Thermal Imaging Market Size, By Technology (Cooled, Uncooled), By Product (Handheld / Portable Camera, Fixed / Mounted Core, Scopes & Vision Goggles), By Application, By End-use & Forecast, 2024 - 2032

Thermal Imaging Market Size

Thermal Imaging Market was valued at USD 12.03 billion in 2023 and is anticipated to register a CAGR of over 10.7% between 2024 and 2032. The global market has seen substantial growth in recent years, driven by technological advancements and expanding applications across various sectors.
 

Thermal imaging technology, which captures and processes infrared radiation to create images, is utilized in industries such as automotive, commercial, government and defense, healthcare and life sciences, industrial, and residential. The demand for surveillance and security systems has been a major driver for the thermal imaging market. With the rise in global security threats, both public and private sectors are investing heavily in advanced surveillance technologies. Thermal imaging cameras are crucial in this context as they provide superior imaging capabilities in low-light and no-light conditions, making them ideal for 24/7 surveillance.
 

For example, in December 2023, Teledyne FLIR has partnered with Eye on Cloud Tech to integrate its Lepton radiometric thermal camera module into a new series of early fire detection cameras. These cameras are designed to monitor critical infrastructure, including electric vehicle charging stations, by detecting elevated temperatures that could indicate a fire risk. This collaboration aims to enhance safety and enable quicker responses to potential fire hazards.
 

Technological advancements in thermal imaging have significantly contributed to market growth. Innovations such as higher resolution sensors, improved image processing algorithms, and integration with artificial intelligence (AI) and machine learning (ML) have enhanced the capabilities and applications of thermal imaging systems. For example, the development of high-resolution thermal cameras has enabled more precise and detailed imaging, which is crucial for applications in healthcare diagnostics and industrial inspections. AI and ML integration allows for real-time data analysis, pattern recognition, and predictive analytics, further expanding the utility of thermal imaging technology.
 

For instance, in June 2024, LightPath Technologies has recently introduced a new line of infrared cameras, named EdgeIR™, which are designed to be AI-ready. This development integrates the Hailo-8 AI Accelerator into all of LightPath's standard infrared cameras, enabling real-time AI inferencing directly at the camera level. This is a significant advancement as it allows users to seamlessly upload and run their own trained AI models or utilize pre-existing models like YOLOv5 for object detection and classification.
 

The high costs associated with thermal imaging devices are a significant barrier to their widespread adoption. Thermal imaging devices rely on sophisticated technology to detect and visualize infrared radiation. The development and manufacturing of these high-tech components, such as infrared sensors and lenses, are costly processes. These costs include not only the initial purchase price but also ongoing maintenance and operational expenses. High costs can slow down the rate at which thermal imaging devices are adopted across various sectors. Potential users may delay or forgo investment in thermal imaging technology due to budget constraints.
 

Thermal Imaging Market Trends

Miniaturization and cost reduction are key trends in the thermal imaging industry. Advances in microelectromechanical systems (MEMS) technology and economies of scale in production have led to smaller, more affordable thermal cameras. This shift has not only reduced costs but also opened new applications in consumer electronics.
 

Miniaturization means making devices smaller. In thermal imaging, this involves creating compact cameras that can be easily integrated into other devices like smartphones and wearable gadgets. Cost reduction involves lowering the price of these cameras, making them more accessible to a broader range of consumers and industries. Advances in MEMS technology have been crucial in achieving both miniaturization and cost reduction. MEMS technology allows us to produce tiny mechanical and electrical components, which can be used to build smaller and more efficient thermal cameras. For example, in October 2023, Senop, a subsidiary of Millog Oy, announced the development of a next-generation thermal imager module. This new module is more compact, energy-efficient, and versatile compared to their current offering. It features a reduced pixel size of 12 μm, down from the current 17 μm, while maintaining similar temperature sensitivity.
 

Thermal imaging technology is no longer limited to defense and security applications. It is now being used in a wide range of commercial sectors. For example, in agriculture, thermal imaging can monitor crop health by identifying temperature variations that might indicate issues like disease or pests. It also helps detect pests early, preventing infestations and crop damage. Additionally, thermal imaging aids in managing irrigation by showing which areas of a field need water, thus optimizing water use and improving crop yields. The USDA has noted that larger farms, especially those over 1,500 acres, are more likely to adopt such advanced technologies because they have the resources to invest in the necessary equipment and training.
 

Thermal Imaging Market Analysis

Based on technology, the market is segmented into cooled and uncooled. In 2023, the cooled segment accounted for the largest market share with over 55% of the market share.
 

• Cooled segment dominated the market, accounting for the largest market share. This dominance is primarily due to the superior image quality and sensitivity that cooled thermal imaging systems offer. These systems are essential in high-stakes applications such as military and aerospace, where precise and reliable imaging is crucial. The advanced cooling mechanisms in these systems enable them to detect minute temperature differences, providing clearer and more detailed images compared to uncooled systems. This capability is invaluable for tasks like missile guidance, surveillance, and space exploration, where even minor inaccuracies can have significant consequences.
   
• Moreover, recent advancements in cooling technologies and the integration of artificial intelligence (AI) have further boosted the performance and appeal of cooled thermal imaging systems. Innovative cooling solutions have enhanced the efficiency and durability of these systems, while AI integration has enabled real-time data processing and improved target recognition. These technological improvements have made cooled systems more effective and versatile, driving their adoption in various high-end applications.
   

Based on end-use, the market is divided into automotive, commercial, government & defense healthcare & life sciences, industrial, residential, and others. In 2023, the automotive segment was the fastest growing segment, growing at a CAGR of over 20%. The market value of the automotive segment is expected to reach over USD 3.5 billion by 2032 due to this significant growth rate.
 

• The automotive segment emerged as the fastest-growing sector in the thermal imaging market due to several key factors. The integration of thermal imaging technology in vehicles significantly enhances safety features. Advanced Driver Assistance Systems (ADAS) now include thermal cameras that improve visibility in low-light conditions, detect pedestrians, animals, and other obstacles, thereby reducing the risk of accidents. This technology is particularly beneficial for autonomous and semi-autonomous vehicles, where accurate environment sensing is crucial for safe operation.
   
• Additionally, the push towards electric and hybrid vehicles has accelerated the adoption of thermal imaging. These vehicles use thermal cameras for battery monitoring and thermal management to ensure optimal performance and safety. Thermal imaging helps detect overheating issues early, preventing potential failures and extending battery life.
   

In 2023, North America held the largest market share of over 33%. North America dominates the thermal imaging market due to its significant investment in defense and security. The region is home to several leading defense contractors and technology companies, such as Lockheed Martin, Raytheon, and FLIR Systems, which drive innovation and adoption of advanced thermal imaging technologies. North America's strong economic infrastructure and high level of industrialization support the widespread use of thermal imaging across various commercial sectors. Industries such as automotive, healthcare, and construction extensively use thermal imaging for quality control, predictive maintenance, and energy audits.
 

The U.S. government’s substantial defense budget and focus on modernizing military capabilities further propel the demand for high-end thermal imaging systems, especially for applications like surveillance, reconnaissance, and targeting. For example, For fiscal year 2024, the Department of Defense (DoD) has proposed a budget of USD 849.8 billion, which aims to enhance military readiness and address strategic competition. The budget emphasizes modernization across various military branches and technologies.
 

China is experiencing rapid growth in the thermal imaging market, driven by significant advancements in both military and commercial sectors. Recent developments include the Chinese government’s investment in enhancing border security and surveillance capabilities, which has led to increased procurement of thermal imaging systems. In 2024, China’s Ministry of Public Security announced a major upgrade to its border security infrastructure, incorporating state-of-the-art thermal cameras for improved monitoring. Additionally, the country's industrial and automotive sectors are adopting thermal imaging for quality control and preventive maintenance, reflecting China’s broader push towards high-tech manufacturing and infrastructure development.
 

Germany’s market is growing, supported by the country’s focus on industrial innovation and energy efficiency. German companies are leveraging thermal imaging technology for applications in manufacturing, automotive, and building management. Additionally, Germany’s emphasis on renewable energy has led to increased use of thermal imaging for monitoring solar panel performance and detecting energy losses. A notable development in January 2024 is the collaboration between Bosch Rexroth and Modine. This partnership aimed at enhancing thermal management for electrified off-highway machinery by integrating Modine's EVantage thermal management systems into Bosch Rexroth's eLION product portfolio, which is designed for electric vehicles in the off-highway sector.
 

Japan is advancing in the thermal imaging market, with significant applications in robotics and healthcare. The country’s technological prowess is reflected in its use of thermal imaging for precision engineering and medical diagnostics. Recent news highlights Japan’s launch of new thermal imaging systems by companies like NEC and Mitsubishi Electric, designed for use in robotics and advanced healthcare solutions.
 

South Korea’s thermal imaging industry is expanding due to its strong focus on technology and innovation. The South Korean government’s support for defense and smart infrastructure projects has driven the adoption of advanced thermal imaging solutions. In May 2024, South Korean company Hanwha launched the Bi-Spectrum AI Radiometry Thermal Camera lineup (TNM-C3620TDR, C3622TDR, C4940TDR, C4942TDR) which integrates visible and thermal imaging into a single device. The new thermal cameras from Hanwha offer precise temperature detection and monitoring capabilities, contributing to enhanced security, fire prevention, and facility management.
 

Thermal Imaging Market Share

FLIR Systems, Inc. and Raytheon Technologies holds a significant share of over 15% in the market. LONGi Green Energy Technology Co Ltd, GCL-Poly Energy Holdings Limited, and JA Solar Holdings, Co., Ltd., dominate the market with their extensive production capacities, advanced technological capabilities, and strong global distribution networks. These companies continually invest in research and development to improve the efficiency and cost-effectiveness of their products, ensuring they stay ahead of the competition. For example, LONGi’s focus on high-efficiency monocrystalline wafers has allowed it to maintain a competitive edge, while GCL-Poly leverages its vertically integrated operations to control costs and supply chains effectively.
 

Emerging players such as Seek Thermal Inc. and Opgal Optronic Industries Ltd. are also making significant strides by targeting specific market segments with specialized products. Seek Thermal is known for its consumer-friendly thermal cameras, which cater to personal and home inspection uses, while Opgal focuses on high-performance solutions for security and industrial applications.
 

Thermal Imaging Market Companies

Major players operating in the thermal imaging industry are:

• FLIR Systems, Inc.
• Raytheon Technologies
• Axis Communications AB
• Leonardo DRS
• BAE Systems
• Opgal Optronic Industries Ltd.
• Avon Protection Systems, Inc.
   

Thermal Imaging Industry News

• In February 2024, FLIR introduced the CM276 Professional Clamp Meter, which integrates thermal imaging capabilities with electrical measurement tools. This innovative device is designed for inspecting and troubleshooting electrical systems, including solar panels, pumps, and motors.
   
• In January 2024, Valeo and Teledyne FLIR announced a strategic collaboration to bring thermal imaging technology to the automotive industry for enhanced road safety. The two companies have already secured a major contract from a leading global automotive OEM to deliver new thermal imaging cameras as part of advanced driver-assist systems (ADAS).
   

The thermal imaging market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Billion & Units) from 2021 to 2032, for the following segments:

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Market, By Technology

• Cooled
• Uncooled

By Product

• Handheld / Portable Camera
• Fixed / Mounted Core
• Scopes & Vision Googles

By Application

• Detection & Measurement
• Monitoring & Inspection
• Personal Vision Systems
• Search & Rescue
• Security & Surveillance
• Others

By End-use

• Automotive
• Commercial
• Government & Defense
• Healthcare & Life Sciences
• Industrial
• Residential
• Others

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

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