Lighting Market Report 2025: Key Innovations and Insights

The current lighting market is driven by major trends like light sensor, dynamic lighting, and light emitting diode. Additionally, the startups in the sector are working on integrating IoT and AI into lighting systems. Read along the report to explore the contribution of investors and the global situation of lighting systems.

The Lighting Market Report 2025 covers the current scenario of the sector in terms of yearly growth, employment, investor activities, startups, and major trends. It explores the current developments including human-centric lighting (HCL) that use technologies like tunable LED systems, circadian rhythm-based lighting, and high color rendering index (CRI) LEDs.

The market is also working on sustainable lighting solutions like ultra-efficient LED, solar-powered LEDs, and lighting made with biodegradable and recyclable materials.

Executive Summary: Lighting Market Report 2025

  • Industry Growth Overview: Our database records a yearly growth of 3.78%. There are 86 900+ companies in the sector along with 2400+ startups. According to Fortune Business Insights, the lighting market is estimated to go from USD 154.27 billion in 2024 to USD 367.88 billion in 2032. It constitutes a CAGR of 11.5% during the forecast period.
  • Manpower and Employment Pattern: The current employment in the lighting system sector is 4.9 million. Further, 190 200+ professionals joined the workforce last year.
  • Global Footprint: The top countries with maximum lighting system companies are the United States, the United Kingdom, India, China, and Germany. Top cities that contribute to the lighting system market include Shenzhen, New York City, London, Sydney, and Melbourne.
  • Grants and Patents: More than 34 200 applicants from the lighting system companies applied for 648 900+ patents. Additionally, the sector received 4000+ grants.
  • Investment landscape: The companies in the lighting system market conducted 12 400+ funding rounds. Each round raised over USD 39.7 million, which assisted more than 5300 companies. Over 7600 companies participated in the funding rounds.
  • Top Investors: Key investors in the lighting system market include the European Investment Bank, Instacart, Morgan Stanley, and more. These investors make a combined investment of over USD 6 billion in the market.
  • Startup Environment: Emerging startups with innovative technologies in the lighting market include InstaLighting (lighting as a solution), Autonomous IoT (IoT-based smart lighting), SolaNuggets (off-grid solar electrification solutions), Fluortronix (LED growth lights for plants), and B2 Labtech (AI-based human-centric lighting).

 

 

What Data is Used to Create This Lighting Market Report?

Based on the data provided by our Discovery Platform, we observe that the lighting system ranks among the top 5% in the following categories relative to all 20K topics in our database.

These categories provide a comprehensive overview of the market’s key metrics and inform the short-term future direction of the market.

  • News Coverage and Publications: The newspapers and media outlets published over 5500 articles about the lighting system sector last year.
  • Funding Rounds: The lighting system companies held over 12 400 funding rounds in the last year.
  • Manpower: Our database records over 4.9 million people employed in the lighting system field. More 190 200 professionals joined the domain last year.
  • Patents: The companies in the lighting system sector filed over 648 900 patents.
  • Grants: The lighting system sector received over 4000 grants.
  • Yearly Global Search Growth: As a result of growing public interest in the lighting system sector, it observed an increase in annual global search interest rate by 8.71%.

Methodology: How We Created This Lighting System Market Report

This report is based on proprietary data from our AI-powered Startus Insights Discovery Platform, which tracks 25 million companies and 20 000 technologies and trends globally, including detailed insights on approximately 5 million startups, scaleups, and tech companies. Leveraging this extensive database, we provide actionable insights on emerging technologies and market trends.

For this report, we focused on the evolution of lighting systems over the past 5 years, utilizing our platform’s trend intelligence feature. Key data points analyzed include:

  • Total Companies working on the trend
  • News Coverage and Annual Growth
  • Market Maturity and Patents
  • Global Search Volume & Growth
  • Funding Activity and Top Countries
  • Subtrends within lighting system sector

Our data is refreshed regularly, enabling trend comparisons for deeper insights into their relative impact and importance.

Additionally, we reviewed external resources to supplement our findings with broader market data and predictions, ensuring a reliable and comprehensive overview of the lighting system market.

Explore the Data-driven Lighting Market Report for 2025

The lighting system sector is growing rapidly as indicated by 86 900+ companies and 2400+ startups. According to data available on Discover Platform, the companies and startups employ 4.9 million people currently. More 190 200 people joined the workforce last year. The sector is growing at an annual rate of 3.78%.

According to Fortune Business Insights, the lighting market is estimated to go from USD 154.27 billion in 2024 to USD 367.88 billion in 2032. It constitutes a CAGR of 11.5% during the forecast period.  Additionally, one of the major developments in the lighting system that is improving the productivity and well-being of people is human-centric lighting.

 

 

Moreover, the solar lighting system market will witness a 15.20% compound annual growth rate (CAGR) between 2024 – 2034, which is a significant step towards sustainability.

Applicants from companies in the field filed 648 900+ patents and received over 4000 grants. The top countries leading the lighting system market are the United States, the United Kingdom, India, China, and Germany. Shenzhen, New York City, London, Sydney, and Melbourne are the top cities contributing to the lighting system sector.

A Snapshot of the Global Lighting System Market

The lighting system market is expanding steadily at an annual rate of 3.78%. There are more than 86 900 companies and 2400+ startups in the domain. Further, 1200+ startups are in early stage and 3500+ are either merged or acquired.

 

Lighting Market Report 2025 | StartUs Insights

 

More than 34 200 applicants filed over 648 900 patents. There is a 2.89% annual growth in the patent activities of the lighting system companies.

With 158 200+ patents, China is the top issuer of patents, closely followed by the USA with 155 150+ patents.

Explore the Funding Landscape of the Lighting System Market

With an average investment of USD 39.7 million in each funding round, the lighting systems sector draws a lot of financial backing. More than 7600 companies took part in 12 400+ funding rounds, which assisted more than 5300 companies.

Who is Investing in the Lighting System Market?

The top investors contributed USD 6.8 billion to the lighting market.

 

Lighting Market Report 2025 | StartUs Insights

 

Top Lighting System Innovations & Trends with the Discovery Platform

Discover the emerging trends in the lighting system market along with their firmographic details:

 

Lighting Market Report 2025 | StartUs Insights

 

  • The Light Sensor sector is growing at a rate of -0.28% annually. There are 13 400+ people working in 500+ companies. An additional 690+ professionals joined the workforce last year. Technologies like dynamic photodetector (DPD), AI-powered imaging sensors, quantum sensors, and more are advancing the light sensor domain.
  • The Dynamic Lighting sector is growing at an annual rate of 12.84% with 180+ companies working in the sector. 8800+ people are working in the domain and 420+ professionals joined last year. Adaptive circadian lighting is a major innovation in dynamic lighting that mimics natural light cycles throughout the day and adjusts the color temperature and brightness accordingly.
  • The Light Emitting Diode (LED) sector employs 417 300+ people and 15 200 more professionals joined the workforce last year. There are 1500+ companies in the sector and it is growing at an annual rate of -8.27%. IoT integrations and AI-driven control are driving improvements in the field. Further, the latest innovations include micro LEDs, quantum dot LEDs, human-centric lighting, color-optimized lighting, etc.

5 Top Examples from 2400+ Innovative Lighting System Startups

The five innovative startups showcased below are picked based on data including the trend they operate within and their relevance, founding year, funding status, and more. Book a demo to find promising startups, emerging trends, or industry data specific to your company’s needs and objectives.

InstaLighting offers Lighting as a Solution

German startup InstaLighting provides lighting-as-a-solution. The solutions consist of technology platform elements. The platform presents a modular block system for original equipment manufacturer (OEM) products. It also ensures uniform light quality along with flicker-free dimming.

The product includes a Downlight, suitable for energy-efficient renovations, and the outdoor spotlight OS4, which is powered by the technology platform. The lights are powered by LEDLUX, a modular and flexible system that enables different forms and types of LED lighting.

The LEDLUX lights provide long service life, a choice of light colors, flicker-free dimming, and compact lighting. The products are suitable for urban spaces, energy-efficient infrastructures, transport routes, gardens and landscapes, commercial buildings, and more.

Autonomous IoT manufactures IoT-based Smart Lighting

UK-based startup Autonomous IoT builds AIOT-S-M Mobile Tower, an IoT smart mobile tower suitable for power, communication, security, sensors, and lighting. The mobile tower is deployable at most locations. With an additional solar and battery bank, it is suitable for transporting to areas where there are no grid connections.

The tower is powered by a turbine or solar power and features an additional power backup. It uses WiFi 4G/5G , long-range wide area network (LoRaWAN), and precision time protocol (PTP) for communication. Further, there are passive Infrared (PIR) sensors, CCTV cameras with SD card storage, and LED lights for luminance.

The cloud-based smart portal Smart Hub manages camera and sensor data and features a dashboard for remote web management of the mobile tower. The portal enables user and administrative-level control and provides real-time carbon savings, alerts, remote configurations of system parameters, etc. The tower is suitable for smart housing, smart industries, cities, healthcare, transport, agriculture, and more.

SolaNuggets provides Off-Grid Solar Electrification Solutions

Uganda-based startup SolaNuggets builds renewable energy products. Solar lanterns are small portable solar home systems suitable for lighting, device charging, and more. Further, the startup manufactures solar panels which contain circular ribbons.

The layers in the panels contain transparent tempered glass, encapsulated material, photovoltaic solar cells, and an insulating back sheet. The solar panels are environmentally friendly and meet all standard certifications. The panels produce free electricity using the sun and assist in saving money.

Fluortronix develops LED Growth Lights for Plants

Indian startup Fluortronix builds ultraviolet light emitting diode (LED) lights, LED grow lights, and other scientific application lighting for indoor agriculture and horticulture.

The startup uses LED technology to build the lights, which ensures a consistent and controlled light environment for indoor agriculture. It is suitable for providing the correct spectrum of light for plants in a greenhouse or in a grow room, improving crop quality and yields.

 

 

The horticulture lighting provides photosynthetic photon flux (PPF) and yield per watt efficiency, and ensures uniform distribution of photosynthetically active radiation (PAR). The ultraviolet lighting is built without using mercury lighting and customized according to requirements.

The startup’s in-house R&D and the growing facility use high-quality materials to build LED lights, making them reliable, long-lasting, energy-efficient, and environmentally friendly.

B2 Labtech manufactures AI-based Human-Centric Lighting

Italian startup B2 Labtech builds an AI-powered human-centric light that uses IoT software and a proprietary intelligent adaptive algorithm. The software uses a proprietary AI model to set the intensity and color of LED by analyzing different data from integrated environmental sensors. This reduces the lighting stress caused by the gap between the intensity and color gap of the artificial lighting and sunlight.

The software is further integrated with customizable LED lighting devices, which are made of recycled materials and come with sound-absorbing capabilities for a better acoustic balance. These settings have positive effects on body function and human well-being.

It also improves hormonal functions, optimizes fatigue, and determines biological clock, and circadian rhythm. The startup uses green materials for construction and ensures low energy consumption. It further provides a VR simulation to let the customers know how the lighting looks in any space.

Gain Comprehensive Insights into Lighting System Trends, Startups, or Technologies

The lighting system report consolidates the market scenario of major trends like light sensors, dynamic lighting, and light-emitting diodes.

The lighting system market is led by the requirements of more human-centric lighting, which is customizable and sustainable. Further, the focus is on manufacturing lighting systems with biodegradable materials along with introducing features like user-friendliness, energy efficiency, and remote controllability.

The 2025 lighting system market report underscores the sector’s important role in supporting organizations to navigate complex regulatory frameworks while driving innovation and efficiency. As global markets evolve, the adoption of advanced technologies and data-driven approaches has become essential in addressing lighting market challenges and adding resilience.

Get in touch to explore all 2400+ startups and scaleups, as well as all market trends impacting 86 900+ companies.

 

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