North America Smart Lighting Market Outlook, 2028

Smart lighting has gained significant popularity in North America in recent years. It is a part of the larger trend of home automation and the Internet of Things (IoT), which aims to connect various devices and appliances for greater control and energy efficiency. Smart lighting refers to the use of advanced technologies, such as sensors, wireless connectivity, and intelligent controls, to provide automated and customizable lighting solutions. Smart lighting systems offer a high level of convenience and control to users. Through smartphone apps, voice assistants like Amazon Alexa and Google Assistant, or dedicated control panels, users can easily adjust the lighting in their homes or workplaces. The ability to create personalized lighting scenes, set schedules, and remotely control lights has become highly desirable for many individuals. Smart lighting is often part of a larger smart home ecosystem, where various devices are interconnected. This integration allows users to create customized automation routines. For example, smart lights can be synchronized with motion sensors, door/window sensors, or security systems to enhance safety and security. Integration with entertainment systems, such as syncing lights with music or video content, has also gained popularity. The culture surrounding smart lighting in North America is characterized by a growing interest in energy efficiency, convenience, customization, and integration with other smart devices. As technology continues to advance and consumer demand evolves, the smart lighting industry is expected to further expand and innovate. North America is expected to be the second largest region with a high CAGR because to consumers' rising acceptance of smart lighting and the region's energy-efficient lighting solution. In addition, some prominent corporations, such as Honeywell International Inc., have produced smart lighting solutions using cutting-edge technologies, promoting the region's adoption of smart lighting solutions.

According to the research report, “North America Smart Lighting Market Outlook, 2028” published by Bonafide Research, the market was valued at USD 4518 Million market size in 2022.Intelligent lighting systems are becoming more prevalent in commercial sectors such as retail and grocery store lighting, restaurant and hotel lighting, sports arena and stadium lighting, and corporate office lighting. Increasing the usage of intelligent street lighting systems by municipal councils to network LEDs and add other smart city applications during programme improvements. Increasing residents' experiences through increasing road safety, driving experience, personal protection through intelligent lighting control, and the availability of open Wi-Fi networks, among other advantages, are expected to drive market expansion. Because of customers' growing acceptance of smart lighting and the region's adoption of energy-efficient lighting, several leading companies, including Honeywell International Inc., have launched cutting-edge smart lighting solutions, pushing their use in the area. The rising popularity of smart homes and the increased use of home automation systems to improve comfort, convenience, and security as consumers' disposable income rises is driving market revenue growth in this region. Furthermore, rising government spending on public infrastructure and attempts to install smart LED lighting to increase energy efficiency in nations such as the United States and Canada are supporting regional market revenue growth. To some extent, increased adoption of modern technology by large, medium, and small firms for flexible and smooth operations is driving revenue growth in this region. Furthermore, growing infrastructure modernisation and the rapid creation of smart cities are key growth drivers. Furthermore, increased investments by city dwellers in modular and intelligent lighting solutions rather than high-energy-consuming lights are encouraging the regional market. Aside from that, shifting preferences towards lighting systems integrated with sensor and wireless technology, as well as rising R&D spending by key market players, is positively influencing the market across the region. Furthermore, rising technological advancements such as the internet of things (IoT) and big data, which have improved the integration of smart lights with other automated systems used in smart homes, are expected to propel the North America smart lighting market during the forecasted period.

The hardware component of the smart lighting market in North America is predicted to grow at a rapid pace through 2028. The incorporation of innovative technologies such as Zig-bee, Wi-Fi, and Bluetooth in luminaires is expected to drive industry growth throughout the projection period. The growing popularity of smart luminaires is motivating industry leaders to implement a variety of commercial strategies to expand their luminaire product portfolio. With the advent of the Internet of Things (IoT) and the consequent development of new business models, such as Lighting-as-a-Service (LaaS), the necessity for large upfront payments has been eliminated, allowing the market to convert to an OPEX model. The leasing concept has permitted large-scale LED lighting installations and commercial acceptance. Because of the growing need to preserve energy, market leaders such as Verizon have created creative and cost-effective techniques for streetlights. The Verizon Intelligent Lighting platform transforms LED fixtures into sensor-equipped smart devices that capture and transmit data in near real-time, giving user’s complete control over all lights, insights into the state of lighting infrastructure, and access to a variety of lighting applications and services. In addition, Smart Labs, a pioneer in smart lighting and electrical control, announced the launch of Nokia Smart Lighting, a suite of IoT-powered lighting and electrical control devices, in July 2021. The first Nokia Smart Lighting devices are intended to make smart lighting simple to purchase, install, and use in office spaces and hospitality applications. Furthermore, the government is regulating the lighting systems used in business places in order to reduce energy use. For example, the Federal Energy Management Programme (FEMP) in the United States gives advice for the purchase of commercial light-emitting diode (LED) luminaires.

Based on the report, the market is segmented into three major countries including United States, Canada and Mexico. Among them, United States is dominating the market with over 75% market share in 2022. The smart lighting market in the United States has experienced significant growth in recent years and is projected to continue expanding in the coming years. Several factors have contributed to the market's growth, including increasing awareness of energy efficiency, advancements in technology, and the growing adoption of smart home systems. The residential sector is the primary driver of the smart lighting market in the United States. Increasing consumer demand for energy-efficient solutions, convenience, and home automation has led to a surge in smart lighting installations in residential buildings. Homeowners are embracing smart lighting systems to enhance comfort, control, and energy savings in their homes. While the residential sector dominates, the commercial and industrial sectors also contribute significantly to the smart lighting market. Offices, retail stores, hotels, and other commercial spaces are adopting smart lighting solutions to optimize energy consumption, improve productivity, and create more personalized and dynamic environments for customers and employees. Government support for energy-efficient lighting solutions has also contributed to the growth of the smart lighting market. In the United States, various initiatives, such as the Energy Star program and tax incentives for energy-efficient products, encourage consumers and businesses to adopt smart lighting technologies.

The North American smart lighting market encompasses various installation types, ranging from retrofit and new installations. Retrofit installations involve upgrading existing lighting fixtures with smart lighting components. This type of installation is popular in both residential and commercial settings where traditional lighting fixtures, such as incandescent or fluorescent bulbs, are replaced with smart LED bulbs or retrofit kits. Retrofit installations are relatively simple and cost-effective, as they require minimal modifications to the existing infrastructure. New installations refer to the incorporation of smart lighting systems during the construction or renovation of a building. In this type of installation, smart lighting infrastructure is integrated from the initial design stages, allowing for greater flexibility and customization. New installations often involve the deployment of advanced wired or wireless smart lighting controls, sensors, and fixtures that are seamlessly integrated into the building's electrical and automation systems. The segment is growing with higher revenue share of more than 60% in 2022. The emergence of wireless connectivity technologies such as Wi-Fi, Bluetooth, and Zigbee has been instrumental in driving the growth of the smart lighting market. These wireless protocols enable seamless communication between smart lighting devices, control hubs, and other IoT devices, forming a connected ecosystem. Integration with voice assistants, smartphones, and other smart devices has further enhanced the user experience and convenience across the North America region.

Recent Developments
• In June 2021, Signify’s Interact City lighting System helped municipalities in New York by converting the streetlights to connected LEDs. This will help New York to cut energy usage, lower emissions, and create a platform for smart city deployments. Interact City shares data collected from sensors with the IT systems of firefighters, emergency medical services, and other first responders, enabling it to react quickly during any incidents.
• In May 2022, EarthTronics, which develops energy-saving lighting products that provide a positive economic and environmental impact, introduced its Color & Wattage Selectable LED Strip Series. The LED strip series is meant for high-bay and general lighting found in manufacturing, as well as retail and new commercial facilities.
• In October 2021, Dialight, the global leader in hazardous and industrial LED lighting innovation, in celebration of Energy Awareness Month, announced the availability of one of the world’s most efficient commercially available heavy industrial rated lighting fixture, the Ultra-Efficient Vigilant LED High Bay.
• In September 2021, Sollum Technologies announced its latest fixture for its 100% programmable smart LED lighting solution. The advanced fixture, known as the SF05A, constitutes a clear and considerable advance for Sollum and horticultural lighting technology. Greenhouse growers benefit from improved fixture functionality for controllable and automated light system monitoring.
• In June 2021, Fluence by OSRAM and Prospiant, an Ohio-based provider of complete ecosystems for controlled environment agriculture (CEA) and extraction technologies, announced Fluence would serve as the preferred LED technology supplier within Prospiant's full ecosystem offerings.

Considered in this report

• Geography: North America
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028

Countries covered in the report:

• United States
• Canada
• Mexico

Aspects covered in this report

• North America Smart Lighting market with its value and forecast along with its segments
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Offerings:

• Hardware (Lights and Luminaires and Lighting Controls)
• Software
• Services

By Application:

• Indoor
• Outdoor

By Indoor Application:

• Commercial
• Residential
• Industrial
• Others

By Outdoor Application:

• Highways & Roadways
• Architectural Lighting
• Light for public places

By Installation Type:

• New
• Retrofit

By Communication Technology

• Wired Technology
• Wireless Technology

The approach of the report:

This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to Smart Lighting industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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Manmayi Raval

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