Visible Light Communication Market Growth Drivers and Challenges:
Growth Drivers
- Growth in the Adoption of Automotive From about 65 million vehicles sold in the world in 2021 to approximately 66 million vehicles sold globally in 2022. Therefore, owing to this, the use of visible light communication is also set to rise. Due to the presence of car lights and the infrastructure of traffic signals already in effect, it is extensively employed in vehicular communication. This could involve cooperative forward collision warning, emergency electronic brake lights, pre-crash sensing, lane change warning, left turn assistant, stop sign movement assistant, traffic signal violation warning, and curve speed warning.
- Rise of its Application in the Healthcare Industry Visible light communication has been observed to be of great use in hospitals since hospitals consist of electromagnetic wave-sensitive areas (such as MRI scanners and operation theatres). Due to the fact that this spectrum does not interact with the RF spectrum, VLC is anticipated to be useful in these locations.
- Advancement in Educational Institutions There has been a growing adoption of digitalization in educational institutions. Therefore, the need for high-speed data is also growing, which could be further satisfied with the installation of LED lights, further enabling visible light communication. Universities and colleges could save money on energy costs and provide high-speed internet access by installing LED lighting. In educational institutions, Li-Fi, one of the applications of visible light technology, is expected to totally replace Wi-Fi.
Challenges
- Short Coverage Range Since it Operates on Light
- Lack of Awareness Among People – Visible light communication technology is unknown to a large number of people. Especially in developing nations, owing to the lack of infrastructure progress, the adoption rate has been quite low. Also, the various rural parts of the world are unaware of the use of the internet. Hence, this factor is set to restrict the growth of the market.
- High Cost of Installation
Visible Light Communication Market Size and Forecast:
|
Base Year |
2025 |
|
Forecast Period |
2026-2035 |
|
CAGR |
45.9% |
|
Base Year Market Size (2025) |
USD 5.61 billion |
|
Forecast Year Market Size (2035) |
USD 245.2 billion |
|
Regional Scope |
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Browse key industry insights with market data tables & charts from the report:
Frequently Asked Questions (FAQ)
In the year 2026, the industry size of visible light communication is estimated at USD 7.93 billion.
The global visible light communication market size was more than USD 5.61 billion in 2025 and is anticipated to grow at a CAGR of around 45.9%, reaching USD 245.2 billion revenue by 2035.
The North America visible light communication market is projected to capture a 30% share by 2035, attributed to growing adoption of LED lights and investment in R&D for innovation in artificial intelligence, big data analytics, and sustainable energy.
Key players in the market include LVX System, Panasonic Holdings Corporation, Lucibel SA, Koninklijke Philips NV, Firefly Networks LTD, Bytelight Inc., Purelifi Ltd, Oledcomm, Outstanding Technology Ltd, Axrtek Enterprises (P) LTD.
