Silicon Photonics Market Size in Asia Pacific is Showcasing High Growth by 2025

Global Market Insights adds global Silicon Photonics Market report which focuses on the major drivers and restraints for the key players. It also provides analysis of the market share, segmentation, revenue forecasts and geographic regions of the market.

Asia Pacific is expected to witness the highest growth over the forecast time span owing to the increase in the number of data centers. Emerging economies in Asia Pacific including China, India, and Japan are concentrating on adopting advanced technologies in electronics for the miniaturization of circuits and the reduction of energy consumption.

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Increasing adoption in data centers is a major factor anticipated to drive the silicon photonics market. High integration capabilities coupled with a high density of interconnects are escalating their demand in data centers. These components enable the chips to use light pulses instead of electrical signals to transfer data, enhancing the processing speeds and cloud computing performance. There is a substantial increase in the number of SMEs across the world facilitated by government support initiatives such as Made in China 2025 and Make in India, fueling the demand for sophisticated data storage requirements. Various organizations in emerging economies are investing in enhancing the data centers, which is aiding the silicon photonics market to gain traction during the forecast timeframe.

Rapid industrialization in emerging countries owing to the availability of low-cost resources, such as labor and raw materials, is leading to the strong growth in the number of businesses in emerging economies. This is placing a high focus on silicon photonics market players developing data centers with enhanced features to satisfy the increasing data requirements. Additionally, there is an increasing need for enhanced energy-efficient data storage techniques. Rising need for fast data transfer speeds, the need for enhanced computational and processing capabilities, and the increasing requirements for low-power consumption devices are anticipated to provide attractive growth opportunities for the silicon photonics market.

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By application segmentation, silicon photonics market includes telecommunications, defense, medical & life sciences, military, data center & high-performance computing, and sensing. The data center & high-performance computing segment is projected to dominate the industry owing to the increase in data traffic and technological advancements in data centers. There is a growth in the implementation of optics using silicon photonics. The increasing investments in the improvement of data transmission technologies and the high funding for the development of advanced defense technologies are driving the demand in the defense and government sector.

Key players in the silicon photonics market include Juniper, Hamamatsu, STMicroelectronics, Intel, Cisco, Acacia, Broadcom, Finisar Corporation, IBM Corporation, Mellanox Technologies, Texas Instruments, Teraxion, Oracle Corporation, and 3S Photonics. The compatibility of the technology with the prevailing fabrication techniques is making major players in the region to adopt silicon photonics technology.