Proximity Sensor Global Market Report 2024

The proximity sensor market size has grown strongly in recent years. It will grow from $4.85 billion in 2023 to $5.28 billion in 2024 at a compound annual growth rate (CAGR) of 8.7%. The expansion observed in the historic period can be ascribed to several key factors. These include an increased focus on safety and security measures, initiatives aimed at enhancing efficiency and productivity, advancements in miniaturization and integration technologies, the imperative for quality control and inspection processes, and the growing demand for consumer electronics. These factors collectively contributed to the growth and evolution of proximity sensors during the historic period.

The proximity sensor market size is expected to see strong growth in the next few years. It will grow to $7.23 billion in 2028 at a compound annual growth rate (CAGR) of 8.2%. Anticipated growth in the forecast period can be attributed to several key drivers. These include the proliferation of Internet of Things (IoT) and smart infrastructure projects, the emergence of autonomous vehicles and their associated sensor technologies, expanding applications in healthcare and biomedical fields, the drive for supply chain optimization across industries, ongoing urbanization efforts and the adoption of smart retail solutions, initiatives promoting energy efficiency, and the increasing demand for touchless interfaces in various sectors. Major trends expected in the forecast period encompass the rising adoption of non-contact sensing technologies, particularly in automotive applications, a surge in demand for proximity sensors in consumer electronics, integration with the Internet of Things (IoT) ecosystem, continued expansion of industrial automation leveraging proximity sensors, advancements in material science enhancing sensor sensitivity and accuracy, and the integration of proximity sensors with gesture recognition capabilities.

The anticipated surge in demand for automation is poised to drive the growth of the proximity sensor market in the foreseeable future. Automation, characterized by the utilization of technology, machinery, or systems to execute tasks or processes with minimal human intervention, is experiencing heightened demand across various industries. This demand is fueled by the increasing imperative for enhanced efficiency, safety, productivity, and energy efficiency. Proximity sensors play a pivotal role in enabling precise detection and measurement of objects without physical contact, thereby facilitating seamless automation processes. For instance, in October 2021, the International Federation of Robotics (IFR) reported a significant rise in global industrial robot sales, witnessing a 17% increase in 2021. Moreover, the integration of automation in the manufacturing sector has the potential to generate an additional $4.9 trillion annually by 2030. Hence, the burgeoning demand for automated solutions is a key driver propelling the expansion of the proximity sensor market.

Prominent entities operating within the proximity sensor arena are channeling their efforts towards the development of technologically innovative products, particularly high-resolution Time-of-Flight sensors featuring advanced 3D depth imaging capabilities, to sustain their market position. These sensors employ diverse principles to detect the presence or absence of objects within a specific range without physical contact. Companies are exploring the integration of these sensors with IoT (Internet of Things) technologies to enable remote monitoring and control of devices, while also leveraging AI-driven algorithms to enhance sensor accuracy and reliability. For instance, in February 2022, STMicroelectronics, a Switzerland-based technology company, unveiled a new family of high-resolution Time-of-Flight sensors capable of advanced 3D depth imaging for smartphones and other devices. This 4th generation of Flight Sense sensors offers a multi-zone ranging sensor capable of generating a 64-zone mini-depth map up to 4 meters. The integration of innovative proximity sensor technologies into IoT devices heralds a new era of enhanced accuracy and remote capabilities, reshaping the landscape of smart device interaction.

In August 2023, Allegro MicroSystems, a UK-based provider of sensor and power integrated circuits (ICs) and photonics, completed the acquisition of Crocus Technology for $250 million. This strategic acquisition bolsters Allegro's leading position in the magnetic sensing market and positions the company as a prominent TMR semiconductor entity. The acquisition is poised to deliver substantial combined value to the market, particularly in sectors such as e-mobility, clean energy, and automation. Crocus Technology, headquartered in the US, specializes in offering advanced tunnel magnetoresistance (TMR) sensor technology solutions, aligning with Allegro's strategic objectives for market expansion and technological advancement.

Major companies operating in the proximity sensor market report are Panasonic Corporation, Schneider Electric, Qualcomm Technologies Inc., Honeywell International Inc., Broadcom Inc., Hewlett Packard Enterprise Development LP, ST Microelectronics NV, NXP Semiconductors N.V., Delta Electronics Inc., Rockwell Automation, Omron Corporation, Keyence Corporation, Vishay Semiconductors, IFM Electronic GmbH, SICK AG, Semtech Corporation, Pepperl + Fuchs GmbH, Kaman Corporation, Balluff GmbH, Robert Bosch GmbH, Riko Opto-electronics Technology Co. Ltd., Fargo Controls, Lion Precision Inc., Hans Turck GmbH & Co. KG, Avago Technologies Inc.

North America was the largest region in the proximity sensors market in 2023. The regions covered in the proximity sensor market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the proximity sensor market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

A proximity sensor operates without physical contact, identifying the presence of an object through methods such as sound, light, infrared radiation, or electromagnetic fields. These sensors are compact and can be seamlessly integrated into confined spaces or incorporated within equipment, machinery, or electronic devices without increasing bulk or complexity.

The primary product types of proximity sensors include fixed distance proximity sensors and adjustable distance proximity sensors. Fixed distance proximity sensors have a predetermined sensing range that cannot be modified. These sensors utilize various technologies such as inductive, capacitive, magnetic, photoelectric, and ultrasonic, catering to diverse applications such as conveyor systems, assembly line automation, anti-aircraft warfare, parking sensor systems, and roller coasters. They find utility across industries including manufacturing, aerospace, energy, packaging, and others.

The proximity sensor market research report is one of a series of new reports that provides proximity sensor market statistics, including proximity sensor industry global market size, regional shares, competitors with a proximity sensor market share, detailed proximity sensor market segments, market trends and opportunities, and any further data you may need to thrive in the proximity sensor industry. This proximity sensor 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 proximity sensor market consists of sales of capacitive sensors, inductive sensors, photoelectric sensors, ultrasonic sensors, and magnetic sensors. 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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