A Shift Towards Intelligent and Energy-Efficient Luminaires to Spur Growth in the European Lighting Equipment Markets, Says Frost & Sullivan

LONDON, February 16, 2010 - The European luminaire market is long established and mature. However,
recent developments have shaken the sedentary growth rate of the market, with
a construction boom in early-2000s swiftly followed by a construction slump
and prolonged economic downturn. A greater emphasis on energy savings in the
lighting sector and a new legislation that phases out inefficient lighting
will help the European lighting equipment markets to bounce back to growth by
2010. The shift towards more intelligence in luminaries, along with the focus
on higher energy efficiency in all sectors, will ensure a significant growth
rate over the medium and long terms.

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New analysis from Frost & Sullivan (
www.buildingtechnologies.frost.com), European Lighting Equipment
Markets: An Analysis of the Luminaires Market, finds that the market earned
revenues of US$15.45 billion in 2009 and estimates this to reach US$17.60
billion by 2016. The study covers internal, external and decorative
luminaires for commercial, residential, public and industrial end users.

If you are interested in more information on this study, please send an
e-mail to Chiara Carella, Corporate Communications, at
chiara.carella@frost.com, with your full name, company name, title, telephone
number, company e-mail address, company website, city, state and country.

"The European lighting equipments market has seen a shift towards energy
efficient technology and greater intelligence within luminaires in recent
years as more consumers aim for savings and further integration with building
and lighting controls," says Frost & Sullivan Partner John Raspin.

The last ten years have witnessed a change in the staid market structure
as manufacturers and consumers have scrambled for technology that is more
efficient. A string of new legislation mandating greater energy efficiency in
buildings has emphasised the role of lighting and high energy prices.
Therefore, energy efficiency and intelligent luminaries have become the major
objectives for both the manufacturers and end users, resulting in a greater
level of integration between controls and luminaires over the last few years.
The shift in lamp type preference has also caused a stir in the portfolios of
luminaire manufacturers.

While new lighting legislation and mandates have effectively signalled a
new phase in luminaire production and the rise in the consumer demand is
driving the manufacturers to step up luminaires production, it is not a
simple redesign. A significant challenge is that most new technologies
require special ventilation and heat dissipation means and better adoption of
controls to continue functioning at optimum levels. In response,
manufacturers are progressing towards controllers that are more intelligent.

"As building control technologies become more intelligent, advanced
controllers are playing a larger role in lighting and building automation,"
says Mr. John Raspin. "The advent of the new energy efficient legislation has
also resulted in a large number of consumers trying to incorporate building
control systems into their lighting and building management systems."

Manufacturers are developing luminaires that have a good interaction with
controllers, with some even integrating simple controllers with their
luminaries. While this trend is still catching on in the residential sector,
it is becoming common in outdoor and commercial lighting. For now, the
high-end luminaires market is a crucial growth avenue for manufacturers
seeking to provide greater intelligence in systems.

European Lighting Equipment Markets: An Analysis of the Luminaires Market
is part of the Building Management Technologies Growth Partnership Services
programme, which also includes research in the following markets: European
Energy Efficient Lighting Market, European Solar Thermal Heating Systems
Market, and Strategic Assessment of Growth Opportunities in the European
Green Buildings Markets. All research services included in subscriptions
provide detailed market opportunities and industry trends that have been
evaluated following extensive interviews with market participants.

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    Contact:
    Chiara Carella
    Corporate Communications - Europe
    P: +44-(0)-20-7343-8314
    M: +44-(0)-753-3017689
    E: chiara.carella@frost.com

www.frost.com

Chiara Carella of Frost & Sullivan Corporate Communications - Europe, +44-(0)-20-7343-8314, mobile, +44-(0)-753-3017689, chiara.carella at frost.com