by The global Optical Encoder Market is estimated to be valued at US$ 2580.9 Mn or Mn in 2023 and is expected to exhibit a CAGR of 8.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Optical encoders help in motion control by providing feedback signals corresponding to the rotation or linear movement of related machinery components. They offer benefits such as high resolution, reliability and resistance to electromagnetic interference.
Market key trends:
One of the key trends in the optical encoder market is the emergence of new product innovations. Manufacturers are developing smarter encoders with advanced features to cater to the evolving demands of end-use industries. For instance, encoder sizes are being miniaturized to allow integration into compact machines and tools. Multi-turn encoders are also gaining popularity as they can measure angular position over multiple revolutions. Interface formats are also being upgraded to support next-gen networking and connectivity standards. These product improvements are expanding the use of optical encoders across industries.
The optical encoder market has been witnessing growth due to the increasing demand for motion control and increased automation across industrial sectors. Optical encoders provide high resolution and accuracy for position and motion feedback systems which has boosted their adoption globally. Further, innovations such as incremental encoders, absolute encoders and multi-turn encoders have widened the scope of applications for optical encoders.
SWOT Analysis
Strengths: Optical encoders provide high accuracy, reliability and resistance to electromagnetic interference. They also do not require maintenance and have longer life.
Weaknesses: Optical encoders have high initial costs compared to other encoder types. They also cannot withstand high temperatures.
Opportunities: Growth of automation in automotive, electronics and heavy machinery industries. Increasing adoption of robotics and industrial IoT also presents opportunities.
Threats: Availability of cheaper alternatives like magnetic encoders. Trade tensions can impact component sourcing.
Key Takeaways
Global Optical Encoder Market Demand is expected to witness high growth, exhibiting CAGR of 8.7% over the forecast period, due to increasing demand for motion control systems across industries.
The regional analysis shows that Asia Pacific dominates the global optical encoder market currently, due to strong presence of manufacturing industries in China, Japan and other emerging economies. North America is also a major market owing to booming robotics and industrial automation sectors.
Key players operating in the optical encoder market are Honeywell International Inc., Renishaw plc, Sensata Technologies, Inc., US Digital, Rockwell Automation, Inc., Allied Motion Technologies Inc., and Grayhill Inc. Honeywell and Renishaw collectively hold over 40% of the global market share currently.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
