Power over Ethernet (PoE) Market Poised for Significant Growth Amid Rising Demand for Smart Infrastructure and Energy Efficiency

10 October 2025 – [New York, US] – The global Power over Ethernet (PoE) market is witnessing remarkable growth, driven by the surging adoption of smart building technologies, IoT-enabled devices, and the need for cost-effective and simplified network infrastructure. PoE technology, which enables data and electrical power transmission over a single Ethernet cable, is transforming the way enterprises deploy and manage networked devices such as IP cameras, wireless access points, and VoIP phones.

The power over ethernet market size is projected to reach US$ 1833.65 million by 2031 from US$ 846 million in 2023. The market is expected to register a CAGR of 10.2 % in 2023–2031. With the growing emphasis on energy efficiency and sustainability, PoE solutions are becoming the backbone of modern networking environments, offering reliable power management and reduced installation costs.

One of the key factors propelling market expansion is the rising demand for smart lighting and building automation systems. PoE-based lighting systems are gaining traction as they allow centralized control, lower power consumption, and seamless integration with sensors and IoT platforms. Additionally, the proliferation of smart cities across regions such as North America, Europe, and Asia-Pacific is further amplifying the adoption of PoE-enabled devices to support security, communication, and automation needs.

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The enterprise and commercial sectors continue to dominate the PoE market, particularly in industries such as IT & telecom, healthcare, education, and retail. These sectors benefit from the technology’s ability to streamline cabling, enhance network flexibility, and support high-power applications such as pan-tilt-zoom cameras and digital displays. The ongoing shift toward hybrid work environments has also accelerated the deployment of PoE-enabled network infrastructure to enhance connectivity and workplace efficiency.

From a regional perspective, North America leads the global PoE market, supported by widespread adoption of smart office solutions, robust IT infrastructure, and strong presence of key industry players. Meanwhile, Asia-Pacific is emerging as a high-growth region, attributed to expanding urbanization, government initiatives promoting smart infrastructure, and growing demand for connected devices.

Leading companies such as Cisco Systems, Broadcom Inc., Microchip Technology Inc., and Silicon Laboratories are continuously investing in advanced PoE chipsets and controllers to improve energy delivery and network performance. Strategic partnerships and new product launches remain central to market competitiveness, with vendors focusing on high-power PoE (PoE++) solutions to meet evolving industry requirements.

As organizations continue to prioritize digital transformation and energy efficiency, the Power over Ethernet market is set to play a pivotal role in reshaping network architecture across commercial and industrial domains. The convergence of power and data on a unified platform will not only optimize operational efficiency but also pave the way for next-generation smart connectivity solutions.

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