Laser processing market size is expected to reach USD 16.05 billion by 2020

The laser processing market size is expected to reach USD 16.05 billion by 2020, according to a new report by Grand View Research, Inc.

Growing deployment of costlier laser drilling in oil & gas exploration fields is expected to replace the conventional techniques. Reducing drilling costs is expected to make the uneconomic oil deposits viable, thereby favorably impacting market growth. Rising demand for this type of processing in industrial solar module is also expected to drive industry growth.

                                  Global Biotechnology market revenue, by application, 2013

With advancements in technology, the demand for laser technology in medical applications is expected to witness substantial growth over the forecast period. This technology offers faster recovery time, lesser pain, and smaller incisions. Growing adoption of these procedures is anticipated to favorably impact surgical lasers’ demand. Advancements in power, lesser operating costs, coupled with improved edge quality & cutting speeds are expected to open wider avenues for this technology.

Further key findings from the report suggest:

• Solid state lasers accounted for 20% of the revenue share in 2014. These are applicable for welding, cutting, drilling and scribing. Solid-state lasers are ideal for marking applications. Leading players such as ROFIN offer wide range of Q-switched, CW-, and pulsed solid-state with a power range between 3 and 1000 W for varied applications.
• Material processing market accounted for over 70% of the share in 2014. Ultra-short lasers are increasingly being used for industrial applications such as welding, cutting, drilling, and marking & engraving. Water jet cutting yields a smooth cutting surface & narrow cuts thereby increasing the total process efficiency. Additionally, laser processing is an important technology for the industrial production of crystalline silicon solar cells for attaining higher conversion efficiencies.
• Automotive segment accounted for nearly 15% of the demand in 2014. Extensive use of lasers for cutting lightweight and ultra-high-strength steels (UHSS), in order to make smaller and fuel-efficient automobiles stronger and much safer. Laser Additive Manufacturing (LAM), is a technique which is used in the production of machine parts.
• Asia Pacific dominated the market in 2014, contributing to over 40% of the overall revenue which can be primarily attributed to the high concentration of automotive and electronics industry in the region. North America accounted for over 20% of the revenue share in 2014. In regions such as the U.S., lasers require more R&D funding than any other directed-energy weapons on account of their effective, lightweight, and low-cost operation.