NIR LED Market Size - By Spectral Range, By Application and Forecast, 2025 - 2034

NIR LED Market Size

The global NIR LED Market was valued at USD 326.4 million in 2024 and is estimated to grow at a CAGR of 11.9% from 2025 to 2034.
 

The NIR LED (Near-Infrared Light-Emitting Diode) market is driven by its expanding adoption across various industries such as healthcare, automotive, and consumer electronics. In the healthcare sector, NIR LEDs are widely used in medical imaging, diagnostics, and wearable health monitoring devices. Their ability to penetrate deep into human tissue makes them ideal for non-invasive applications like pulse oximetry, oxygen saturation monitoring, and blood flow analysis.
 

Additionally, the rise in chronic diseases and the increasing demand for remote patient monitoring solutions are further propelling the growth of NIR LEDs in healthcare. In the automotive sector, the use of NIR LEDs in driver monitoring systems (DMS) and night vision systems is gaining traction, driven by the increasing adoption of Advanced Driver Assistance Systems (ADAS) and stringent safety regulations.
 

The surge in demand for biometric authentication and facial recognition technologies is another key growth driver. NIR LEDs play a crucial role in these systems by providing invisible illumination for cameras and sensors. As smartphones, security systems, and smart home devices increasingly incorporate these features, the demand for NIR LEDs is set to rise. Furthermore, advancements in LED technology, such as higher power efficiency, longer lifespan, and cost reductions, are making NIR LEDs more accessible for a broader range of applications.
 

In September 2022, a research team led by Professor Qu Songnan from the University of Macau's Institute of Applied Physics and Materials Engineering achieved a groundbreaking milestone in near-infrared (NIR) technology. The team developed a method to produce NIR carbon nanodots in aqueous solutions using a fusion of large, conjugated molecules. This innovative approach marks the first global preparation of such nanodots, offering a highly cost-effective alternative with production costs at less than 1% of commercial NIR dye ICG. Government incentives promoting energy-efficient technologies and research investments in advanced LED technologies are also contributing to market expansion.
 

NIR LED Market Trends

One prominent trend in the NIR LED industry is the increasing integration of these LEDs into wearable devices for fitness tracking and health monitoring. Wearable manufacturers are leveraging NIR LEDs for applications such as heart rate variability analysis, hydration level monitoring, and sleep tracking, driven by consumer interest in personalized health insights. Another trend is the adoption of NIR LEDs in agriculture and food industries, where they are used for crop health monitoring, food quality inspection, and sorting. In addition, the development of miniaturized NIR LEDs for compact devices is gaining momentum, enabling their use in space-constrained applications like mobile devices and IoT-based sensors. The rise of Industry 4.0 and automation has also spurred the demand for NIR LEDs in industrial vision systems and proximity sensors.
 

NIR LED Market Analysis

Despite its growth prospects, the NIR LED industry faces certain restraints. High initial costs associated with advanced NIR LED technologies can deter adoption, particularly among small and medium enterprises. Manufacturing complexities and the need for precise wavelength customization to suit specific applications add to production costs, further limiting market penetration. Moreover, the performance of NIR LEDs can be affected by thermal management challenges, which may compromise efficiency and lifespan if not addressed adequately. Intense competition from alternative technologies such as laser diodes, which offer higher power density and efficiency, poses a significant challenge. Lastly, economic uncertainties and fluctuating raw material prices can impact the supply chain, potentially hindering market growth.
 

Based on spectral range, the market is divided into 700nm-900nm, 900nm-1500nm, 1500nm-2500nm and custom wavelength bands. The 900nm-1500nm segment is the fastest growing segment with a CAGR of 12.9% between 2025 and 2034.
 

The spectral range of 900nm-1500nm in the NIR LED market is experiencing rapid growth due to its broad applicability in diverse sectors such as healthcare, automotive, and industrial automation. In healthcare, this range is highly effective for non-invasive medical imaging and diagnostic applications, including tissue analysis and oxygen saturation monitoring, as it penetrates deeper into biological tissues with minimal interference. Its use in wearable health devices, driven by the rising demand for continuous health monitoring, further bolsters its growth. Additionally, in the automotive sector, this range is widely adopted for driver monitoring systems (DMS) and night vision applications, enhancing safety and driving experience, particularly in advanced driver-assistance systems (ADAS).
 

The industrial and agricultural sectors are also leveraging this spectral range for machine vision and precision farming. In industrial applications, 900nm-1500nm NIR LEDs enable efficient object detection and quality control through enhanced imaging systems, while in agriculture, they support crop health monitoring and moisture detection. Furthermore, advancements in sensor technology and increasing investment in research and development are driving innovation in this wavelength range. The expanding scope of these applications, combined with government initiatives promoting energy-efficient and advanced technologies, ensures this spectral range remains a focal point for market growth.
 

Based on application, the NIR LED market is divided into medical, solar simulator, machine vision, optical sorting, sensor and detection, security and surveillance. The medical segment is expected to reach a value of USD 384.7 million by 2034.
 

The medical application segment represents the largest market for NIR LEDs, driven by their critical role in non-invasive diagnostic and therapeutic procedures. NIR LEDs are extensively used in pulse oximetry, blood oxygenation monitoring, and photodynamic therapy due to their ability to penetrate human tissues effectively without causing harm. Their integration into wearable medical devices, such as fitness trackers and remote patient monitoring systems, has surged with the growing emphasis on preventive healthcare and chronic disease management.
 

Another key driver for the dominance of the medical application market is the increasing use of NIR LEDs in imaging and diagnostics. These devices enable enhanced visualization in optical coherence tomography (OCT) and fluorescence imaging, which are pivotal for early disease detection and monitoring. The growing prevalence of cardiovascular diseases, diabetes, and other chronic conditions requiring continuous monitoring has significantly boosted the adoption of NIR LEDs in medical applications. Government initiatives to enhance healthcare infrastructure, coupled with rising investments in medical technology innovation, solidify the medical sector’s position as the largest market for NIR LEDs.
 

U.S. dominated the North America market in 2024, accounting for a share of 80.6%. The NIR LED market in the U.S. is driven by its strong foothold in healthcare, automotive safety systems, and industrial automation. The widespread adoption of advanced driver assistance systems (ADAS) and facial recognition technologies in consumer electronics underscores the demand for NIR LEDs in automotive and security applications. Significant investments in research and development by leading market players, coupled with a focus on energy-efficient technologies, enhance the country’s position as a global leader. Regulatory mandates promoting the adoption of biometric authentication and patient monitoring devices further propel market growth. The U.S. also benefits from a robust ecosystem of innovation and manufacturing excellence, which supports sustained growth.
 

India’s NIR LED market is witnessing exponential growth due to its burgeoning automotive industry and increasing adoption of electric vehicles. Government initiatives like "Make in India" and smart city projects are driving demand for advanced sensor technologies in infrastructure, automation, and IoT applications. The expanding healthcare sector, coupled with rising demand for affordable diagnostic and wearable health devices, is further fueling the market. India’s cost-effective production capabilities and improving technological expertise position it as a key player in the global supply chain, with significant growth opportunities in industrial and consumer electronics segments.
 

China dominates the NIR LED industry due to its unparalleled electronics manufacturing capacity and rapid industrialization. The country’s leadership in the production of smartphones, IoT devices, and automotive components drives significant demand for NIR LEDs in biometric systems and ADAS. Strong government support for electric vehicle adoption and renewable energy projects boosts the utilization of NIR LEDs in industrial and automotive applications. China’s aggressive investments in R&D and manufacturing automation further consolidate its global leadership. The growing middle class and rising demand for smart home technologies also contribute to the market's expansion.
 

South Korea’s NIR LED market thrives on its advanced semiconductor and consumer electronics industries. The country’s focus on wearable health technologies and biometric systems drives the adoption of NIR LEDs in healthcare and security applications. With its leadership in MEMS sensor integration and smart device manufacturing, South Korea continues to innovate in automotive and industrial automation sectors. The government’s emphasis on fostering technological innovation and strong collaboration between research institutions and industries ensures sustained market growth. The growing trend of miniaturization in electronic devices further strengthens South Korea’s competitive edge.
 

Japan’s market is characterized by its precision engineering and innovation in robotics, automotive, and industrial automation. As a global leader in advanced manufacturing, Japan leverages its expertise to develop high-performance NIR LEDs for medical imaging, diagnostics, and ADAS. The country’s aging population drives the demand for healthcare applications, including wearable devices and patient monitoring systems. Japan’s commitment to sustainable practices and energy-efficient manufacturing aligns with global trends, enhancing its role in the market. The emphasis on integrating NIR LEDs in next-generation robotics and smart technologies cements Japan’s position as a leading player in the industry.
 

NIR LED Market Share

The NIR LED industry is characterized by intense competition, with key players such as Brightek (Europe) Limited, DOWA Electronics Materials Co., Ltd., EPILEDS, and Epistar Corporation striving to gain a competitive edge. Companies in this market compete primarily on factors such as product performance, including wavelength precision, power efficiency, and durability. Price competitiveness is also a critical factor, especially in cost-sensitive markets like consumer electronics. Product differentiation through innovation, such as miniaturized designs and advanced packaging technologies, plays a significant role in attracting niche applications like wearable devices and industrial automation. Robust distribution networks and strategic partnerships further enable companies to enhance market penetration. Additionally, players are investing heavily in research and development to stay ahead in technological advancements and cater to evolving customer demands across diverse industries.
 

NIR LED Market Companies

Major players operating in the NIR LED industry are:

• Alpha One Electronics Ltd
• Brightek (Europe) Limited
• DOWA Electronics Materials Co., Ltd.
• EPILEDS
• Epistar Corporation
• Everlight Electronics Co Ltd
• Excelitas Technologies Corporation
• Hamamatsu Photonics
• High Power Lighting Corporation
• Opto Diode Corporation
   

NIR LED Industry News

• In June 2022, Opto Diode Corporation, offers a variety of high-power, infrared light-emitting diodes (IRLEDs) and ultra-high-power near-infrared LED illuminators designed for military, aerospace, and defense. The devices are widely used in surveillance, night vision, and various military imaging applications.
   
• For instance, In October 2024, ams OSRAM announced its revolutionary IR:6 infrared LED chip technology. Offering up to 35% increased brightness and 42% higher efficiency compared to previous generations, the IR:6 thin-film chip sets a new benchmark in performance. Designed for applications such as security cameras, biometric authentication systems in PCs, and smart doorbells, this technology delivers enhanced illumination for superior image quality and faster, more accurate recognition of biometric markers. By saving power and extending battery life, the IR:6 empowers manufacturers to build more efficient and reliable devices for modern consumer and industrial needs.
   

This NIR LED Market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million) & volume (Units) from 2021 to 2034, for the following segments:

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Market, By Spectral Range

• 700nm-900nm
• 900nm-1500nm
• 1500nm-2500nm
• Custom Wavelength Bands

Market, By Application

• Medical
  • Pulse Oximetry
  • Dermatology
  • Photodynamic Therapy
  • Others
• Solar simulator
  • Simulating Sunlight for Solar Cell Testing
  • Spacecraft Solar Panel Simulation
  • Others
• Machine vision
  • Food Inspection
  • Product Sorting
  • Quality Control
  • Others
• Optical sorting
  • Sorting and recycling of materials
  • Others
• Sensor and Detection
  • Gas Detection
  • Environmental Monitoring
  • Proximity Sensors
  • Others
• Security and Surveillance
  • Facial Recognition
  • Night Vision Cameras
  • Security Cameras
  • Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • UAE
  • Saudi Arabia
  • South Africa