Boom Time for North American Optoelectronics Markets, Reports Frost & Sullivan

    SAN JOSE, Calif.--Feb. 6, 2001--In North America, the telecommunications market, both voice and data, is experiencing unprecedented growth.
    The optoelectronics market, which derives from the fiber-optic industry, is the hub of this phenomenon. As manufacturers bring out new and improved technologies across different segments and continue to meet the needs of demanding end-user industries, the optoelectronic markets should experience steady upward growth throughout the next few years.
    According to new strategic research by Frost & Sullivan (www.frost.com), North American Optoelectronics Markets, the four market segments of this vast industry -- Light Emitting Diodes (LEDs), Optocouplers, Photodetectors and Laser Diodes -- generated revenues of $1.97 billion in 1999. This market is forecasted to experience extraordinary growth, totaling $10.11 billion in 2006. The study identifies LEDs, Photodetectors and Laser Diodes as the fastest-growing segments.
    "The market has recently experienced a tremendous boost from the introduction of blue and green LEDs," says Frost & Sullivan. "This has greatly expanded the scope for LED applications in automotive, video displays, signage and traffic signals."
    Laser Diodes have replaced LEDs as primary light sources in the fiber optic communications market. In addition, the emergence of Vertical Cavity Surface Emitting Lasers (VCSELs) has given fiber optic manufacturers the kind of low-cost light source they have been seeking. This high-performance technology will translate into rapid growth for laser diodes. The photodetector segment, in particular, is expected to produce high returns by bundling photodetectors with laser diodes as composite optoelectronic modules.
    "The demand for these new developments and technologies is very high," says Frost & Sullivan. "In fact, the situation is such that manufacturers are struggling to meet these demands as lead times for key components are increasing. However, they will have to find solutions to these issues because they would not want to lose out on ripe opportunities."
    Frost & Sullivan presents awards to companies that show outstanding leadership abilities and contributions to the electronic components industry. The Technology Leadership Award is presented to Nichia Chemical Company. The Product Packaging Award goes to Cree Incorporated , and the Market Engineering Leadership Award goes to Lucent Technologies .
    Frost & Sullivan, which is headquartered in San Jose, Calif., is a global leader in international strategic market consulting and training. Frost & Sullivan's industry experts monitor the healthcare industry for market trends, market measurements and strategies. This ongoing research is used to complement the North American Optoelectronics Markets, which includes studies on the World Fiber-Optic Telecommunications Equipment and Components Markets, World Consumer System-on-a-Chip Markets, North American Rigid and Flexible Printed Circuit Board Markets, and the European Laser Diode Markets. Executive summaries and interviews are available to the press.
    In addition to developing in-depth strategic market consulting research, Frost & Sullivan also provides custom consulting solutions to a variety of national and international companies.

    North American Optoelectronics Markets

Report: 7298-25 Publication Date: February 2001