January 6, 2005, Nashua, NH--Thanks in large part to a steady increase in consumer applications involving lasers and optoelectronics, the global market for all types of lasers grew 10% in 2004 over 2003 to reach $5.4 billion, according to the latest Laser Focus World market survey. This means the global market for all lasers has been rising at a compound annual growth rate (CAGR) of about 18% for the past ten years. The market is expected to gain another 9% in 2005 to reach almost $6 billion.

"Photonics technologies are moving into the mainstream, beyond printers, pointers, and mice--think cameras, cell phones, flat-panel TVs, car, computers, lighting, chip manufacturing, drug discovery, and more," said Stephen Anderson, editor-in-chief of Laser Focus World. "In each case, optical technology is playing a central role in the development of products designed to improve the quality of our lives--or, at least, of our electronic goods."

Sales of semiconductor lasers continued their upward trend in 2004. But unlike the robust 18% gain in 2003, they eked out just a 4% increase in 2004 to reach $3.20 billion¿this despite double-digit unit growth in a couple of major applications and the fact that the telecom laser market grew for the first time since 2000. The lackluster revenue growth resulted from significant price declines across almost all semiconductor laser product categories.

Among applications of other lasers types (including solid-state, carbon dioxide, ion, and excimer lasers), sales of systems for the medical and materials processing markets moved upwards. The largest revenue driver was the strength in sales of lasers for semiconductor processing in 2004.

Other trends include the continued dominance of semiconductor lasers, which accounted for 60% of all lasers sold; the ongoing sales growth of both fiber laser--expected to jump 47% in 2005--and of diode-pumped solid-state lasers, which continue up toward a projected $306 million in 2005.

The factors fueling these and other trends in the laser and photonics markets will be detailed at the annual Laser and Photonics Marketplace Seminar on January 24, 2005, in San Jose, CA. Proceedings of the seminar including the market survey data will be available on CD-ROM after the event. For more information, visit www.marketplaceseminar.com.

Thu Jan 06 10:32:00 CST 2005