Vertical Cavity Surface Emitting Laser (VCSEL) Market Size, Share, Growth, Trends, and Global Industry Analysis: By Type (Single-Mode, Multimode), By Material (Gallium Arsenide (GaAs), Indium Phosphide (InP), Gallium Nitride (GaN), Others), By Wavelength (Red, Near-Infrared (NIR), Shortwave Infrared (SWIR)), By Application (Sensing, Data Communication, Industrial Heating & Laser Printing, LIDAR, Pulse Oximetry, Other Applications), By Data Rate (Upto 10 Gbps, 10.1 to 25 Gbps, Above 25 Gbps), By Industry (Consumer Electronics, Data Center, Automotive, Commercial & Industrial, Healthcare, Military, Others) and Region Forecast 2020-2031

Vertical Cavity Surface Emitting Laser Market size was valued at US$ 1.9 million in 2024 and is expected to reach US$ 3.4 million by 2031, growing at a significant CAGR of 8.5% from 2025-2031. report provides a detailed overview of the global market, which can be segmented by Type, by Material, by Wavelength, by Application, by Data Rate, and by Industry. By type, the global market has been segmented into Single-Mode, Multimode. The single mode segment is likely to be the largest and fastest-growing segment in terms of type. Based on material, the global market is segmented into Gallium Arsenide (GaAs), Indium Phosphide (InP), Gallium Nitride (GaN), and Others.

Among these, the gallium arsenide (GaAs) segment is expected to have the fastest-growing market during the forecast period 2022-2028. Based on wavelength, the global market is segmented into Red, Near-Infrared (NIR), and Shortwave Infrared (SWIR). The red segment accounts for the largest share in 2021. Near-Infrared (NIR) segment is the second-largest share during the forecast period 2022-2028. Based on the application, the segment has been segregated into Sensing, Data Communication, Industrial Heating & Laser Printing, LIDAR, Pulse Oximetry, and Other Applications.

The sensing segment is expected to dominate other segments in the global market. The data communication segment is expected to witness the highest CAGR during the forecast period according to precision business insights. Based on data rate, the global market is segmented into up to 10 Gbps, 10.1 to 25 Gbps, and Above 25 Gbps. The upto 10 Gbps segment accounts for the largest share in 2021. Based on industry, the global market is segmented into Consumer Electronics, Data Centers, Automotive, Commercial & Industrial, Healthcare, Military, and Others. Among these, consumer electronics is the fastest-growing segment.

Key Developments:

• In Feb 2021, II-VI Incorporated revealed the first of its multi-junction VCSEL array platforms, double-junction vertical-cavity surface-emitting laser (VCSEL) arrays, for third-generation 3D sensing applications.
• In June 2020, Hubble, a division of Huawei, made an investment in the semiconductor start-up Vertilite. The startup focuses on creating VCSEL chips, while Hubble is an investment-based enterprise (vertical-cavity surface-emitting laser). Another possible addition to this plan to reward regional semiconductor makers is Vertilite.