Bright future of silicon photonics
In the market for silicon photonics applications, telecommunication held the largest share in 2013; however, the data communication application is expected to grow in the future due to its potential to satisfy the need for high performance computing and higher data transfer rates required by the data communication application. The telecommunication and data communication applications are expected to be high in the coming seven years. The silicon photonics market is expected to grow to USD 497.53 million by 2020, growing at a CAGR of 27.74 percent from 2014 to 2020.
Silicon photonics is implemented by various companies in their product portfolios due to its advanced features, such as the high speed data transfer and integration of large data into a small device. Various products such as optical waveguides, modulators, and photo-detectors can be integrated within a single device, providing a smaller form factor with the help of silicon photonics. The Wavelength Division Multiplexer Filters (WDMF) and Silicon Optical Modulators (SOM) products hold the highest share in the North American market currently. Thus, this shows that the WDMF and SOM products in the silicon photonics market have a great potential to increase over a period of time.
The North American region dominates the market in terms of the market size; however, the APAC region has been growing at the highest CAGR in this market. The growing demand to transfer data and government funding in silicon photonics are motivating the companies to launch silicon photonics products in the North American market.
The competitive landscape of the market presents a very interesting picture. The market is witnessing new product launches and large scale collaborations, and agreements and partnerships across the value chain, with a number of tier-one players around the globe.
The major players in this market include Intel Corporation (U.S.), Hamamatsu Photonics, K.K (Japan), Finisar Corporation (U.S.), IBM Corp. (U.S.), Luxtera, Inc. (California), ST Microelectronics (Switzerland), 3S Photonics (France), Oclaro Inc. (U.S.), Mellanox technologies (U.S.), and Infinera Inc. (U.S.).