SAN JOSE, USA: The global optoelectronics market is expected to register rapid growth in the coming years. Expanding scope of applications of optoelectronics in several entertainment and consumer product areas such as medical, automotive, illumination signals, signs and devices, and mobile appliances is expected to be the major drivers of this growth.

Further, the optoelectronics market is expected to witness merger of applications with the strong foray of flat panel displays into new market segments, in addition to the rapid substitution of cathode ray television. The portable feature is likely to gain significance with personal computers shrinking in size with very small projection displays and virtual keyboards.

With safety and convenience ruling the design of modern vehicles, the automobile industry is increasingly leaning onto optoelectronics for solutions. The global optoelectronics market is expected to be worth $600 billion by 2010.

Optoelectronics in automobiles
A wide range of optoelectronic devices are finding their way into automobiles to provide safety, convenience and ease to the driver. An apt example is optoelectronics enabled adaptive cruise control system, an intelligent automobile technology designed to manipulate the speed of the vehicle by detecting approaching traffic, and its proximity to the vehicle in question. This technology is expected to be ingrained into all of the next generation cars.

Optoelectronic devices are also utilized in HID headlamps, liquid crystal display for speedometer, tachometer, navigation, audio system, and climate controls, and infrared eye-sensors to automatically adjust seat position of an individual in seconds. Moreover LEDs, based on optoelectronics are being utilized for interior and rear lighting in automobiles, and would eventually be used in automotive headlamps.

On the horizon appears a steep rising demand for optical components, vast scope for expansion of production activities and lucrative corporate profit margins. Expanded functionality of fiber optics, hitherto predominantly utilized only for transmission is likely to kindle the need for optical components.

The global optical components market is portended to feature a lucrative CAGR of over 14 percent for the period 2000-2010, reaching $260 billion by 2010. Global optical disk equipment market and optical input-output equipment market represent the two major segments within the optical equipment and systems market. The market for optical disk equipment is expected to grow at a compounded annual rate of 10.6 percent for the period 2000-2010.

Telecommunications and consumer products have been determining the technological and business success in the Japanese optoelectronics market, which has played a key role in optical communications. With focus on large-scale, low-cost production, Japan has been able to gain leadership positions in products such as optoelectronic displays, fiber-optic gyros, and compact disk players. Japan is likely to maintain its leadership position in optoelectronics market.

Japan represents the world's largest market for optoelectronics, garnering about a third of the global share. The Japanese optoelectronics market is expected to grow at a compounded annual rate of about 10 percent through the period 2000-2010. The optoelectronics market in the US is estimated at about US$102 billion.