Short Wave IR LED Market Analysis

Short Wave IR LED Market Analysis

With respect to application, the surveillance segment of short wave IR LED market accounted for an overall business share of over 40% in 2022. SWIR LEDs boast of superior imaging capabilities that allows them to even see through fog, smoke, and other atmospheric obscurants, making them suitable for outdoor surveillance applications for nighttime vision in the defense sector. Growing investments by world governments towards strengthening their defense and surveillance capabilities is likely to bolster the demand for short wave IR LEDs.
 

In fact, back in December 2022, the US government invested over USD 30.3 billion on national security programs in the Defense Nuclear Facilities Safety Board and Department of Energy.
 

Based on spectral range, short wave IR LED market share from 700nm-850nm segment is poised to grow at over 10% CAGR through 2023 and 2032. SWIR LEDs that fall under this spectral range are widely used in AR/VR systems, biometric systems, and facial as well as iris recognition systems in mobile devices. Prominently, this spectral range is extensively used in biometric systems that are deployed across the BFSI sector. Many global banking institutions are making strong investments towards biometric security to mitigate the risk of cyberattacks, favoring segment growth.
 

In fact, in September 2022, the Bank of America, upgraded the sign-in experience with biometrics for its CashPro. The move allowed the bank to help businesses access their payments easily.
 

North America short wave IR LED market was valued at over USD 100 million in 2022. Short wave IR LEDs offer high efficiency and power which makes them suitable for mass production. Surging need for low-power consumption technology in defense applications has spurred the adoption of SWIR LEDs in the region.
 

Regional expansion can also be credited to strong presence of industry players such as Marktech Optoelectronics, Kingbright, among others who are engaged in product innovations. In fact, in September 2021, Marktech Optoelectronics, a US-based manufacturer of SWIR LEDs, announced the launch of first-ever short wave infrared LEDs in a chip-scale package.