Power Over Ethernet Market Size, Share & Trends Analysis Report By Type, By Application, By End Use (Commercial, Industrial, Residential), By Region, And Segment Forecasts, 2024 - 2030

Power Over Ethernet Market Size & Trends

The global power over ethernet market size was valued at USD 1.27 billion in 2023 and is projected to grow at a CAGR of 21.8% from 2024 to 2030. The projected growth is attributed to factors such as a growing adoption of the Voice over Internet Protocol (VoIP) technology, wireless networks, rising demand for POE-powered devices such as access points and internet protocol cameras, and advancements in technology. A growth in the integration of power over ethernet (PoE) with smart building applications and lighting controls is also expected to generate greater demand for this market during the forecast period.

PoE technology is widely employed in smart grids for transmitting data and electricity through a single line to on-site devices that help optimize space and data communication technologies. Emergence and growing adoption of technologies such as the Internet of Things, artificial intelligence and other advanced technology applications such as proximity sensors, and RFID sensors has been driving growth for the industry.

PoE also enables the integration of smart sensors into the network without the additional requirement of electrical outlets in any location. It allows the use of a single cable to supply power and link access points, Voice over Internet Protocol (VoIP) networks, feature-rich video IP phones, smart lighting luminaires, and technology-enabled sensors in smart buildings. Therefore, this factor is fueling the market's compound annual growth rate.

Type Insights & Trends

Power sourcing equipment controllers and ICs segment dominated the market and accounted for a share of 58.8% in 2023. The suitability of these controllers for multiple devices that need power delivery up to 90W, autonomous operations capacity, innovations & ongoing research, and broad product portfolios offered by the major market participants are expected to generate an upsurge in demand for this segment during the forecast period. Some of the key players that offer a wide range of products related to power sourcing equipment controllers and ICs are Microchip Technology Inc., Texas Instruments Incorporated, Skyworks Solutions, Inc. and others.

Powered device controllers and ICs segment is expected to experience the fastest CAGR during the forecast period. Manufacturers are progressively dedicated to reducing the size and weight of PoE power devices to align with the consumer preferences and trends seen in PoE-enabled devices. The growing demand for compact PoE devices such as access control devices and IP cameras is driving the growth for this segment.

Application Insights &Trends

The connectivity segment accounted for the largest revenue share in 2023. The growth of this segment can be attributed to factors such as the growing adoption of VoIP phones, an increase in penetration of LED lighting technology and rising demand for IP cameras. PoE is extensively used to power machines and devices such as ATMs, digital signage, intercoms, and point-of-sale systems.

LED lighting and control segment is expected to experience the fastest CAGR during the forecast period. PoE LED lighting solutions lower initial costs and the time needed to finish the project. In addition, a significant decrease in ecological footprint is identified due to the absence of copper wiring installation for high-voltage. Consequently, the anticipated cost-saving advantages of the PoE network are projected to propel the worldwide power over ethernet LED lighting market during the forecast period. Moreover, the growth in usage of modern lighting systems in smart buildings and connected devices such as digital assistants is projected to boost the demand for this segment.

End Use Insights & Trends

The commercial segment dominated the global market in 2023. Increasing problems with security and communication within commercial premises are prompting the adoption of PoE technology for VoIP systems and Internet Protocol IP cameras to enhance efficiency. The rising technological advancements in the commercial sector such as smart building, smart healthcare facilities, and smart public transport stations are driving the market growth. The smart building industry is quickly embracing PoE technology to control and associate various devices such as building automation systems, lighting, security systems, and HVAC.

The residential segment is projected to grow at the fastest CAGR over the forecast period. PoE technology offers a cost-efficient and effective method to manage and regulate lighting systems, enhancing energy efficiency and cutting down on operating expenses. Increasing awareness about the advantages of PoE in lighting and connectivity solutions is expected to generate greater demand for this segment during the forecast period.

Regional Insights & Trends

North America power over ethernet (PoE) market dominated the market and accounted for the largest revenue share of 33.5% in 2023. The main factor driving market expansion in this region is the presence of key industry enterprises. The fast growth of this market is also influenced by the existence of numerous IT and telecommunications companies that extensively embrace PoE technology. In addition, the rising number of smart home setups, the growing penetration of LED lighting technology, and smart building technology adopted by commercial buildings and premises such as hotels, resorts, and properties spread across large areas.

U.S. Power Over Ethernet Market Trends

The power over ethernet (PoE) market in the U.S. dominated the regional market with a share of 76.7% in 2023. This market is primarily driven by factors such as rising demand for surveillance systems, network security systems, growing adoption in the healthcare industry, and an increase in the application of smart building technology in commercial spaces.

Europe Power Over Ethernet Market Trends

Europe power over ethernet (PoE) market was identified as a lucrative region in this industry. The positive regulations scenario in the region, growing adoption in multiple application industries, the presence of numerous companies offering PoE solutions, and growth in demand for IP cameras, network security systems, infotainment systems, and VoIP phones are some of the key factors that have driven the growth for this regional industry.

UK power over ethernet (PoE) market held a significant share of the regional market in 2023. This market is primarily driven by the increasing deployment of PoE-powered systems and devices, an increase in the use of efficient network security and enhanced surveillance systems in the country, the growing adoption of PoE technology in the healthcare industry, and the presence of major market participants in the domestic market.

Asia Pacific Power Over Ethernet Market Trends

Asia Pacific Power over Ethernet (PoE) market is anticipated to witness noteworthy growth during the forecast period. Some of the key factors driving growth for this market are enhanced accessibility & availability of high-speed internet, increasing adoption of technologies such as connected devices, LED lighting, and smart buildings, and a rise in expenditure by businesses on network security and surveillance.

China power over ethernet (PoE) market is expected to experience lucrative growth from 2024 to 2030. This market is mainly driven by factors such as smart city projects in the country, rising adoption of advanced network security solutions, growing demand for efficient surveillance solutions, the emergence of infotainment systems and others.

Key Power Over Ethernet Company Insights

Some of the key companies in the Power Over Ethernet (PoE) market are Axis Communications AB, Texas Instruments Incorporated, STMicroelectronics, Broadcom., Microsemi Corporation, and others. With increasing competitive and advancing technologies, the key market participants are adopting strategies such as innovations, collaborations, geographical expansions, mergers & acquisitions, and new product launches.

• Microsemi Corporation, a company owned by Microchip Technology Inc., provides a wide range of products for defence & security, industrial sectors, semiconductors, and aerospace sector. Some of the main products of the company include Field Programmable Gate Arrays (FPGAs), and power-over-Ethernet (PoE) ICs.

• Texas Instruments Incorporated (TI), an American producer of semiconductors that focuses on embedded processors and creating analogue chips, also offers Power over Ethernet (PoE) ICs, and configurable system firmware solution (FirmPSE). The products offered by the company are widely used in application areas such as lighting, building automation and wired networks.

Recent Developments

• In May 2024, Broadcom Inc., one of the prominent industry participants, introduced its newest range of 400G PCIe Gen 5.0 adapters. The new product launched by the company is capable of offering open, standards-based enhanced Ethernet network interface control.

Power Over Ethernet Market Report Scope

Global Power Over Ethernet Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global power over ethernet market report based on type, application, end use, and region:

• Type Outlook (Revenue, USD Million, 2018 - 2030)

  • Power Sourcing Equipment Controllers and ICs

  • Powered Device Controllers and ICs

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Connectivity

  • Security and Access Control

  • Infotainment

  • LED Lighting and Control

  • Others

• End Use Outlook (Revenue, USD Million, 2018 - 2030)

  • Commercial

  • Industrial

  • Residential

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

    • France

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

    • Australia

  • Latin America

    • Brazil

    • Argentina

  • Middle East and Africa (MEA)

    • Saudi Arabia

    • UAE

    • South Africa