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Adoption of LED Lamps in Commercial Buildings to Fuel Increased Demand for Intelligent Lighting Controls, According to Pike Research

The falling cost of light-emitting diode (LED) lights for commercial buildings is driving a number of changes within the lighting controls industry. Falling prices are triggering re-lamping projects in many existing commercial buildings. Because LEDs are particularly well-suited to digital control, many building owners will decide to incorporate additional lighting intelligence – including photosensors, dimming ballasts, dimming controls, and the communications and interfaces necessary to tie controls to a building management system – while they are in the process of re-lamping. According to a recent report from Pike Research, a part of Navigant’s Energy Practice, the adoption of LED lamps, along with new wireless technology, will fuel corresponding growth in the market for intelligent lighting controls.

The global market for intelligent lighting controls will expand from $1.5 billion in 2012 to more than $4.3 billion in 2020, the study concludes.

“Building-wide lighting management systems have developed rapidly over the past few years, giving building managers better tools with more information and more control,” says senior research analyst Eric Bloom. “Rapid growth in sales is forcing controls vendors to develop products that can incorporate LEDs, or risk being left behind.”

While centrally controlled lighting systems are on the rise, a competing trend is toward lighting systems with distributed intelligence. With the reduction in cost in miniature electronics, more sensors and control intelligence can be built directly into light fixtures. Fixtures in a room can communicate wirelessly with each other, allowing for room-level intelligence with a minimal amount of equipment, wiring, and expense. While systems like this will proliferate, the dominant trend is still expected to be greater central control as costs decrease and more building owners and managers understand the potential benefits, according to the report.

The report, “Intelligent Lighting Controls for Commercial Buildings”, analyzes the global market opportunity for intelligent controls across nine building types: office, retail, education, healthcare, hotels & restaurants, institutional/assembly, warehouse, transport, and multi-unit residential. The report provides a comprehensive assessment of the demand drivers, obstacles, policy factors, and technology issues associated with the growing market for lighting controls. Key industry players are profiled in depth and worldwide revenue and capacity forecasts, segmented by building type and region, extend through 2020. An Executive Summary of the report is available for free download on the Pike Research website.

About Pike Research

Pike Research, which joined Navigant’s global Energy Practice on July 1, 2012, provides in-depth analysis of global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Grid, Smart Transportation, Smart Industry, and Smart Buildings sectors. Additional information about Pike Research can be found at www.navigant.com/pikeresearch.

About Navigant

Navigant (NYSE: NCI) is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals combine technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism in the highly regulated Construction, Energy, Financial Services and Healthcare industries to support clients in addressing their most critical business needs. More information about Navigant can be found at www.navigant.com.

* The information contained in this press release concerning the report, “Intelligent Lighting Controls for Commercial Buildings,” is a summary and reflects Pike Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Pike Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.

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