A broad range of applications will keep LIDAR device demand going strong
Los Angeles, CA (PRWEB) December 06, 2012
The LIDAR Device Manufacturing industry has performed well over the past five years. Over the five years to 2012, industry revenue is expected to increase at an annualized rate of 7.8% to $116.0 million. LIDAR (Light Detection and Ranging) uses pulses of laser light to map terrain, model water flow and pollution and facilitate urban planning and building construction. The technology also has a wide range of military and intelligence applications. “The broad range of downstream markets that use LIDAR technology insulated industry participants from the economic downturn and continues to drive demand for the industry,” says IBISWorld industry analyst Kevin Boyland.
A major trend in the LIDAR Device Manufacturing industry has been technological advancements that lower the cost and increase the efficiency of LIDAR data acquisition. For example, multiple pulses in air technology has increased the coverage area of LIDAR surveying, and automatic feature extraction in LIDAR processing software has reduced data processing time and cost. “As a result,” adds Boyland, “the technology has become more cost-effective and accessible to end users, increasing the industry's customer base.” Revenue is expected to grow 9.1% in 2012 as the number of industry customers, particularly in the engineering sector, continues to rise.
The industry has a low level of market share concentration, as most industry operators are small firms that assemble LIDAR systems for a very specific application. Over the past five years, concentration has remained relatively constant, and major player Optech is the only company with a significant market share. Additionally, firms that only offer LIDAR data processing services have increasingly emerged. While these firms are not included in the industry, they supplement demand for the industry by abstracting the technical aspects of processing LIDAR data away from end users; these users may not have the specialized knowledge required to analyze large data sets and would have been previously unable to derive much utility from LIDAR systems.
Industry growth is expected to continue moving forward, with revenue forecast to rise over the five years to 2017. Revenue growth is anticipated to be underpinned by the increasing prominence of several burgeoning LIDAR applications. These include LIDAR used in adaptive cruise control systems in automobiles, crime scene analysis and gaming and virtual reality applications. Additionally, LIDAR technology integrated with other digital imaging technology is anticipated to increasingly be offered to end users, as LIDAR-only systems are insufficient for some applications. This factor will effectively serve to increase the barriers to entry in the industry because integrated systems necessitate a higher level of technical expertise and capital resources to manufacture. For more information, visit IBISWorld’s LIDAR Device Manufacturing in the US industry report page.
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IBISWorld industry Report Key Topics
Companies in this industry manufacture Light Detection and Ranging (LIDAR) equipment, which is an optical remote sensing technology that can measure the distance to, or other properties of, a target by illuminating the target with pulses from a laser. This industry excludes firms that provide LIDAR processing services or LIDAR processing software. However, processing software is essential in the use of LIDAR systems and many industry firms provide this software to their customers.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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