Microdisplay Market Report 2025

The microdisplay market size has grown exponentially in recent years. It will grow from $1.73 billion in 2024 to $2.08 billion in 2025 at a compound annual growth rate (CAGR) of 20%. The growth in the historic period can be attributed to increased adoption in consumer electronics, increased demand in entertainment and gaming, automotive HUDs and AR displays, rise in virtual reality (VR) and augmented reality (AR), and reduction in manufacturing costs.

The microdisplay market size is expected to see rapid growth in the next few years. It will grow to $4.16 billion in 2029 at a compound annual growth rate (CAGR) of 18.9%. The growth in the forecast period can be attributed to 5g technology integration, the emergence of micro-led technology, healthcare industry expansion, increased use of IoT devices, and demand in aerospace and aviation. Major trends in the forecast period include advancements in holographic displays, sustainable display technologies, foldable and flexible displays, product innovations, and integration with biometric sensors.

The increasing adoption of microdisplays in the automotive sector is anticipated to drive the growth of the microdisplays market in the future. The automotive industry encompasses a wide range of organizations and firms involved in designing, developing, manufacturing, marketing, selling, and maintaining motor vehicles. Microdisplays offer advantages such as flexibility, low power consumption, high luminance and contrast, and high pixel density for automotive applications. For instance, in March 2024, the European Automobile Manufacturers Association (ACEA), a Belgium-based organization that tracks and reports on the automotive industry, noted that global car production reached approximately 76 million units in 2023, marking a notable 10.2% increase from the previous year. Consequently, the expanding automotive industry is driving demand for microdisplays.

The expanding military and defense sectors are expected to drive the growth of the microdisplays market in the future. The military is associated with the armed forces, while defense involves actions taken to protect against threats. Microdisplays are utilized in military applications to enhance situational awareness, improve targeting accuracy, and provide soldiers with a crucial tactical advantage. For example, in April 2024, the Stockholm International Peace Research Institute (SIPRI), a Sweden-based non-governmental organization, reported that global military spending reached $2.44 trillion in 2023, reflecting a 6.8% increase in real terms compared to 2022. Thus, the growth of the military and defense industries is driving the demand for microdisplays.

The prominent trend gaining traction in the microdisplay market is technological advancements, with major companies actively focusing on developing cutting-edge solutions to meet specific demands and maintain their competitive positions. An illustration of this trend is evident in the actions of Sony Semiconductor Solutions Corporation (SSS), a Japan-based company specializing in imaging and sensing solutions, including microdisplays. In August 2023, SSS introduced the ECX344A, a large-size, high-definition 1.3-type OLED Microdisplay featuring 4K resolution. This innovative OLED Microdisplay distinguishes itself by delivering 4K resolution on a 1.3-type large-size display, achieved through miniaturization processes developed by SSS during the creation of camera electronic viewfinders (EVFs). The proprietary pixel drive circuits contribute to smooth image quality, enhancing the sense of reality. The application focus of this new OLED Microdisplay is primarily on head-mounted displays for virtual reality (VR) and augmented reality (AR) applications.

Major players in the microdisplay market are actively engaging in strategic partnerships to strengthen their market positions. A strategic partnership involves a commercial collaboration between two or more businesses, typically formalized through one or more business contracts. As an example, in December 2023, Hon Hai Technology Group, a China-based electronics manufacturer and technology service provider, entered into a partnership with Poro Technologies Ltd., a US-based semiconductor technology company. This strategic collaboration combines Foxconn's patented technologies in semiconductor wafer manufacturing, packaging, IC drivers, module assembly, and system assembly with Porotech's leading innovations in PoroGaN MicroLEDon-Silicon (uLEDoS), Dynamic Pixel Tuning (DPT), and the GaN-on-Silicon platform.

In May 2023, Samsung Display Co. Ltd., a prominent South Korea-based electronics company, completed the acquisition of eMagin Inc. for a notable sum of $218 million. This strategic move allowed Samsung Display Co. Ltd. to significantly broaden its presence in the microdisplay market. By incorporating eMagin Inc., a leading US-based manufacturer specializing in active-matrix organic LED (AM-OLED) microdisplays on silicon, Samsung Display Co. Ltd. aimed to unlock the full potential of its next-generation microdisplay technology. The acquisition strategically positioned Samsung Display Co. Ltd. to leverage the resources and expertise brought by eMagin Inc., enabling the scaled production necessary to meet the demands of a growing market. This acquisition marked a pivotal step in Samsung Display Co. Ltd.'s strategic expansion within the microdisplay industry.

Major companies operating in the microdisplay market include Sony Semiconductor Solutions Corporation, Panasonic Corporation, Kopin Corporation, Toshiba Corporation, LG Display Co. Ltd, Sharp Corporation, Seiko Epson Corporation, AUO Corporation, Konica Minolta Inc., Himax Technologies Inc., CEA-Leti, WiseChip Semiconductor Inc., Microtips Technology LLC, MicroOLED SAS, Vuzix Corporation, HOLOEYE Photonics AG, Jasper Display Corp., Syndiant Inc., Jade Bird Display Ltd., Dresden Microdisplay GmbH, Fraunhofer FEP, Microvision Inc, Yunnan OLiGHTEK Opto-Electronic Technology Co. Ltd., Samsung Display Co. Ltd., Pixel Display Inc.

North America was the largest region in the microdisplay market in 2024. Asia-Pacific is expected to be the fastest-growing region in the microdisplay market report during the forecast period. The regions covered in the microdisplay market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the microdisplay market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Microdisplay technology is a compact and lightweight electronic display solution designed for seamless integration into a diverse range of devices, including head-mounted displays, virtual reality (VR) and augmented reality (AR) headsets, smart glasses, digital cameras, and portable projectors.

The primary product categories within the microdisplay market encompass near-to-eye (NTE) devices, head-up displays (HUDs), projectors, and other applications. Near-to-eye devices refer to wearable gadgets positioned in close proximity to the user's eyes, delivering visual information and immersive experiences. Brightness options are categorized as less than 500 nits, 500-1,000 nits, and more than 1,000 nits. Resolution choices span lower than HD (high definition), HD (high definition), FHD (full high definition), and higher than FHD (full high definition). Various technologies, including liquid crystal display (LCD), liquid crystal on silicon (LCOD), organic light-emitting diode (OLED), and digital light processing (DLP), are employed across different verticals such as consumer, automotive, industrial and enterprise, military, defense, aerospace, retail and hospitality, medical, education, sports and entertainment, and more.

The microdisplay market research report is one of a series of new reports that provides microdisplay market statistics, including microdisplay industry global market size, regional shares, competitors with a microdisplay market share, detailed microdisplay market segments, market trends, and opportunities, and any further data you may need to thrive in the microdisplay industry. This microdisplay market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The microdisplay market consists of sales of active-matrix liquid crystal displays and TFT (Thin-Film Transistor) microdisplays. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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