Li-Fi Market Analysis

  • Report ID: 3260
  • Published Date: Jan 06, 2026
  • Report Format: PDF, PPT

Li-Fi Market Segmentation:

Application Segment Analysis

In the Li-Fi market, the indoor networking segment is expected to lead with a commanding share of 55.4% during the forecast duration. Its ability to add high-speed, secure wireless links where traditional RF Wi Fi faces congestion is the key factor driving dominance of the subtype.  In January 2022, Signify announced that it had deployed the Trulifi Li-Fi system in Belgian schools to provide students and teachers with high-speed, secure, and reliable indoor connectivity using light waves instead of traditional Wi‑Fi. It also mentioned that the system delivers 220 Mbps download and 160 Mbps upload speeds by supporting laptops and tablets across classrooms while also ensuring data security. These installations, following successful deployments in Italy, Germany, the U.S., and the Netherlands, demonstrate the practical application of Li-Fi for indoor networking in educational environments, addressing Wi‑Fi congestion and enhancing digital learning.

Component Segment Analysis

By the end of 2035, the LED segment is expected to grow at a progressive rate in the light fidelity (Li-Fi) market, owing to its fundamental role in Li Fi because visible light communication uses LED lighting fixtures as dual-purpose data transmitters. On the other hand, LEDs form the core of energy-efficient lighting infrastructure, i.e., streetlights, buildings, and this aligns with smart infrastructure strategies that many governments promote. In February 2025, Ameresco announced that it had launched a pilot project with the City of New Orleans to upgrade 56 streetlights to intelligent LED fixtures integrated with smart city technology, including Ubicquia UbiCell and TerraGo platforms. This project enhances energy efficiency, public safety, and city monitoring by paving the groundwork for future dual-purpose LED infrastructure, which is capable of supporting technologies such as Li‑Fi. The initiative reflects the significance of government-backed LED deployments that align with smart infrastructure strategies and the growing role of LEDs in these communication systems.

End user Segment Analysis

In terms of the end user, the retail segment is anticipated to capture a significant revenue share in the Li-Fi market during the discussed timeframe. The segment’s growth is highly attributable to the increased adoption of high-density connectivity and location services that support digital transformation. Also, the public sector interest in advanced wireless systems and industry research highlights growth in enterprise as well as retail connectivity needs. The retail segment benefits from Li‑Fi’s ability to provide high-speed indoor networking, thereby enabling real-time inventory management, targeted promotions, and enhanced customer experiences. In addition, large shopping malls and supermarkets are deploying Li‑Fi to track foot traffic and optimize store layouts. Furthermore, the segment’s growth is reinforced by government initiatives and funding for digital infrastructure in commercial spaces, supporting widespread adoption of Li‑Fi technologies.

Our in-depth analysis of the light fidelity (Li-Fi) market includes the following segments:

Segment

Subsegments

Application

  • Indoor Networking
  • Outdoor Networking
  • Aircraft Communication
  • Automotive Communication

Component

  • LED
  • Photodetector
  • Microcontroller
  • Optical Sensing

End user

  • Residential
  • Indoor Networking
  • Outdoor Networking
  • Commercial
  • Retail
  • Healthcare
  • Automotive & Transportation

Transmission Type

  • Bidirectional
  • Unidirectional

Form Factor

  • Li-Fi Lamps
  • Li-Fi Dongles and Access Keys
  • Li-Fi Modules
  • Integrated Li-Fi Fixtures

Networking Type

  • Point-to-Point
  • Point-to-Multipoint

Browse key industry insights with market data tables & charts from the report:

Frequently Asked Questions (FAQ)

In the year 2025, the industry size of the Li-Fi market was over USD 992.2 million.

The market size for the Li-Fi market is projected to reach USD 43.74 billion by the end of 2035, expanding at a CAGR of 52.3% during the forecast period, i.e., between 2026-2035.

The major players in the market are pureLiFi Ltd., Oledcomm S.A.S., Signify N.V., Velmenni OÜ, Lucibel S.A., Acuity Brands Inc., and others.

In terms of application, the indoor networking segment is anticipated to garner the largest market share of 55.4% by 2035 and display lucrative growth opportunities during 2026-2035.

The market in North America is projected to hold the largest market share of 38.8% by the end of 2035 and provide more business opportunities in the future.
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