuNPs are widely used in Surface-Enhanced Raman Spectroscopy (SERS) which is a nanophotonic-based analytical technique that enhances light-matter interactions in biosensing and chemical analysis. Moreover, AuNPs are also commonly used to boost the performance of optical devices by enhancing light absorption. Hence, the rising use of gold particles in SERS is expected to fuel the nanophotonics industry.
   
• Companies should focus on manufacturing AnNP-based products for SERS, biosensors and fiber optics. Companies can collaborate with biosensing players and labs to integrate AuNPs into detection systems and analytical equipment. Companies should also scale up the AuNPs production to meet the increasing demand of nanophotonics in various industries.
   

Nanophotonics Market Analysis

Based on material, the market is segmented into plasmonic, photonic crystals, nanotubes, nanoribbons, quantum dots, and others.
 

• The Quantum Dots (QDS) market accounted for USD 4.1 billion in 2023. Quantum Dots (QDs) have properties that are far superior to the corresponding materials in bulk form, such as high quantum efficiency, size-dependent tunable emission, and high sensitivity that are attributed to the growth of the market.
   
• The plasmonic market accounted for USD 3.2 billion in 2022. The plasmonic market is driven by increasing consumption in the healthcare sector. It is majorly used in diagnosing, imaging and photothermal therapy.  
   
• The Photonic Crystals market accounted for USD 2.8 billion in 2021. Photonic crystals are expected to grow owing to its ability to control light and enable efficient light transmission at nanoscale that creates new demand for various applications. Some leading applications are sensing, imaging and communication systems.
   
• The nanotubes market accounted for USD 2.9 billion in 2023. Nanotubes are commonly used in various type of detectors with broadband photodetector based on thin films of aligned carbon nanotubes. The detector shows good linearity from the visible to the mid-infrared, and because of the unique aligned nanotube material, it opens a new path for polarimetry
   
• The nanoribbons market accounted for USD 2.1 billion in 2022. The growth of nanoribbons is attributed to their exceptional properties and the rising demand of advanced materials. Moreover, nanoribbons are increasingly being used in batteries and supercapacitors owing to features such as high surface area, enhanced conductivity, and improved charge storage capabilities.
   

Based on applications, the nanophotonics market is divided into LED, OLED, near-field optics, photovoltaic cells, optical amplifiers, optical switches, and others.
 

• The LED market to accounted for 24.3% in 2024. The LED market is growing owing to energy efficiency, long lifespan, and environmental benefits. As the need for sustainable solutions is increasing, LED is expected to be increasingly adopted in general lighting, automotive headlights, displays, and signage driving the photonics demand.
   
• The OLED market accounted for 20.1% of the global market in 2024. OLED is witnessing an increase in adoption in displays in smartphones, TV, wearables, screens etc owing to their flexibility and higher contrast ratio.
   
• The near-field optics market accounted for 9.7% of the global market in 2024. The near-field optics market is driven by the need for higher-resolution imaging. It is also advancing optical storage devices, communications, and sensing technologies specifically for biomolecular detection and surface analysis.
   
• The photovoltaic cells market for 21.8% of the global nanophotonics market in 2024. The factors attributed to the growth of the market aretechnological strategies to control light collection and absorption in photovoltaic ultrathin film cells for both solar and indoor light harvesting.  The photovoltaic cells are expected to grow rapidly owing to the ongoing innovations in nanophotonics to improve efficiency, durability and scalability.
   
• The optical amplifiers market accounted for 8% of the global market in 2024.  The growth of optical amplifiers is attributed to factors such as expansion of data centers, advancements in erbium-doped and plasmonic optical amplifiers, growing use of optical amplifiers in LiDAR and imaging applications.
   
• The optical switches market is expected to accounted for 12.1% of the global market In 2024. Optical switches are one of the most important elements of integrated nanophotonics. These nanophotonic optical switches (NOSs) in silicon exhibit an ultra-compact footprint, along with excellent extinction ratios and operating bandwidths. For example, the device of dimensions 3umX3um and 0.3um height can provide about 10dB extinction ratio with a bandwidth of 12nm, centered at the design wavelength of 1550nm.
   

Based on end-use industry, the nanophotonics market is segmented into telecommunication, consumer electronics, energy, aerospace & defense, healthcare, others.
 

• The telecommunication market dominated the market accounting for USD 7.4 billion in 2024. The market is enabling a new generation of technologies that promise to transform data transmission, increase bandwidth, and improve the efficiency of communication networks. These advancements are essential as the demand for faster, more reliable, and higher-capacity communication systems continues to grow, driven by innovations like 5G, the Internet of Things (IoT), and the increasing reliance on cloud services and big data.
   
• The consumer electronics market accounted for USD 4billion in 2023. To improve device performance and lower energy consumption, the consumer electronics industry is increasing the adoption of nanophotonics. The growing integration of quantum dots and photonic crystals in OLED and microLED displays for higher brightness and improved accuracy of the color in electronics are driving the demand of nanophotonics market.
   
• The energy market accounted for USD 1.7 billion in 2022. Nanophotonic structures and materials enable precise control and manipulation of light at the nanoscale, thereby leading to improved light absorption and charge-carrier generation in solar cells. For example, the integration of plasmonic nanoparticles or nanostructured surfaces in solar cell designs enhances light-trapping and results in increased solar absorption and higher power-conversion efficiencies. As a result, these factors drives the demand of market.
   
• The aerospace & defence market accounted for USD 1.6 billion in 2023. One of the growing trend of nanotechnology inthe defense industry is the rising production of a new class of weaponry such as Nano-weaponry. DARPA, the Defense Advanced Research Products Agency, is working on projects to bring these weapons to the battlefield. These weapons could all be linked via a mobile command-and-control interface. Additionally, the growing use of nanophotonic based LiDAR and hyperspectral imaging in military drones, aircrafts, and space systems are driving the nanophotonics market owing to the factors to improve surveillance, target detection, and autonomous navigation.
   
• The healthcare market accounted for USD 2.6 billion in 2022. The field of nano-optics has influenced a broad spectrum of applications in healthcare applications such as treatment methods that create a demand for automated and targeted technologies for diagnosis and imaging. Additionally, the principles of nanophotonics have also been applied to cancer therapy owing to its ability to absorb near-infrared radiation as well as efficient light to heat conversion. As a result, the market is witnessing rapid growth owing to Surface-enhanced Raman spectroscopy (SERS) and plasmonic biosensors that enable disease detection, early-stage cancer detection, and disease monitoring.
   

In 2024, North America accounted for the largest share of 35.8% of the global nanophotonics market. North America leads the market due to research activities and technological advancements.
 

• In 2024, the U.S. nanophotonics industry accounted for USD 5.9 billion. United States market is likely to be driven by the growing emphasis on the development of the gold nanoparticles. It is widely used in Surface-Enhanced Raman Spectroscopy (SERS) which helps in biosensing and chemical analysis. For instance, according to statistics, In the United States, gold nanoparticles are forecasted to reach USD 1.5 billion in 2025, a significant growth from the 2014 market value which was USD 314.4 million.
   
• The Canada market is expected to reach USD 5.5 billion by 2034. The market for Canada nanophotonics is driven by factors such as customer preferences which are shifting towards more advanced and energy-efficient optoelectronic devices, driving the demand for nanophotonic particles. Additionally, local special circumstances and underlying macroeconomic factors are also contributing to the growth of the market.
   

In 2024, Europe accounted for 24.5% of global nanophotonics market. Factors supporting growth of nanophotonics in Europe are strong presence of IoT, international excellence in research & development, development of photonics-based technologies, etc.
 

• The Germany market is expected to reach USD 7.2 billion by 2034. The growth of nanophotonics in Germany is attributed to the new strategy which the German government has launched that aimed at stimulating the application potential of nanotechnology for Germany's most important industries that includes automobile, optics, electronics, and healthcare. Additionally, nanotechnology solutions are becoming the part and parcel of automobile construction, and they are vital for maintaining competitiveness. 'NanoMobil' therefore aims to give Germany the competitive edge by supporting research and development (R&D) projects for the automobile industry and its suppliers.
   
• The UK nanophotonics market is expected to grow at a CAGR of 17.1% during the forecast period. According to Nanophotonics & Metamaterials, Optoelectronics Research Centre, , The Nanophotonics & Metamaterials group will be part of a £13M EPSRC Hub on Advanced Metrology for Sustainable Manufacturing. The Hub will involve partners across UK academia, National Institutes, and various Industries. It will develop ground-breaking measurement technologies, harnessing the latest research in areas such as nanophotonic metamaterials and quantum sensors, to improve resource efficiency and productivity across sectors that rely on precision manufacturing.
   
• France market is expected to grow at a CAGR of 14.8% from 2025 to 2034. France has a strong presence of IoT by enabling high-speed, low-power, and miniaturized optical communication and sensing technologies. Internet of Things (IoT) describes a network of physical and virtual devices that can communicate autonomously using the Internet Protocol (IP). The nanophotonic market in France is defined by revenues generated specifically from components and services that enable connectivity and intelligence.
   
• Italy nanophotonics market is expected to reach USD 1.2 billion by 2034. Italy is home to several networks and organizations dedicated to exploring and promoting nanoscience. Italy has universities that provide educational and research opportunities in nanotechnology which encompasses nanophotonics as one of its subfields. For instance, Veneto Nanotech is part of Foscari University of Venice. This research center was established with the aim to promote the application of nanotechnology, to build international excellence in research, and to support the development of start-up ventures in this sector.
   
• Spain market is projected to reach USD 298.9 million by 2024. The growth of nanophotonics in Spain is attributed to the increasing development of photonics-based technologies like quantum and nano-optics institutes such as ICFO and CIC nanoGune are helping to bridge the gap between theoretical research and industry in Spain.
   

In 2024, Asia Pacific accounted for a share of 22.1% of global nanophotonics market. Growing demand for optophotonics in various industries, including healthcare, automotive, and telecommunications, medical technology are supporting the market growth in the region.
 

• The China market is expected to grow at a CAGR of 18.3% during the forecast period. China is one of the countries that have invested heavily in nanotechnology.  The country also launched a strategic pioneering programme on nanotechnology, which has a budget of one billion yuan (US$152 million) over a year and is led by the Chinese Academy of Sciences (CAS) in Beijing. The China's total investment in nanotechnology is estimated to be more than US$1 billion in the past 15 years.
   
• Japan is accounted for a share of 16.8% in 2024 in Asia Pacific. This Focal Point highlights exciting Japanese contributions to the nanophotonic revolution. They range from harnessing material informatics for improving vehicle components to a compact gas sensor capable of detecting multiple gases in mere seconds.
   
• South Korea nanophotonics market is expected to grow at a CAGR of 14.9% during the forecast period. The growth of nanophotonics in Spain is attributed to the development of the medical technology sector in South Korea. The country has a strong focus on research and development, with significant investments being made in the healthcare and biotechnology sectors. This has resulted in the emergence of numerous startups and companies specializing in medical technology innovation. The businesses are constantly introducing new and improved products to the market, driving competition and pushing the boundaries of nanophotonics in South Korea.
   
• Nanophotonics market in India is expected to grow at a highest CAGR of 19.7% during the forecast period. Nanophotonics and Metamaterials represent the broad N &M landscape in India. Nano-optics and nanophotonics encompass a broad range of research areas focused on manipulating and controlling light at the nanoscale, specifically in the visible and near-visible wavelength range. However, the scope of nano-optics can extend into higher wavelengths, reaching the microwave frequencies.
   
• The market in ANZ is expected to grow at a CAGR of 15.8% during the forecast period. Customer preference in ANZ has shown a strong preference for optophotonic products that offer high performance and energy efficiency. They are increasingly looking for products that can enhance their daily lives and provide convenience. Additionally, there is a also a growing demand for optophotonics in various industries, including healthcare, automotive, and telecommunications.
   

In 2024, Latin America accounted for a share of 9.4% of the global nanophotonics market. The high adoption of optophotonic components and government initiatives and policies is a major factor growth of nanophotonics in the region.
 

• Brazil market is expected to grow at a CAGR of 15.3% during the forecast period. The growth of market in Brazil is attributed to the growth of rapid expansion of its telecommunications infrastructure, leading to a higher demand for optophotonic components such as optical fibers and laser diodes. Additionally, the automotive industry in Brazil is embracing optophotonic for applications such as advanced driver assistance systems (ADAS) and LED lighting.
   
• Mexico market is expected to grow at a CAGR of 14.2% during the forecast period. The growth of ambient light market in Mexico is attributed to government initiatives and policies which are aimed at promoting the adoption of renewable energy sources and energy-efficient technologies have provided incentives for the development and deployment of optophotonic devices.
   

In 2024, Middle East and Africa accounted for a share of 8.2% of global nanophotonics market. The increased push towards sustainability and energy efficiency and automation in public infrastructure are major factors driving market growth.
 

• In 2024, UAE accounted for 30.2% of the Middle East & Africa market. The growth of UAE market is driven by the increasing demand for energy worldwide as populations grow and economies develop. However, the mix of energy sources is expected to shift towards cleaner and more sustainable options, with renewable energy sources like solar, wind, and hydropower projected to continue growing rapidly. Saudi Arabia market is expected to grow at a CAGR of 14.7% during the forecast period. Saudi Arabia nanophotonics is driven by growing aerospace & defence industry. According to Statista, in July 2024, the military expenditure share of Saudi Arabia's GDP was about 7.1%. According to estimates, Saudi Arabia allocated around 75.8 billion U.S. to their military spending budget driving the market growth.
   
• South Africa market will reach USD 866.7 million by 2034 owing to the growing technological advancements in telecommunication industry. These advancements enable ever faster data transmission rates, both for landline and mobile phone sectors, and are considered one of the main drivers of digitalization. At the same time, voice and video calls using the internet are now replacing classic landlines and mobile phone speech technology systems which is driving the market growth in South Africa during the forecast period.
   

Nanophotonics Market Share

The nanophotonics industry is competitive and highly fragmented with the presence of established global players as well as local players and startups. The top 5 companies in the global market are Cree Inc., Samsung Electronics, OSRAM Opto Semiconductors GmbH, Lumentum Holdings Inc., and Intel Corporation, collectively accounting for a share of 28.7%. These companies are competing in the market and particularly focusing on analytical instrumentation, technological developments, etc. For instance, In February 2024, Bruker, a leading scientific instrument manufacturer, announced the acquisition of Nanophoton Corporation, a Japan-based provider of nanophotonics solutions. This strategic move aims to enhance Bruker's capabilities in analytical instrumentation, particularly in Raman microscopy, thereby expanding its portfolio in the nanophotonics field.
 

Cree Inc., Samsung Electronics, and OSRAM Opto Semiconductors GmbH are advancing nanophotonics by developing innovative optical technologies. They focus on high-efficiency LEDs, laser diodes, and micro-optics to improve data transfer, sensing, and imaging. Their solutions are used in fast optical communication, automotive lighting, medical imaging, and advanced displays. The market is growing due to the demand for energy-efficient and high-performance photonic components, driven by 5G, AI-powered data centers, and quantum computing. These companies are introducing advanced products like VCSELs, micro-LEDs, and silicon photonics to meet the need for faster and more efficient optical systems.
 

The nanophotonics market is advancing rapidly, driven by the demand for high-speed, energy-efficient optical communication. Innovations in photonics are enhancing data transmission, scalability, and efficiency, revolutionizing computing, cloud infrastructure, and telecom networks. December 2023, Intel Corporation and NewPhotonics Ltd announced a milestone achievement of the successful integration of Intel's new 224Gbps electrical SerDes design with NewPhotonics cutting-edge Photonics Engine, resulting in an end-to-end direct modulation electrical-to-optical link utilizing PAM4 modulation.
 

The market is evolving through strategic acquisitions, strengthening innovation and scalability in optical communication. As digital transformation accelerates, the demand for high-performance cloud and network infrastructure continues to drive growth, fostering advancements in high-speed photonics solutions. In August 2022, Lumentum Holdings Inc. announced that it had completed its previously announced acquisition of NeoPhotonics Corporation. This acquisition aims to attractive growth opportunities created by the digital transformation of work and life, which is driving relentless growth in the needed volumes and performance of cloud and network infrastructure.
 

Nanophotonics Market Companies

Notable companies in the nanophotonics industry are:

• Cree Inc.
• Samsung Electronics
• OSRAM Opto Semiconductors GmbH
• Lumentum Holdings Inc.
• Intel Corporation
   

Nanophotonics Industry News

• In June 2024, RTU developed Nanophotonics, a new research area that underpins modern and future communication technologies. It focuses on nanophotonics and nanostructured optoelectronics. Nanophotonics is a fundamental science, while optoelectronics is an applied science with wide applications in both classical telecommunications and future quantum communication systems. With this establishment of the laboratory, RTU aims to develop efficient and high speed communication, quantum, photonic microchip technologies.
   
• In April 2024, BU photonics center announced to construct a Nanophotonics lab, which is worth USD 1.5 million. The facility will enable engineers and developers from different industries and areas of specialization to integrate advances into nano photonics, nano biosystems and Nanoelectromechanical Systems (NEMS) into application-focused platforms. The lab will be available for joint product development partnerships with government agencies and corporations, as well as the center’s business accelerator companies.
   

This nanophotonics market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue (USD Million) from 2021 to 2034, for the following segments:

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Market, By Material

• Plasmonic
• Photonic crystals
• Nanotubes
• Nanoribbons
• Quantum dots
• Others

Market, By Application

• LED
• OLED
• Near field optics
• Photovoltaic cells
• Optical amplifiers
• Optical switches
• Others

Market, By End Use Industry

• Telecommunication
• Consumer electronics
• Energy
• Aerospace & defense
• Healthcare
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • UAE
  • Saudi Arabia
  • South Africa