Global shipments of LED lamps and modules will grow from 864 million annually in 2015 to more than 4.1 billion by 2024, forecasts market analyst firm Navigant Research in the report 'LED Lighting: Global Outlook'.

"Early adopters were attracted by some of the unique features of LED lighting, such as improved efficiency, improved operation in cold environments, and enhanced controllability," says senior research analyst Jesse Foote. "The current wave of adoption, by contrast, is much more focused on the value of ongoing energy savings compared to a relatively modest increase in upfront cost."

In particular, LED prices have declined to a point where this type of lighting is becoming the economical choice in almost every application. As such, the adoption of LED lighting is ramping up across all major end uses: commercial buildings, residential buildings, industrial buildings, and outdoor applications. Also, vehicle headlights are seeing a sharp increase in the use of LEDs.

While Europe has perhaps led the way on residential energy efficiency, incandescent bans and minimum efficacy levels for bulbs are being introduced throughout the globe, notes the report. In North America, the Energy Independence and Security Act (EISA) — which requires 25% greater efficiency for light bulbs, phased in from 2012 through 2014 — is in full swing, and the Canadian equivalent is not far behind. The laws of physics make it almost impossible for a manufacturer to design a bulb that is as efficient as a compact fluorescent light or LED, notes the market research firm.