Fiber Laser Market Expected to Reach $9.2 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Fiber Laser Market," The fiber laser market was valued at $3.3 billion in 2022, and is estimated to reach $9.2 billion by 2032, growing at a CAGR of 11% from 2023 to 2032.

Fiber laser is a device, which is optically pumped, most commonly with laser diodes but in a few cases with other fiber lasers. The optics used in this system is usually fiber components, with most, or all the components fiber-coupled to one another. In some systems, bulk optics are used, and sometimes an internal fiber-coupling system is combined with external bulk optics.

Technological advancements with respect to fiber, high beam quality & lower cost of ownership, and eco-friendly technology are some of the key factors that drive the growth of the fiber lasers market. Furthermore, increase in applications of fiber laser is expected to augment the growth of the market during the forecast period.

However, reduced cutting speed while processing thicker materials and undesired pulse pedestals & non-linear optical effects are some of the factors that restrain the market growth. Conversely, increase in automobile and mobile electronic applications is expected to provide potential growth opportunities for the key players in the near future.

Fiber laser technology is still evolving, and there are emerging markets where its adoption is expected to increase. For example, the renewable energy sector, including solar panel manufacturing and battery production, requires precise laser processing for efficient and reliable operations. In addition, emerging economies with growing industrial sectors, such as India, China, and Southeast Asian countries, present lucrative opportunities for fiber laser manufacturers. These factors together are projected to create remunerative opportunities for the expansion of the fiber laser market during the forecast period.

The global fiber laser market is segmented on the basis of type, application, and region. On the basis of type, the market is segregated into infrared fiber laser, ultraviolet fiber laser, ultrafast fiber laser, and visible fiber laser. The ultrafast fiber laser segment dominated the global market in terms of revenue in 2022, with 65% of the total share. With the increasing demand for high-speed data transmission and processing, ultrafast fiber lasers play a crucial role in advanced optical communication systems.

They enable the generation and manipulation of communication system. In addition, continuous advancements in scientific research require tools that can operate at ultrafast timescales. Ultrafast fiber lasers provide powerful tool for studying ultrafast phenomena, exploring new materials, and pushing the boundaries of scientific knowledge. This factor has boosted the demand for ultrafast-based fiber laser in the growing R&D sector.

Depending on application, the global fiber laser market is segmented into high-power, marking, fine processing, and micro processing. The high power application dominated the global market in terms of revenue in 2022, with 52% of the total share. This is due to the fact that, the demand for battery has increased considerably in the recent years due to the factors such as widespread use of portable electronics, rise in popularity of electronics vehicles, and integration of renewable energy sources have spurred the demand for high-power marking fiber lasers.

It has been used to mark essential information on batteries, such as capacity, voltage ratings, safety symbols, and manufacturer details. These marks aid in battery identification, proper usage, and compliance with safety standards. These supporting factors are responsible for the growth of the high-power marking system segment. Region wise, the fiber laser market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

The Asia-Pacific fiber laser market is projected to grow at the highest CAGR during the forecast period. This is attributed to the fact that, With a growing middle class population and increasing disposable income, the demand for high-quality products is expected to increase in India. The automotive, electronics, and consumer goods sectors, in particular, require advanced manufacturing technologies to meet the quality standards and production requirements.

Fiber lasers offer high precision, fine control, and the ability to work with a wide range of materials, making them essential tools for achieving the desired quality. In addition, surge in demand for high-quality products is driving the adoption of fiber lasers in India. Furthermore, Japan has a strong and advanced manufacturing industry known for its precision engineering, high-quality products, and technological innovation. Industries such as automotive, electronics, aerospace, medical devices, and metal fabrication require advanced laser technologies for cutting, welding, marking, and engraving applications.

The key players operating in the global fiber laser market include Amonics Ltd, TRUMPF GmbH, Coherent, Inc., Quantel Group, IPG Photonics Corporation, NKT Photonics A/S, TOPTICA Photonics AG, Jenoptik Group, CY Laser SRL, and Apollo Instruments, Inc.

Key findings:

• On the basis of source type, the ultrafast fiber laser segment is expected to grow at a CAGR of 10.2%, in terms of revenue, during the forecast period.
• Depending on application, the high-power segment is expected to grow at a CAGR of 11.5%, in terms of revenue, during the forecast period.
• Region wise, Asia-Pacific garnered a share of more than 40%  in 2022 in terms of revenue.
• North America garnered around one-fourth market share in 2022 in terms of revenue.