U.S. Lighting Market 2025-2033
U.S. Lighting Market to Reach USD 41.9 Billion by 2033 as Smart Lighting, IoT Integration, and Energy-Efficiency Mandates Reshape the Industry
Phoenix Research Forecasts 4.7% CAGR Driven by Retrofit Pipelines, Building Code Modernization, and Human-Centric Lighting Demand
– October 3, 2025 – Phoenix Research, a global leader in AI-powered market intelligence, has released its latest industry report: “U.S. Lighting Market Outlook 2025–2033: Smart Systems, Retrofit Pipelines, and the Future of Connected Illumination.” The report forecasts that the U.S. lighting market will expand from USD 28.4 billion in 2025 to approximately USD 41.9 billion by 2033, growing at a compound annual growth rate (CAGR) of 4.7%.
Driven by energy-efficiency mandates, retrofit incentives, and the rise of connected and human-centric lighting systems, the U.S. market is transitioning from product-based sales to integrated, data-driven lighting solutions that align with evolving sustainability and building-code standards.
“The U.S. lighting market is rapidly evolving into a connected ecosystem where energy efficiency, occupant wellness, and data converge,” said Rachna Patni, Senior Market Analyst at Phoenix Research. “Integration with IoT platforms, lighting-as-a-service models, and tunable white technologies are transforming how lighting supports both performance and wellbeing across sectors.”
Key Insights from the Report
LED Adoption and Retrofit Activity Drive Market Volume
The transition from legacy HID and fluorescent systems to LED fixtures remains the single largest growth driver. Energy-efficiency mandates and utility rebate programs are supporting extensive commercial, industrial, and municipal retrofit activity. Phoenix’s Demand Forecast Engine highlights strong pipelines in office, retail, and municipal street-lighting modernization.
Connected Controls and Building Integration Reshape Value Proposition
The rise of networked lighting controls (NLC), Power over Ethernet (PoE) lighting, and wireless protocols such as Zigbee and Bluetooth Mesh is redefining lighting as a smart-building enabler. Phoenix’s Sentiment Analyzer Tool indicates growing procurement preference for integrated lighting-and-controls ecosystems that deliver both efficiency and data intelligence.
Sustainability and Circular Economy Models Strengthen Economics
State-level energy codes and decarbonization targets are making LED upgrades and control adoption a compliance-driven necessity. Organizations are increasingly adopting circular-economy practices such as repairable fixtures, modular components, and take-back programs to minimize lifecycle costs and waste.
Human-Centric and Wellness Lighting Gaining Traction
Adoption of circadian-friendly lighting in workplaces, healthcare, and education facilities continues to expand. Tunable-white systems, high-fidelity spectrum lighting, and sensor-integrated luminaires are gaining specification as evidence grows linking light quality to health and productivity outcomes.
Infrastructure Modernization Anchors Long-Term Investment
Municipal and smart-city projects are modernizing street lighting infrastructure with adaptive, connected systems. Operational savings and data-enabled city services are making smart lighting an essential foundation of urban sustainability programs.
Regional Market Highlights
Northeast & Mid-Atlantic (CAGR: 4.9%) – High Regulation, Strong Retrofit Momentum
States including New York, Massachusetts, and New Jersey lead with aggressive energy codes and robust utility incentive programs. Municipal smart-lighting pilots and public-sector retrofits dominate the project pipeline.
West Coast (CAGR: 5.1%) – Fastest Adopters of Controls and HCL
California’s Title 24 and regional decarbonization mandates drive early adoption of advanced controls, daylighting, and wellness lighting systems. Major smart-city and high-performance building projects continue to accelerate demand.
South & Sunbelt (CAGR: 4.6%) – Construction-Driven Expansion
Rapid commercial and industrial construction activity across Texas, Florida, and the Southeast supports large-scale adoption of efficient and connected lighting systems.
Midwest & Central – Industrial Focus
High-bay LED systems dominate demand from manufacturing and warehousing sectors, while municipal outdoor lighting projects advance steadily under local energy-efficiency programs.
Market Segmentation
By Product
-
LED Lamps & Fixtures
-
Traditional Lamps (HID/Fluorescent) — declining share
-
Controls & Sensors (NLC, DALI, PoE, Wireless Mesh)
-
Lighting Management Software & Analytics
-
Outdoor & Street Lighting Systems
By End-User / Application
-
Commercial (Offices, Retail, Hospitality)
-
Residential (New Build & Retrofit)
-
Industrial & Warehousing
-
Outdoor & Municipal (Street, Sports, Parking)
-
Healthcare & Education
-
Architectural & Specialty Lighting
By Distribution Channel
-
Electrical Distributors & Wholesalers
-
OEM Direct Sales / Spec Channels
-
E-commerce & Retail (Residential Focused)
-
Energy Service Companies (ESCOs) & Lighting-as-a-Service (LaaS)
-
Contractors & Integrators
By Technology
-
Standard LED (Fixed White)
-
Tunable White / Human-Centric Lighting (HCL)
-
PoE Lighting Systems
-
Smart / Connected Lighting Platforms
-
UV-C / Disinfection Lighting (Niche Applications)
Leading Companies
Phoenix’s Event Detection Engine and market intelligence mapping identify the following key players shaping the U.S. lighting industry:
-
Signify (Philips Lighting)
-
Acuity Brands, Inc.
-
Hubbell Incorporated
-
Eaton (Cooper Lighting Solutions)
-
Cree / Cree Lighting
-
Legrand (Pass & Seymour, Interlogix Channels)
-
OSRAM (LEDVANCE Portfolio)
-
GE Current / Current Lighting Solutions
-
Zumtobel Group
-
Lutron Electronics
These companies are accelerating investment in software-driven ecosystems, Lighting-as-a-Service pilots, and smart-city partnerships to expand recurring revenue streams and market differentiation.
AI-Powered Strategic Insights
-
Demand Forecast Engine: Modeled market growth through retrofit cycles, code adoption timelines, and construction indices.
-
Construction Activity Mapping System: Identified over 3,400 projects specifying lighting upgrades or smart-lighting scopes through 2028.
-
Sentiment Analyzer Tool: Reveals procurement shift toward lifecycle cost, embedded sensors, and building management interoperability.
-
Automated Porter’s Analysis: Highlights moderate supplier concentration, rising buyer sophistication, and emerging IoT platform entrants.
Forecast Snapshot (2025–2033)
| Metric | Value |
|---|---|
| 2025 Market Size | USD 28.4 Billion |
| 2033 Market Size | ~USD 41.9 Billion |
| CAGR (2025–2033) | 4.7% |
| Largest Segment (2024) | Commercial Lighting & Controls (~45.6%) |
| Fastest Growing Segment | Residential Smart & Connected Retrofit (~6.2% CAGR) |
| Top Technology Trend | LED + Networked Controls / PoE Integration |
| Future Growth Focus | Lighting-as-a-Service, HCL in Workplaces & Healthcare, Smart-City Street Lighting |
Why the Market Matters
-
Lighting remains one of the most effective levers for energy-efficiency and carbon reduction.
-
Transition toward connected lighting creates ongoing software and analytics opportunities.
-
Retrofit pipelines provide predictable, long-term growth across public and private sectors.
-
Human-centric lighting enhances wellbeing, productivity, and facility value.
-
The market forms a foundation for broader smart-building and IoT ecosystems.
Final Takeaway
The U.S. Lighting Market is shifting from commodity fixtures to intelligent, software-enabled ecosystems that integrate energy management, human wellness, and real-time data insights. As lighting evolves into a strategic component of smart infrastructure, companies that combine performance, interoperability, and service-based models will define the next decade of market leadership.
About Phoenix Research
Phoenix Research is a global market intelligence and consulting firm leveraging proprietary AI platforms to deliver forward-looking insights across technology, energy, healthcare, infrastructure, and emerging industries. Through real-time data analytics, predictive modeling, and expert domain analysis, Phoenix Research empowers organizations worldwide to make proactive, data-driven strategic decisions.
To get the entire report please use the below link
https://www.pheonixresearch.com/market-report/u-s-lighting-market-2025-2033/