Street Lighting Market Size & Growth Forecast 2026–2035, By Segments (Type, Application), Regional Demand Trends (North America, Asia Pacific, Europe), Key Country Insights (U.S., Japan, South Korea, Germany, France, Italy), and Competitive Landscape

Market Size and Growth Outlook

Street Lighting Market size was valued at USD 9.65 Billion in 2025 and is anticipated to grow at a 3.7% CAGR from 2026 to 2035, surpassing USD 13.88 Billion by 2035. The industry revenue for 2026 is calculated at USD 9.96 billion.

• Base Year Value (2025): USD 9.65 Billion
• CAGR (2026-2035): 3.7%
• Forecast Year Value (2035): USD 13.88 Billion
• Historical Data Period: 2022-2025
• Largest Region: Asia Pacific
• Forecast Period: 2026-2035

Street Lighting Market Intelligence Snapshot:

• Regional Market Dynamics:

  • Asia Pacific led the market in 2025 due to extensive urban development, large municipal lighting networks, and sustained government-backed infrastructure upgrades and replacement projects.
  • Europe is projected to grow at a 4.22% CAGR as municipalities modernize aging lighting infrastructure with energy-efficient systems, smart controls, and long-term operational efficiency improvements.

• Segment Momentum:

  • LED Lighting accounted for 76.51% of the market in 2025 due to lower power consumption, longer service life, reduced maintenance, and lower lifecycle costs for large public lighting networks.
  • Highway lighting is the fastest-growing application as transport authorities expand and modernize major road corridors, requiring larger-scale illumination projects that enhance nighttime visibility and road safety.

• Market Expansion Drivers:

  • Rapid urbanization and infrastructure expansion increasing deployment of public street lighting networks.
  • Rising adoption of energy-efficient LED lighting reducing municipal energy and maintenance costs.
  • Growing smart city modernization initiatives accelerating demand for connected street lighting systems.

• Leading Market Participants:

  Top players in the street lighting market include Signify N.V. (Netherlands), Acuity Brands, Inc. (United States), ams-OSRAM AG (Austria), Zumtobel Group AG (Austria), Hubbell Incorporated (United States), Cooper Lighting Solutions (United States), Schréder Group GIE (Belgium), Cree Lighting USA LLC (United States), Thorn Lighting Ltd. (United Kingdom), Itron, Inc. (United States).

Unlock Complete Insights

Global Market Forecast Snapshot:

• Market Outlook:

  • 2025 Market Size: USD 9.65 Billion
  • 2026 Market Size: USD 15.2 billion
  • Projected Market Size: USD 13.88 Billion by 2035
  • Growth Forecasts: 3.7% CAGR (2026-2035)

• Regional and Segment Outlook:

  • Leading Regional Market: Asia Pacific
  • High-Growth Regional Hub: Europe
  • Core Revenue Segment: LED Lighting (Type) | Roadways (Application)
  • Emerging Opportunity Segment: Traditional Lighting (Type) | Highways (Application)

Market Growth Drivers and Industry Trends

Rapid urbanization and infrastructure expansion increasing deployment of public street lighting networks

As cities expand outward and population density rises, municipal authorities are required to extend illumination coverage to new roads, residential districts, transport corridors, industrial zones, and public spaces, directly driving demand for the street lighting market. This growth is shaped by capital spending on new urban infrastructure, where street lighting is installed as a standard component alongside roads, utilities, and traffic systems. In practice, the street lighting market benefits not only from greenfield deployment but also from the formalization of previously underlit peri-urban areas, where governments prioritize safety, mobility, and nighttime economic activity through broader lighting network buildout.

Rising adoption of energy-efficient LED lighting reducing municipal energy and maintenance costs

Municipal procurement is increasingly shifting toward LED-based systems because lighting budgets are heavily affected by electricity consumption and recurring maintenance cycles, making cost reduction a decisive purchasing factor in the street lighting market. LEDs change replacement economics by lowering power use and extending operating life, which encourages cities to accelerate retrofit programs for conventional lamps rather than defer upgrades. This practical budget advantage strengthens market development by making large-scale replacement projects easier to justify, especially where local governments are under pressure to improve service quality without expanding operating expenditure.

Growing smart city modernization initiatives accelerating demand for connected street lighting systems

Smart city programs are turning streetlights into digital infrastructure assets, which is increasing market penetration for connected and sensor-enabled products in the street lighting market. When municipalities invest in centralized control platforms, remote monitoring, adaptive dimming, and fault detection, lighting upgrades shift from simple hardware replacement to networked system deployment with software, communications modules, and management services. That transition supports market expansion by raising the value of each installation and aligning street lighting procurement with broader urban priorities such as energy optimization, traffic management, public safety monitoring, and data-driven infrastructure operations.

Growth Driver Assessment Framework
Growth Driver	Impact On CAGR	Regulatory Influence	Geographic Relevance	Adoption Rate	Impact Timeline
Rapid urbanization and infrastructure expansion increasing deployment of public street lighting networks	1.80%	Moderate	Asia Pacific, Middle East & Africa	High	Near Term
Rising adoption of energy-efficient LED lighting reducing municipal energy and maintenance costs	1.60%	High	North America, Europe, Asia Pacific	High	Mid Term
Growing smart city modernization initiatives accelerating demand for connected street lighting systems	1.30%	High	Europe, Asia Pacific	Emerging	Long Term

Regional Demand Dynamics

Asia Pacific (Largest Region) vs Europe (Fastest-Growing Region)

Asia Pacific held the largest regional market share in 2025 for the street lighting market, supported by the scale of ongoing urban development, dense municipal infrastructure requirements, and broad deployment needs across both expanding cities and established transport corridors. Demand remains anchored in large public lighting networks that require continuous installation, upgrade, and maintenance activity, while government-backed infrastructure programs and city-level modernization efforts help sustain procurement volumes. The region’s leadership is aided by the practical need to improve roadway visibility, manage energy use across extensive lighting assets, and replace older systems in high-population urban areas.

Europe is projected to expand at a 4.22% CAGR over the forecast period in the street lighting market, with growth being propelled mainly by retrofit activity and the modernization of aging public lighting infrastructure. Municipalities across the region are prioritizing more energy-efficient systems, smarter control capabilities, and lower operating costs, which is translating into steady replacement demand rather than purely new-build deployment. Growth is also being supported by the way local authorities manage public assets in practice, with procurement increasingly tied to long-term efficiency targets, connected lighting functions, and tighter performance requirements for public infrastructure.

Regional Market Attractiveness & Strategic Fit Matrix
Parameter	North America	Asia Pacific	Europe	Latin America	MEA
Innovation Hub	Advanced	Developing	Advanced	Emerging	Nascent
Cost-Sensitive Region	Medium	High	Medium	High	High
Regulatory Environment	Supportive	Neutral	Restrictive	Neutral	Neutral
Demand Drivers	Strong	Strong	Moderate	Moderate	Weak
Development Stage	Developed	Developing	Developed	Developing	Emerging
Adoption Rate	High	Medium	High	Medium	Low
New Entrants / Startups	Dense	Moderate	Dense	Sparse	Sparse
Macro Indicators	Strong	Stable	Stable	Weak	Weak

Key Country Insights

United States

Smart Infrastructure Deployment

The U.S. is modernizing street lighting networks through LED upgrades, connected controls, and intelligent asset management. Municipalities increasingly prioritize energy efficiency, maintenance optimization, and integration with broader smart city infrastructure.

Japan

Intelligent Urban Illumination

Japan is deploying advanced street lighting systems that balance public safety, energy conservation, and urban automation. Cities increasingly adopt connected lighting platforms with remote monitoring and adaptive illumination capabilities.

South Korea

Connected City Networks

South Korea is integrating street lighting into smart city initiatives through IoT-enabled control systems and centralized monitoring. Infrastructure investments prioritize operational efficiency, responsive maintenance, and scalable digital public services.

Germany

Energy-Efficient Urban Lighting

Germany is advancing street lighting projects that combine efficient LED systems with intelligent lighting controls. Local authorities emphasize sustainability, reduced operating costs, and adaptable infrastructure capable of supporting digital urban services.

France

Sustainable Public Lighting

France is upgrading street lighting infrastructure with energy-efficient technologies that support environmental objectives and improved public spaces. Municipal procurement increasingly favors connected lighting solutions with long operational lifecycles and reduced maintenance needs.

Italy

Urban Lighting Renewal

Italy is modernizing street lighting assets with LED technologies and digital management platforms to improve efficiency and reliability. Public authorities prioritize flexible lighting systems that enhance urban environments while reducing long-term operating expenses.

Segment Leadership and Growth Trends

  Type Segment Analysis: LED Lighting (Largest Segment) vs Traditional Lighting (Fastest-Growing Segment)

LED Lighting held a 76.51% share of the street lighting market in 2025, reflecting its established position as the dominant type across municipal and urban lighting networks. This leadership is maintained through the practical operating advantages that matter most to public authorities and contractors, especially lower power consumption, longer service life, and reduced maintenance frequency across large installed bases. In the street lighting market, these factors translate directly into lower lifecycle costs and easier asset management, which helps LED Lighting maintain its lead over other lighting types.

Traditional Lighting is emerging as the fastest-growing type in the street lighting market as some projects continue to favor existing infrastructure compatibility and lower upfront replacement complexity. Growth is being supported where municipalities or local operators extend the use of conventional systems rather than fully shifting to newer installations, particularly in areas with budget constraints or phased modernization plans. Relative to alternatives, Traditional Lighting gains momentum from its continued fit within legacy networks where immediate large-scale conversion is operationally difficult.

Application Segment Analysis: Roadways (Largest Segment) vs Highways (Fastest-Growing Segment)

Within the street lighting market, Roadways accounted for the largest share in 2025 because they represent the broadest and most consistently illuminated part of public transport infrastructure. Their leadership is aided by the routine need for street lighting across urban streets, arterial roads, and local transport corridors where visibility, traffic flow, and pedestrian movement require continuous coverage. This wide deployment base keeps Roadways at the center of demand in the street lighting market.

Highways are the fastest-growing application in the street lighting market, influenced by increasing attention to long-distance traffic movement, nighttime driving conditions, and the need for reliable illumination on high-speed routes. Growth in this segment is gaining pace as highway lighting projects typically involve larger-scale corridor deployments and upgrades where performance and road safety requirements are more stringent. Compared with other applications, Highways benefit from stronger momentum where transport authorities prioritize expansion and modernization of major intercity road networks.

Report Segmentation
Segment	Sub-Segment	Largest Segment	Fastest Growing Segment
Type	Traditional Lighting, LED Lighting	LED Lighting	Traditional Lighting
Application	Highways, Roadways	Roadways	Highways

Competitive Landscape and Market Positioning

Major players in the street lighting market:

1. Signify N.V. (Netherlands)

2. Acuity Brands Inc. (United States)

3. ams-OSRAM AG (Austria)

4. Zumtobel Group AG (Austria)

5. Hubbell Incorporated (United States)

6. Cooper Lighting Solutions (United States)

7. Schréder Group GIE (Belgium)

8. Cree Lighting USA LLC (United States)

9. Thorn Lighting Ltd. (United Kingdom)

10. Itron Inc. (United States)

Urban infrastructure modernization is driving the evolution of intelligent illumination systems across cities. The street lighting market is shifting toward adaptive brightness control and connected lighting networks that optimize energy consumption. Continuous innovation in sensor-based systems is enhancing both operational efficiency and public safety outcomes.

Industry Development/News

Company Name	Date	Key Development
Calcom Vision	May-26	Calcom Vision has entered the solar street lighting segment, supported by an expansion of its manufacturing facility capacity. This strategic move aims to scale operations and meet rising project demand, with the company targeting substantial revenue growth from its dedicated street lighting business segment by the end of fiscal year 2030.
Fonroche Lighting	Oct-25	Fonroche Lighting secured a project with the City of Rowlett to install solar-powered street lighting across three major roadways. This initiative represents an expansion of off-grid lighting infrastructure, specifically designed to enhance roadway safety while simultaneously reducing long-term municipal operating costs through energy independence.
Patrizia	Apr-25	Patrizia launched CiviSmart, a consolidated smart city lighting platform integrating its acquired Italian entities, Ottima, Selettra, and Atlantico. This unified operation manages over 380,000 lighting points, significantly strengthening the firm’s competitive position and operational scale within the European infrastructure market.
D.R. Horton	Aug-24	D.R. Horton entered into a strategic partnership with Streetleaf to integrate solar-powered streetlights into new residential developments. This agreement establishes a significant new distribution channel for renewable-powered lighting, facilitating the deployment of sustainable, energy-independent infrastructure across large-scale housing projects.
Cornerstone	May-24	Cornerstone partnered with Signify to deploy connected streetlight infrastructure capable of supporting neutral-host 5G and IoT platforms across UK cities. This project leverages existing lighting assets to serve as critical digital infrastructure, demonstrating a convergence of urban lighting and telecommunications capabilities.
Crompton Greaves Consumer Electricals Limited	Sep-24	Crompton Greaves Consumer Electricals completed a large-scale LED street lighting project for the National Highways Authority of India (NHAI) in Bengaluru. The installation of energy-efficient lighting across key roadways supports national sustainability initiatives by reducing energy consumption while improving infrastructure quality and safety standards.