FSO and VLC/Li-Fi Global Market Report 2024

The FSO and VLC/Li-Fi market size has grown exponentially in recent years. It will grow from $3.89 billion in 2023 to $5.37 billion in 2024 at a compound annual growth rate (CAGR) of 38.1%. The historical growth can be attributed to increased urbanization, heightened concern over spectrum congestion, growth in energy-efficient technologies, increased investment in research and development, and the expanded utilization of wireless sensors.

The FSO and VLC/Li-Fi market size is expected to see exponential growth in the next few years. It will grow to $19.67 billion in 2028 at a compound annual growth rate (CAGR) of 38.3%. The anticipated growth in the forecast period can be attributed to the widespread expansion of 5G networks, increasing adoption of smart city initiatives, expansion of indoor wireless communication solutions, growing integration of Li-Fi technology in automotive applications, and the rising demand for wireless connectivity solutions. Key trends expected in the forecast period include the adoption of Internet of Things (IoT) technology, the proliferation of 5G networks, advancements in RF technology, and overall technological advancements in the field of wireless communication.

The rising need for fast wireless connectivity is expected to drive the growth of the FSO and VLC or Li-Fi market in the future. Fast wireless connectivity refers to data transmission at high speeds through wireless channels. This increasing demand can be attributed to various factors, such as the rising number of connected devices, the prevalence of bandwidth-intensive applications, and the widespread adoption of remote work practices. Fast wireless connectivity employs free space optics (FSO) for transmitting data through light beams in the open air, while visible light communication (VLC) or Li-Fi uses light-emitting diodes (LEDs) to transmit data through modulated light, offering efficient and secure wireless communication. For instance, in April 2023, according to 5G Americas, a US-based industry trade organization, there were 1.05 billion 5G wireless connections worldwide by the end of 2022, marking a 76% increase from the previous year. By the end of 2027, this number is projected to reach 5.9 billion. Hence, the growing demand for fast wireless connectivity is propelling the expansion of the FSO and VLC or Li-Fi market.

Major companies in the FSO and VLC or Li-Fi market are concentrating on developing advanced technological solutions, such as light antenna modules, to enhance communication efficiency. Light antenna modules are compact devices designed to facilitate wireless communication using light waves, commonly utilized in technologies such as LiFi and VLC. For instance, in February 2023, pureLiFi Ltd., a UK-based technology company, introduced Light Antenna ONE, a LiFi module designed for integration into hardware. This wireless communications antenna, smaller than a US dime, is set to lead LiFi integration into connected devices and smartphones on a large scale. It is optimized for performance, compactness, affordability, and production requirements, enabling smartphone and connected device manufacturers to seamlessly integrate LiFi on a large scale.

In May 2023, Fairbanks Morse LLC, a US-based defense technology company, partnered with pureLiFi Ltd. Through this collaboration, they aim to ensure secure data transmission at sea for improved operational efficiency while also expanding pureLiFi's presence in the U.S. defense market leveraging Fairbanks Morse's industry expertise and customer base. pureLiFi Ltd. is a UK-based LiFi technology company.

Major companies operating in the FSO and VLC/Li-Fi market are Panasonic Corporation, Koninklijke Philips N.V., Signify Holding B.V., Acuity Brands Inc., LightPointe Communications Inc., SLD Laser, Visilink Technologies Inc., fSONA Networks Corporation, pureLiFi Ltd., Plaintree Systems Inc., Lucibel, SkyFiber Inc., Velmenni Research Pvt. Ltd., Infinity Technology Services Inc., Airlinx Communications Inc., VLNComm Inc., Global LiFi Tech Inc., LVX System, Oledcomm, Trimble Inc.

North America was the largest region in the FSO and VLC/Li-Fi market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the FSO and VLC/Li-Fi market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the FSO and VLC/Li-Fi market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Free Space Optics (FSO), also known as optical wireless communication, and Visible Light Communication (VLC) or Light Fidelity (Li-Fi), are communication technologies that leverage light for wireless data transmission, providing high-speed, secure, and energy-efficient communication solutions across various applications and environments. FSO entails transmitting data through free space using optical signals, often in the infrared or visible light spectrum. VLC, or Li-Fi in the context of wireless communication, utilizes visible light emitted by LED bulbs for wireless data transmission.

The key components of FSO and VLC or Li-Fi systems include light-emitting diodes (LEDs), infrared emitters, opto-couplers, and image sensors. LEDs are semiconductor devices that emit light when an electric current passes through them. These technologies support various transmission types such as unidirectional and bidirectional, catering to applications such as intelligent transportation systems (ITS), indoor networking, in-flight entertainment and communication, healthcare, underwater communication, and location-based services.

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

The FSO and VLC or Li-Fi market includes revenues earned by entities providing services such as low latency, multipurpose lighting infrastructure, point-to-point communication, and secure communications services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

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.


This product will be delivered within 3-5 business days.