The Street and Roadway Lighting Market size was estimated at USD 12.5 billion in 2023 and is projected to reach USD 20.5 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 7.80% during the forecast period (2024-2030).

Street and Roadway Lighting Market

Market Summary

The street and roadway lighting market is an integral segment within the broader semiconductor and electronics industry, characterized by the widespread adoption of energy-efficient and intelligent lighting solutions. This market focuses on the provision of illumination for public roads, highways, streets, and other outdoor areas, enhancing safety, security, and visibility. The transition from traditional lighting technologies such as high-pressure sodium and metal halide lamps to advanced light-emitting diode (LED) systems represents a fundamental shift, driven by the superior energy efficiency, longer lifespan, and reduced maintenance requirements of LEDs. Governments and municipal bodies worldwide are increasingly investing in modernizing public lighting infrastructure to achieve sustainability goals and reduce operational costs. The integration of smart technologies, including sensors, connectivity modules, and control systems, is further transforming street lighting into an intelligent network capable of adaptive lighting, real-time monitoring, and data collection. Key players in this market include established lighting manufacturers and technology firms that develop and supply components such as LEDs, drivers, and control systems. The market is also influenced by regulatory standards and policies promoting energy conservation and the reduction of carbon emissions. As urbanization continues to accelerate globally, the demand for efficient and reliable street and roadway lighting solutions is expected to remain strong, supporting safer and more sustainable communities.

Key Highlights

The street and roadway lighting market is distinguished by several key highlights that underscore its dynamic nature and growth potential. One of the most significant trends is the rapid adoption of LED technology, which offers substantial energy savings compared to conventional lighting systems. LEDs not only consume less power but also have a longer operational life, reducing the frequency of replacements and associated maintenance costs. Another critical highlight is the emergence of smart lighting solutions that incorporate Internet of Things (IoT) capabilities, enabling remote monitoring, dimming, and fault detection. These intelligent systems can adapt to environmental conditions, such as traffic flow and weather, optimizing energy use and enhancing public safety. The market is also witnessing increased collaboration between public authorities and private companies through public-private partnerships (PPPs) to fund and implement large-scale lighting modernization projects. Furthermore, advancements in semiconductor materials and manufacturing processes are driving down the cost of LED components, making energy-efficient lighting more accessible. Sustainability initiatives and government regulations mandating the phase-out of inefficient lighting technologies are additional factors propelling market growth. Companies like Signify (formerly Philips Lighting), Acuity Brands, and Eaton are at the forefront, offering innovative products that integrate lighting with other urban infrastructure elements.

Drivers, Opportunities & Restraints

The street and roadway lighting market is propelled by several key drivers, including the global push for energy efficiency and the reduction of greenhouse gas emissions. Governments and municipalities are increasingly implementing regulations that mandate the use of energy-saving lighting technologies, creating a strong demand for LED and smart lighting systems. Urbanization and the expansion of road infrastructure in developing regions also drive market growth, as new roads and urban areas require effective lighting solutions. The declining cost of LED technology, coupled with its long-term economic benefits, encourages widespread adoption across both developed and emerging markets. Opportunities in this market abound, particularly in the integration of smart city initiatives where lighting systems serve as platforms for additional services such as traffic management, environmental monitoring, and public Wi-Fi. The development of connected lighting networks offers potential for data analytics and enhanced urban management. However, the market faces certain restraints, including high initial investment costs for advanced lighting systems, which can be a barrier for budget-constrained municipalities. Technical challenges related to the interoperability of different smart lighting components and the need for standardized communication protocols also pose hurdles. Additionally, the presence of outdated infrastructure in many regions may slow down the transition to modern lighting solutions, requiring coordinated efforts and funding.

Concentration Insights

The concentration of the street and roadway lighting market is characterized by the presence of both global giants and specialized regional players, creating a competitive yet collaborative landscape. Major companies such as Signify, Acuity Brands, Osram, and Eaton dominate the market, leveraging their extensive product portfolios, strong R&D capabilities, and global distribution networks. These industry leaders focus on innovation, continuously introducing advanced lighting solutions that incorporate the latest semiconductor and electronic technologies. The market also features numerous smaller firms and startups that specialize in niche segments, such as smart controls or specific application-focused lighting, often driving innovation through agility and specialization. Geographically, the market is concentrated in regions with high urbanization rates and strong governmental support for infrastructure development, including North America, Europe, and parts of Asia-Pacific. In these areas, stringent energy efficiency regulations and smart city projects fuel demand. Meanwhile, emerging economies in Latin America, Africa, and Southeast Asia present growth opportunities but often have fragmented markets with local players catering to regional needs. Collaboration between technology providers, lighting manufacturers, and municipal authorities is common, aiming to develop integrated solutions that address both lighting and broader urban challenges.

Type Insights

The street and roadway lighting market can be segmented by type into conventional lighting and LED lighting, with the latter increasingly dominating due to its superior performance and efficiency. Conventional lighting types include high-pressure sodium (HPS), metal halide, and fluorescent lamps, which have been widely used in the past but are gradually being phased out in favor of more advanced options. LED lighting represents the modern standard, offering significant advantages such as higher luminous efficacy, longer lifespan, and better color rendering. Within LED lighting, variations include integrated luminaires and retrofit solutions, allowing for flexibility in upgrading existing infrastructure. Another emerging type is smart LED lighting, which incorporates sensors, wireless communication modules, and control systems to enable features like adaptive dimming, remote management, and data collection. These smart systems often use technologies such as Power over Ethernet (PoE) or cellular connectivity to integrate with broader urban networks. The choice of lighting type depends on factors such as application requirements, budget constraints, and environmental conditions. For instance, highways may require high-output luminaires with precise optical control, while residential streets might benefit from warmer light tones and lower intensity. The continuous innovation in semiconductor technology supports the development of more efficient and versatile lighting types, catering to diverse needs across the globe.

Application Insights

Street and roadway lighting finds application across various settings, each with distinct requirements and challenges. Major application areas include highways and expressways, where lighting is critical for ensuring driver safety, reducing accidents, and facilitating traffic flow during nighttime or adverse weather conditions. These environments often demand high-intensity lighting with robust durability and minimal glare. Urban streets and residential areas represent another significant application, focusing on providing adequate illumination for pedestrians and vehicles while enhancing community safety and aesthetics. Here, lighting solutions may prioritize energy efficiency, reduced light pollution, and compatibility with smart city infrastructure. Tunnel lighting is a specialized application that requires consistent and reliable illumination to help drivers adapt to changing light levels, preventing accidents and ensuring smooth transitions. Additionally, lighting for public spaces such as parks, parking lots, and recreational areas contributes to overall urban livability and security. The adoption of adaptive lighting systems is growing across all applications, allowing for dynamic adjustment based on real-time conditions such as traffic density or ambient light levels. This not only optimizes energy use but also extends the lifespan of lighting fixtures. The integration of lighting with other urban systems, such as surveillance and traffic management, further expands its application scope, supporting comprehensive smart city initiatives.

Regional Insights

The street and roadway lighting market exhibits varied dynamics across different regions, influenced by factors such as economic development, regulatory frameworks, and infrastructure investment levels. In North America, the market is mature and driven by stringent energy efficiency standards and ongoing smart city projects. The United States and Canada are actively replacing outdated lighting with LED and smart systems, supported by government incentives and environmental policies. Europe is another leading region, characterized by strong regulatory push from bodies like the European Union, which mandates energy-efficient lighting and funds modernization initiatives. Countries such as Germany, the UK, and France are at the forefront, integrating lighting with broader urban digitalization efforts. The Asia-Pacific region represents the fastest-growing market, fueled rapid urbanization, infrastructure development, and government initiatives in countries like China, India, and Japan. China, in particular, is a major hub for LED manufacturing and adoption, with extensive smart lighting deployments in its cities. Latin America and the Middle East & Africa are emerging markets where growth is driven by urban expansion and increasing investments in public infrastructure, though adoption rates may vary due to economic constraints. Overall, regional insights highlight a global trend towards modernization and smart integration, with local nuances shaping implementation strategies and market opportunities.

Company Insights

The competitive landscape of the street and roadway lighting market features a mix of multinational corporations and specialized firms that drive innovation and market growth. Signify, formerly known as Philips Lighting, is a global leader offering a comprehensive range of LED and connected lighting solutions under brands such as Philips and Interact. The company emphasizes sustainability and smart city integration, with products designed for energy efficiency and IoT connectivity. Acuity Brands, based in the United States, is another key player known for its innovative lighting and building management solutions, including brands like Lithonia Lighting and Atrius. The company focuses on digital lighting controls and networked systems that enhance user experience and operational efficiency. Osram, a German-based company, provides advanced lighting technologies including LEDs, laser diodes, and optical semiconductors, catering to both general lighting and specialized applications. Eaton, through its lighting division, offers robust solutions for street and roadway environments, emphasizing durability and smart capabilities. Other notable companies include Cree Lighting, which specializes in LED technology and intelligent lighting systems, and Hubbell Incorporated, known for its reliable outdoor lighting products. These companies invest heavily in research and development to introduce cutting-edge features such as Li-Fi communication, adaptive lighting algorithms, and seamless integration with urban infrastructure. Partnerships with technology firms and municipal authorities are common strategies to expand market presence and address evolving customer needs.

Recent Developments

The street and roadway lighting market has witnessed several significant recent developments that reflect its evolving nature and technological advancement. One notable trend is the increasing deployment of smart lighting systems that leverage artificial intelligence and machine learning for predictive maintenance and energy optimization. For instance, companies are introducing lighting solutions that can automatically adjust brightness based on real-time data from sensors detecting pedestrian and vehicular movement, thereby enhancing efficiency. Another development is the growing emphasis on sustainability, with manufacturers focusing on producing luminaires made from recyclable materials and designing systems that minimize light pollution and ecological impact. The integration of 5G technology into street lighting infrastructure is also gaining traction, turning light poles into multifunctional assets that support wireless communication, environmental monitoring, and public safety applications. Additionally, there has been a rise in public-private partnerships aimed at accelerating the modernization of street lighting in urban areas, with projects often funded through energy-saving performance contracts. Companies are also expanding their portfolios to include holistic solutions that combine lighting with other smart city services, such as electric vehicle charging stations and security cameras. These developments indicate a shift towards more interconnected and intelligent urban environments, where lighting plays a central role in enhancing quality of life and operational efficiency.

Report Segmentation

This report on the street and roadway lighting market provides a detailed segmentation to offer comprehensive insights into various aspects of the industry. The market is segmented by type, distinguishing between conventional lighting solutions such as high-pressure sodium and metal halide lamps, and modern LED lighting systems, which include both standard and smart connected variants. Another segmentation criterion is based on application, covering key areas like highways and expressways, urban streets and residential areas, tunnels, and public spaces such as parks and parking lots. Each application segment has unique requirements and adoption patterns, influenced by factors such as safety standards, energy efficiency goals, and infrastructural considerations. The report also includes geographic segmentation, analyzing regional markets across North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. This regional analysis highlights differences in market dynamics, regulatory environments, and growth opportunities. Furthermore, the segmentation extends to technology, examining the adoption of smart lighting features like sensors, controls, and communication protocols. Additional segments may focus on components, such as luminaires, lamps, and control systems, providing a granular view of the supply chain. This structured approach allows stakeholders to identify specific trends, challenges, and prospects within each segment, facilitating informed decision-making and strategic planning.

FAQs

What are the benefits of LED street lighting? LED street lighting offers numerous benefits including significant energy savings, longer lifespan reducing maintenance costs, better light quality with improved color rendering, and enhanced durability compared to traditional lighting technologies. They also support environmental goals by lowering carbon emissions and enable smart features like adaptive dimming.

How does smart street lighting work? Smart street lighting integrates sensors, communication modules, and control systems into light fixtures. These components allow for remote monitoring and management, automatic adjustment of light levels based on real-time conditions such as traffic or weather, and data collection for urban planning. They often connect to central management systems via wireless networks.

What is the future of street lighting? The future of street lighting lies in increased adoption of IoT-enabled smart systems that offer energy efficiency, sustainability, and multifunctionality. Expect more integration with smart city infrastructure, including features like traffic management, public safety monitoring, and environmental sensing, driven by advancements in semiconductor and connectivity technologies.

Which companies lead the street lighting market? Key leaders in the street lighting market include Signify (Philips Lighting), Acuity Brands, Osram, and Eaton. These companies are recognized for their innovative LED and smart lighting solutions, strong global presence, and ongoing investments in research and development to enhance product offerings.

What are the challenges in adopting smart street lighting? Challenges include high initial investment costs, the need for interoperable standards among different technologies, cybersecurity concerns with connected systems, and the complexity of upgrading existing infrastructure. Addressing these requires coordinated efforts between governments, manufacturers, and technology providers.

How does street lighting contribute to smart cities? Street lighting serves as a foundational element in smart cities by providing a network of connected nodes that can support additional services such as traffic monitoring, air quality sensing, public Wi-Fi, and emergency response systems. This integration enhances urban efficiency, safety, and sustainability while optimizing resource use.

Citius Research has developed a research report titled “Street and Roadway Lighting Market Report - Global Industry Analysis, Size, Share, Growth Trends, Regional Outlook, Competitive Strategies and Segment Forecasts 2024 - 2030” delivering key insights regarding business intelligence and providing concrete business strategies to clients in the form of a detailed syndicated report. The report details out the factors such as business environment, industry trend, growth opportunities, competition, pricing, global and regional market analysis, and other market related factors.

Details included in the report for the years 2024 through 2030

• Street and Roadway Lighting Market Potential
• Segment-wise breakup
• Compounded annual growth rate (CAGR) for the next 6 years
• Key customers and their preferences
• Market share of major players and their competitive strength
• Existing competition in the market
• Price trend analysis
• Key trend analysis
• Market entry strategies
• Market opportunity insights

The report focuses on the drivers, restraints, opportunities, and challenges in the market based on various factors geographically. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report. The Street and Roadway Lighting Market report is segmented on the basis of various market segments and their analysis, both in terms of value and volume, for each region for the period under consideration.

Street and Roadway Lighting Market Segmentation

Regions Covered

• North America
• Latin America
• Europe
• MENA
• Asia Pacific
• Sub-Saharan Africa and
• Australasia

Street and Roadway Lighting Market Analysis

The report covers below mentioned analysis, but is not limited to:

• Overview of Street and Roadway Lighting Market
• Research Methodology
• Executive Summary
• Market Dynamics of Street and Roadway Lighting Market
  • Driving Factors
  • Restraints
  • Opportunities
• Global Market Status and Forecast by Segment A
• Global Market Status and Forecast by Segment B
• Global Market Status and Forecast by Segment C
• Global Market Status and Forecast by Regions
• Upstream and Downstream Market Analysis of Street and Roadway Lighting Market
• Cost and Gross Margin Analysis of Street and Roadway Lighting Market
• Street and Roadway Lighting Market Report - Global Industry Analysis, Size, Share, Growth Trends, Regional Outlook, Competitive Strategies and Segment Forecasts 2024 - 2030
  • Competition Landscape
  • Market Share of Major Players
• Key Recommendations

The “Street and Roadway Lighting Market Report - Global Industry Analysis, Size, Share, Growth Trends, Regional Outlook, Competitive Strategies and Segment Forecasts 2024 - 2030” report helps the clients to take business decisions and to understand strategies of major players in the industry. The report delivers the market driven results supported by a mix of primary and secondary research. The report provides the results triangulated through authentic sources and upon conducting thorough primary interviews with the industry experts. The report includes the results on the areas where the client can focus and create point of parity and develop a competitive edge, based on real-time data results.

Street and Roadway Lighting Market Key Stakeholders

Below are the key stakeholders for the Street and Roadway Lighting Market:

• Manufacturers
• Distributors/Traders/Wholesalers
• Material/Component Manufacturers
• Industry Associations
• Downstream vendors

Street and Roadway Lighting Market Report Scope

COVID-19 Impact Analysis

Like most other markets, the outbreak of COVID-19 had an unfavorable impact on the Street and Roadway Lighting Market worldwide. This report discusses in detail the disruptions experienced by the market, the impact on flow of raw materials, manufacturing operations, production trends, consumer demand and the projected future of this market post pandemic.

The report has helped our clients:

• To describe and forecast the Street and Roadway Lighting Market size, on the basis of various segmentations and geography, in terms of value and volume
• To measure the changing needs of customers/industries
• To provide detailed information regarding the drivers, restraints, opportunities, and challenges influencing the growth of the market
• To gain competitive intelligence and uncover new opportunities
• To analyse opportunities in the market for stakeholders by identifying high-growth segments in Street and Roadway Lighting Market
• To strategically profile key players and provide details of the current competitive landscape
• To analyse strategic approaches adopted by players in the market, such as product launches and developments, acquisitions, collaborations, contracts, expansions, and partnerships

Report Customization

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