The advent of Industry 4.0 technologies in the enterprises and the ability to transform data into valuable insights are increasing the investments of enterprises to broaden the functionality, capability, and technology-driven solutions for deeper connectivity. These concepts are to be achieved with high-level integration to establish more in-depth intelligence within desired costs. These connected smart systems entail the power of the network to unveil its whole potential and interoperability. Furthermore, these systems require huge investments to increase value and revenue along with other desired functionalities. Therefore, at a physical layer, Power over Ethernet (PoE) delivers long-term cost reduction making it as a viable option in intelligent building systems. Besides, a proper design of PoE reduces the energy consumption of a building substantially. Moreover, PoE lighting upgrades are revolutionizing by taking center stage of innovations. As a result, the global Power over Ethernet market growth is surging with proliferated demand from smart systems coupled with the updated IEEE standards.
The global Power over Ethernet Market size attained a value of $612 million in 2018. Furthermore, the demand is significantly rising with a CAGR of 12.64% during the forecast period 2019-2025.
The Latest Release of IEEE 802.3bt Empowering the IoT Systems
At present, there is an insatiable demand for a higher power to support smart devices connected to the Ethernet network. So, the IEEE (The Institute of Electrical and Electronics Engineers) has ratified IEEE 802.3bt – the 100W 4-pair Power standard in 2018, which was approved in the early months of 2019. This ratification came right in time of need to meet with the power demand of IoT (Internet of Things) and smart buildings. Without PoE, smart systems integration is hard and expensive. The IEEE 802.3bt standard increases the maximum PoE, enabling multiple and meaningful power management capability. Furthermore, it enables POE injectors to carry out power and data transmission using large bandwidth to wired and wireless devices including PTZ security cameras, exterior-mounted IP cameras, and next-generation wireless access points (WAPs), interactive and self-service kiosks, etc. As a result, the latest IEEE 802.3bt standard acts as a catalyst to the Power over Ethernet market boosting the demand among the Power Sourcing Equipment (PSE) and Powered Devices (PD) which require high or extended power.
Power over Ethernet Market Reducing Unplanned Network Outage Associated Financial risks and Establishing Better Network Control
On the whole, as technology is advancing to adopt connectivity, POE devices such as POE injectors and midspans are reducing the requirement of power and data sharing. Networked PoE devices enable a single administrative system that can be managed through a centralized location. This centralized control simplifies management abilities of a POE system, thereby giving marginal scope for human error and other business risks when compared with the independent or locally supported systems.
On the other hand, despite huge investments made by large-scale and mid-scale enterprises to mitigate unplanned outages and network downtime, with each passing year are posing significant financial and operational losses to the companies. With Ethernet cabling, PoE devices collect and share the data with other devices providing high-performance and real-time interaction among the systems. With this, power over Ethernet reduces outages and improves network uptime during unplanned maintenance by revoking data on a network using the remote backup. As a result, PoE ensures improved network control and reduce financial risks, which are prominent to any industry.
Energy-Efficiency of Power-over-Ethernet Market offering Seamless Experience in North America
North America has led the global power over Ethernet market with a regional share of 34% in 2018. The U.S is strong bedrock for Ethernet and Telecommunications giants such as Cisco Systems. Companies as such are inventing new technologies and products to meet the market demands. Besides, North American countries such as the U.S and Canada have robust healthcare sectors compared to the rest of the world. Energy-efficiency is one of the central focal points in the budgeting of the healthcare vertical. PoE-enabled devices ensure energy-efficiency and provide long-term cost-saving in higher-power and broader reaching wireless networks. Moreover, the demand to digitize patient healthcare records rely on reliable connectivity and high-power systems which are delivered by PoE devices. Subsequently, these growth prospects in North America are driving the demand for the PoE market.
Power over Ethernet Market Revolutionizing LED Lighting Segment
LED lighting segment is accelerating in the global power over Ethernet market with a CAGR of 13.1% over the forecast period. The era of IoT is driving the LED lights revolution replacing compact fluorescent lights (CFLs) owing to its higher energy-efficiency. Besides, businesses are further profiting from the LED lighting with a common power source established by power over Ethernet. PoE accomplishes simplified deployment of LED light sources and enables smart lighting. PoE enabled smart lighting does not require a home gateway, unlike Z-Wave and Zigbee home automation standard, making them equally ideal for home and industrial automation.
Furthermore, the system can be easily operated through a mobile application using the internet. These advantages over its peers are fueling the growth of the Power-over-Ethernet market in LED lighting. In 2018, Philips Lighting installed its first-ever Power over Ethernet connected lighting system. They built a smart office in Albertslund Municipality of Denmark using Cisco network technology. This enabled effective energy use and space management while delivering personalization to their employees in office lighting, which is controlled by a smartphone application. Also, the Ethernet cabling routed data acquired by sensors to the management system. These instances are bringing a paradigm shift in energy-efficient connected office lighting systems. Therefore, the LED lighting segment is impelling with lucrative opportunities in power over Ethernet market.
Key Players in the Global Power over Ethernet Market
The core companies operating with a dominant share in the global PoE market are Microsemi Corp., Axis Communications AB, STMicroelectronics N.V., Texas Instruments Inc., Cree, Inc., Panasonic Corp., Maxim Integrated Products Inc., Linear Technology Corp., Cisco Systems, Inc., D-Link Corp., and Koninklijke Philips N.V.
Product launches in the global POE industry –
Unceasing product launches are reigning in the global power over Ethernet industry with the ratification of new IEEE-802.3at standard.
· In 2018, Phoenix Contact, German-based industrial automation, and interface solutions provider expanded its product portfolio of POE switches with the latest addition of new unmanaged and managed switches. These new switches are compatible with all IEEE-802.3at (PoE+)-compliant devices and are apt for harsh environments. Their applications include building automation, machine automation, and video monitoring.
· In 2018, AMG Systems, a global provider of IP/Ethernet, wireless and hybrid communication transmission solutions, launched 90W Power over Ethernet switches. This newest member joined the family of Industrial Ethernet of AMG Systems to serve the most demanding of video surveillance applications. They allow the CCTV cameras to capture high-quality, crisp, and clear images by ensuring full functionality in harsh conditions, which include heaters to avoid condensation issues and illuminators in low-light operation. These features are gaining ground in cameras with the newest IEEE-802.3bt standard.
· In 2017, Linear Technology Corporation, a part of Analog devices, a leading manufacturer and marketer of analog ICs introduced LTC4279, a single port PoE controller for PSE. This product is launched for power-hungry applications such as machine vision systems, security monitoring systems, LED signage, kiosk, and home automation. This versatile LTC4279 delivers high power to a variety of power devices, midspan power injectors, and endpoints and enables wide system compatibility.
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