Power Over Ethernet Lighting Market Size & Share 2024 – 2032
Market Size by Component (Hardware, Software), by Wattage (Up To 25 Watts, Above 25 Watts), by End Use (Commercial, Industrial, Residential) & Forecast.
Report ID: GMI8169
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Published Date: February 2024
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Report Format: PDF
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Authors:
Suraj Gujar, Sandeep Ugale
Power Over Ethernet Lighting Market Size
Power Over Ethernet Lighting Market was valued at over USD 260 million in 2023 and is estimated to register a CAGR of over 19% between 2024 & 2032. Power Over Ethernet (PoE) lighting is a system that delivers electrical power and data through Ethernet cables to LED light fixtures, enabling centralized control, energy efficiency, and smart functionality for lighting systems while simplifying installation and maintenance processes.
Power Over Ethernet Lighting Market Key Takeaways
Market Size & Growth
Key Market Drivers
Challenges
The growing demand for smart and automated systems is driving the expansion of the Power Over Ethernet (PoE) lighting industry. PoE lighting integrates seamlessly with IoT devices and building automation systems, providing centralized control, scheduling, and energy management. Businesses are increasingly adopting PoE lighting owing to its ability to improve operational efficiency, enhance the user experience, and lower energy costs by providing intelligent lighting solutions tailored to specific needs and preferences. For instance, in June 2022, onsemi launched two complete system solutions, supporting the most widely used building automation network protocols - PoE and KNX.
The growing adoption of LED lighting is driving the expansion of the Power Over Ethernet (PoE) lighting market. PoE technology enhances LED lighting systems by offering a flexible, energy-efficient, and centralized power & control solution. As businesses switch to LED lighting for its energy-saving benefits, PoE systems' compatibility and scalability make them an appealing option, propelling the market forward as organizations seek cost-effective and sustainable lighting solutions.
Power delivery constraints impede the Power Over Ethernet (PoE) lighting market growth. PoE standards put limitations on power output per device and total power delivery, lowering the number of devices and brightness levels that can be achieved. These restrictions may affect the scalability and flexibility of PoE lighting installations, reducing their effectiveness in larger or more demanding applications and hampering market growth as businesses seek robust & adaptable lighting solutions.
Power Over Ethernet Lighting Market Trends
The increasing popularity of LED lighting owing to its energy efficiency and long lifespan is boosting the demand for PoE lighting solutions. The increasing number of smart and automated building systems has generated interest in PoE technology owing to its seamless compatibility with Internet of Things (IoT) devices and building management systems. Businesses seeking versatile lighting options are particularly drawn to PoE systems due to their adaptability and scalable features. Furthermore, the growing emphasis on sustainability and eco-friendly initiatives is increasing the appeal of PoE lighting owing to its ability to save energy. For instance, in November 2022, Analog Devices, Inc. announced the world’s first Single-pair Power over Ethernet (SPoE), Power Sourcing Equipment (PSE), and Power Device (PD) solutions to help customers increase the level of intelligence in smart buildings, enhance factory automation, and drive other applications at the edge of traditional networks. The offerings facilitate powered, last-mile connectivity for factory and building automation through real-time power management, telemetry, extremely low standby power consumption, and ease of installation.
The centralized control and data analytics capabilities of PoE lighting systems enable efficient management of energy consumption and improved user satisfaction. PoE technology's versatility in a variety of industries including commercial, healthcare, and education is driving wide adoption. Businesses are increasingly recognizing the benefits of upgrading their lighting infrastructure with PoE solutions to improve operational efficiency and meet the changing industrial needs.
Power Over Ethernet Lighting Market Analysis
Based on end use, the market is segmented into commercial, industrial, residential, and others. The commercial segment accounted for a market share of over 40% in 2023.
Based on component, the market is segmented into hardware and software. The hardware segment is estimated to register a significant CAGR of over 18.5% between 2024 to 2032.
North America held a significant share of over 30% in the global power over ethernet lighting market in 2023. The region's strong technological infrastructure and early adoption of smart building solutions foster a favorable environment for PoE lighting implementation. Rising investments in energy-efficient lighting solutions, combined with stringent regulations encouraging sustainability, are also propelling the adoption of PoE lighting systems. Furthermore, the presence of key market players and a rising awareness about the benefits of PoE technology will contribute to the PoE lighting market's expected growth in North America.
Power Over Ethernet Lighting Market Share
Cisco Systems, Inc. holds a significant share in the power over ethernet lighting industry. Cisco is a prominent player in networking and communication technology, providing PoE switches & solutions that support PoE lighting deployments in smart buildings and IoT environments.
Major players including Signify (formerly Philips Lighting), Cisco Systems, Inc., Current, powered by GE, and Cree, Inc. are also constantly implementing strategic measures, such as geographical expansion, acquisition, mergers, collaborations, partnerships, and product or service launches, to gain market shares.
Power Over Ethernet Lighting Market Companies
Major players operating in the power over ethernet lighting industry are:
Power Over Ethernet Lighting Industry News
The power over ethernet lighting market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million) from 2018 to 2032, for the following segments:
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Market, By Component
Market, By Wattage
Market, By End Use
The above information is provided for the following regions and countries:
Research methodology, data sources & validation process
This report draws on a structured research process built around direct industry conversations, proprietary modelling, and rigorous cross-validation and not just desk research.
Our 6-step research process
1. Research design & analyst oversight
At GMI, our research methodology is built on a foundation of human expertise, rigorous validation, and complete transparency. Every insight, trend analysis, and forecast in our reports is developed by experienced analysts who understand the nuances of your market.
Our approach integrates extensive primary research through direct engagement with industry participants and experts, complemented by comprehensive secondary research from verified global sources. We apply quantified impact analysis to deliver dependable forecasts, while maintaining complete traceability from original data sources to final insights.
2. Primary research
Primary research forms the backbone of our methodology, contributing nearly 80% to overall insights. It involves direct engagement with industry participants to ensure accuracy and depth in analysis. Our structured interview program covers regional and global markets, with inputs from C-suite executives, directors, and subject matter experts. These interactions provide strategic, operational, and technical perspectives, enabling well-rounded insights and reliable market forecasts.
3. Data mining & market analysis
Data mining is a key part of our research process, contributing nearly 20% to the overall methodology. It involves analysing market structure, identifying industry trends, and assessing macroeconomic factors through revenue share analysis of major players. Relevant data is collected from both paid and unpaid sources to build a reliable database. This information is then integrated to support primary research and market sizing, with validation from key stakeholders such as distributors, manufacturers, and associations.
4. Market sizing
Our market sizing is built on a bottom-up approach, starting with company revenue data gathered directly through primary interviews, alongside production volume figures from manufacturers and installation or deployment statistics. These inputs are then pieced together across regional markets to arrive at a global estimate that stays grounded in actual industry activity.
5. Forecast model & key assumptions
Every forecast includes explicit documentation of:
✓ Key growth drivers and their assumed impact
✓ Restraining factors and mitigation scenarios
✓ Regulatory assumptions and policy change risk
✓ Technology adoption curve parameter
✓ Macroeconomic assumptions (GDP growth, inflation, currency)
✓ Competitive dynamics and market entry/exit expectations
6. Validation & quality assurance
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Our triple-layer validation process ensures maximum data reliability:
✓ Statistical Validation
✓ Expert Validation
✓ Market Reality Check
Trust & credibility
Verified data sources
Trade publications
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Industry databases
Proprietary and third-party market databases
Regulatory filings
Government procurement records and policy documents
Academic research
University studies and specialist institution reports
Company reports
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Expert interviews
C-suite, procurement leads, and technical specialists
GMI archive
13,000+ published studies across 30+ industry verticals
Trade data
Import/export volumes, HS codes, and customs records
Parameters studied & evaluated
Every data point in this report is validated through primary interviews, true bottom-up modelling, and rigorous cross-checks. Read about our research process →