Connected and integrated building/homes are expected to fuel the rapid evolution of the next generation of the commercial and residential complex. This is projected to exponentially boost the demand for smart sensors and IoT devices. Thus, new ways of powering and communicating with these devices are considered to be of vital importance in this evolution. Further, increasing IoT devices are expected to make the network infrastructure more complex. Owing to above-mentioned reason, the need for simple, scalable solutions that can power and communicate effectively is rising and hence PoE lighting solution is projected to surge in demand.

Similarly, smart lighting is projected to be a lucrative opportunity for connectivity and intelligence solutions. The next generation of lightning is projected to revolve around “Digital Ceiling” as the industry is moving towards Universal Power over Ethernet, boosting the demand for PoE network. For instance, the Edge, a smart building situated in Amsterdam, demonstrates this type of technological innovation. It’s the first office building & one of the smartest in the world to be equipped with Philips’ innovative connected lighting system for offices based on ‘Power-over-Ethernet’ technology, according to the Philips Lighting.

The Asia Pacific region is projected to be the most attractive market and the fastest growing by the end of 2025. Many companies in the global market are now looking to enter in the Asia Pacific region, especially in countries like India and China. In India, the commercial sector is projected to showcase tremendous growth opportunities for PoE network and for the players in the market. Further, the governments of India is focusing on developing smart city/smart buildings and is also implementing key initiatives to boost the same. Thus, growing smart building projects in the region are projected to boost the demand for PoE network. Further, to gain traction in the highly attractive market the global players are launching new solutions to boost the PoE adoption in the region. For instance, in 2018, Wipro Lighting had collaborated with Cisco Systems Inc. The aim of the collaboration was to offer human-centric lighting solutions for new age workspaces.

Global players are now partnering with regional players to boost the PoE market in the Asia Pacific region. For instance, in 2018, Igor Inc. and Wipro Lighting announced that it had entered an OEM agreement. Under the agreement, Igor technology will be given license for the Wipro PoE connected lighting products. The agreement shall allow Wipro to sell Igor-enabled lighting fittings worldwide along with an exclusive partnership in India.

Based on the product type the global Power over Ethernet market is segmented in Power Sourcing Equipment (PSE) and Powered Devices (PD). Power sourcing equipment was valued at USD 383.7 million in 2017 in the global Power over Ethernet market. The power sourcing equipment is functioned to inject power into the network through cables. Midspan and endspan are two types of PSE available in the global Power over Ethernet market. Midspan is a standalone injector, which adds power to the network cable and is used when adding PoE functionality to the existing network while endspan refers to the network switches that have the built-in PoE functionality along with its switching functionally. Apart from providing power to the network, the power sourcing equipment protects the powered devices from the damages of voltage fluctuation and they are also capable of switching power source to uninterruptible power source (UPS) in times of power cut off. This protection offered by the PSE is driving its demand in the global power over Ethernet lighting market during the forecast period.

Powered devices are the endpoint devices that are connected to a PoE network which consume energy. The devices that can be powered through a PoE network are IP cameras, VoIP phones, network routers, access, and industrial control systems, IoT devices & smart sensor and intelligent lighting controllers and lighting fixtures. These devices are expected to surge in demand explosively as smart building/intelligent building is projected to adopt them. These increasing devices are projected to be connected on the PoE network owing to the benefits offered by the PoE network, thus driving the growth of the global Power over Ethernet market during the forecast period.

Based on the end user type the market has been segmented in commercial, residential and industrial end users. The Power over Ethernet market in commercial end use was valued at USD 536.2 million in the year 2017. The market grew as many large and medium scale enterprises started to adopt to PoE network as it allowed them to precisely control the energy utilization by lighting systems helping them in saving cost and improving operational efficiency. Further, temperature controlling through sensors connected on the PoE network assisted enterprises to create a better and pleasant environment for their employees, this led to a surge in demand for PoE network.

The commercial sector is always looking to adapt to better and smart technologies/devices that shall benefit them to improve their operational efficiency. Thus, access points, Wifi routers, surveillance camera, room monitoring systems, VoIP phones, smart sensors, and IoT devices are projected to flourish in the commercial sector. Thus, all the enterprises are looking to adopt PoE network to power and communicate with all of these smart devices through one single integrated network. This is driving the growth of the commercial segment during the forecast period in the global Power over Ethernet lighting market.

North America Power over Ethernet lighting market accounted to more than 39% share in 2017 in the global market. The region grew as they had been early adopters to the network. End applications such as IP camera, VoIP, LED light fixtures, smart sensors had largely penetrated especially in the commercial and industrial sectors. The application had been using separate channels/cables for communication, this was increasing the cost of creating a network and maintaining the network. Thus, PoE was likely a solution and hence it surged in demand. Further, the increasing use of IoT devices in the commercial and residential sector is projected to boost the PoE lighting market growth during the forecast period.

In the United States, the increasing demand from residential and commercial end users is projected to drive market growth during the forecast period. The growth is expected to owe to the increase in the use of IoT devices by the residential users for home automation. Further, key players are offering the latest solutions for the commercial end users thus escalating the demand for PoE network. For instance IGOR INC. a key player in the market had offered these latest solutions for their projects at the Des Moines Electrical Apprenticeship and 650 5th Avenue, a 36-story class-A property situated near Rockefeller Centre in New York City, Cushman & Wakefield.

The Power over Ethernet market in Europe was the second largest market followed by the Asia Pacific and MEA. The growth in Europe was seen majorly due to the increasing use of PoE for lighting application