Indoor Architectural Lighting Market Projected to Reach $31.07 Billion with 8.2% CAGR by 2029

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The Business Research Company’s Indoor Architectural Lighting Global Market Report 2025 – Market Size, Trends, And Forecast 2025-2034

LONDON, GREATER LONDON, UNITED KINGDOM, September 4, 2025 /EINPresswire.com/ -- What Is The Expected Cagr For The Indoor Architectural Lighting Market Through 2025?
In recent years, the indoor architectural lighting market has shown strong growth. Projected to increase from $20.93 billion in 2024 to $22.71 billion in 2025, the market's compound annual growth rate (CAGR) is estimated to be 8.5%. The historical rise in the market size can be connected to factors such as the surge in renovations within the residential sector, increased emphasis on eco-friendly indoor environments, heightened use of smart home devices, a growing preference for ambiance-improving lighting, and an uptick in the combination of lighting with interior design trends.

The market size for indoor architectural lighting is predicted to experience remarkable growth in the upcoming years, swelling to $31.08 billion in 2029 with a compound annual growth rate (CAGR) of 8.2%. The acceleration during this forecast period can be ascribed to factors such as growing commercial space needs for smart lighting, increased adoption of IoT-based lighting systems, a surge in certificates for green buildings, substantial investment toward infrastructure enhancement, and a heightened focus on energy conservation and sustainable practices. Key trends expected during this period comprise advancements in wireless lighting control systems, growth in tunable white lighting solutions, innovation in lighting designs focused on human well-being, enhancements in AI-driven lighting automation, and the growth of modular and personalized lighting fixtures.

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What Are The Key Factors Driving Growth In The Indoor Architectural Lighting Market?
The proliferation of smart city projects is anticipated to fuel the expansion of the indoor architectural lighting industry in the future. These initiatives encompass the fusion of digital technology and intelligent infrastructure to amplify the effectiveness, sustainability, and life quality in urban areas. The surge in smart city projects is attributed to the international push for urban transformation, with cities embracing innovative technologies to enhance resource management and public facilities. Indoor architectural lighting contributes to the objectives of smart cities by employing energy-saving LEDs and intelligent sensors to mitigate power consumption. It efficiently melds with smart systems to regulate lighting based on the presence of inhabitants and natural light, fostering sustainable city environments. For example, as per the International Institute for Management Development, a business school based in Switzerland, the tally of smart cities globally escalated from 118 cities in 2021 to 141 cities in 2023 in April of that year. Consequently, the surge in smart city projects is propelling the expansion of the indoor architectural lighting industry.

What Are The Top Players Operating In The Indoor Architectural Lighting Market?
Major players in the Indoor Architectural Lighting Global Market Report 2025 include:
• Panasonic Corporation
• Toshiba Corporation
• Eaton Corporation plc
• Legrand
• Signify N.V.
• OSRAM Licht AG
• Hubbell Incorporated
• Acuity Brands Inc.
• Havells India Ltd.
• Zumtobel Group AG

What Are The Main Trends, Positively Impacting The Growth Of Indoor Architectural Lighting Market?
Leading entities within the indoor architectural lighting market, like smart lighting innovators, are emphasizing on the production of cutting-edge products to boost energy efficiency and promote the construction of eco-friendly buildings. Smart lighting units leverage sensors, applications, or voice-activated orders to autonomously and remotely regulate lighting. These units modify brightness, color, and schedules based on environment or user preferences, thus enhancing energy conservation and user comfort. For example, in September 2024, Signify, an Indonesian connected LED lighting system supplier, introduced WiZ in Indonesia. This service offers products that effortlessly synchronize with smart home systems and can be controlled via smartphone, voice command, or remote control. With this introduction, Signify aims to expedite Indonesia's digital metamorphosis and strengthen its supremacy in providing connected lighting solutions. WiZ offers smart lighting products endowed with 16 million color options, stretching from different shades of white to a broad spectrum of colors. The system underscores the ease of plug-and-play and user-friendly controls, thereby making it a hassle-free option for individuals seeking to customize their home environment and mood with ease.

Comprehensive Segment-Wise Insights Into The Indoor Architectural Lighting Market
The indoor architectural lighting market covered in this report is segmented –

1) By Product Type: Recessed Lighting, Surface-Mounted Lighting, Suspended Lighting, Track Lighting, Other Product Types
2) By Light Source: Light Emitting Diode (LED), Fluorescent, Incandescent, Other Light Sources
3) By Distribution Channel: Online Stores, Specialty Stores, Supermarkets Or Hypermarkets, Other Distribution Channels
4) By Application: Residential, Commercial, Industrial, Other Applications

Subsegments:
1) By Recessed Lighting: Light Emitting Diode (LED) Downlights, Adjustable Recessed Fixtures, Wall Washers, Fixed Recessed Lights, Shower Trim Lights
2) By Surface-Mounted Lighting: Ceiling-Mounted Fixtures, Wall-Mounted Fixtures, Light Emitting Diode (LED) Downlights Panels, Bulkhead Lights, Cove Lights
3) By Suspended Lighting: Linear Suspended Lights, Pendant Lights, Chandeliers, Ring Lights, Cluster Pendant Systems
4) By Track Lighting: Fixed Track Lights, Flexible Track Lights, Monorail Track Systems, Two-Circuit Track Systems, Track Pendant Lights
5) By Other Types: Spotlights, Accent Lighting, Under-Cabinet Lighting, Picture Lights, Step Lights

View the full indoor architectural lighting market report:
https://www.thebusinessresearchcompany.com/report/indoor-architectural-lighting-global-market-report

Global Indoor Architectural Lighting Market - Regional Insights
For the year under consideration in the Indoor Architectural Lighting Global Market Report 2025, the reigning region was Asia-Pacific. The anticipated growth trend of this region is also outlined in the report. To maintain precision, all regions in the report, including Western Europe, Eastern Europe, North America, South America, Middle East, and Africa, are also encompassed in addition to Asia-Pacific.

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