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of Photonics Technologies: the European Perspective The Leverage Effect

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<strong>The</strong> <strong>Leverage</strong> <strong>Effect</strong> <strong>of</strong> <strong>Photonics</strong> <strong>Technologies</strong>: <strong>the</strong> <strong>European</strong> <strong>Perspective</strong><br />

2.5<br />

Conclusions for <strong>the</strong> assessment<br />

<strong>of</strong> <strong>the</strong> photonics industry<br />

<strong>The</strong> assessment <strong>of</strong> <strong>the</strong> photonics industry shows that it is a significant<br />

industry, about half <strong>the</strong> size <strong>of</strong> <strong>the</strong> pharmaceutical industry. <strong>The</strong> estimated<br />

world production is €277bn (2008), <strong>of</strong> which Europe contributes<br />

about €58bn (2008). This is about 20-25% <strong>of</strong> <strong>the</strong> total global production<br />

and it can be said that <strong>the</strong> EU is a significant world player. However, although<br />

Europe is considered a world leader in certain fields it only has<br />

a marginal position in o<strong>the</strong>rs. It can be concluded that <strong>the</strong> photonics<br />

industry is significant for Europe, but not in all fields (see chapter 3 for<br />

more information).<br />

In <strong>the</strong> last decade, <strong>the</strong> photonics industry has shown a growth rate that<br />

is significantly higher than average and it can be said that <strong>the</strong> industry<br />

is still in its early phase <strong>of</strong> economic life (this is supported by <strong>the</strong> leverage<br />

assessment). Although <strong>the</strong> credit crunch has had a large impact on<br />

<strong>the</strong> industry, already in 2010 <strong>the</strong> growth paths have shown it to be back<br />

to <strong>the</strong> level before <strong>the</strong> credit crunch. Even fur<strong>the</strong>r increases can be expected<br />

for <strong>the</strong> coming decade, but within <strong>the</strong> sector, strong differences<br />

can be seen and its character is heterogeneous.<br />

<strong>The</strong> <strong>European</strong> photonics research and industry is broadly addressed by<br />

most <strong>of</strong> <strong>the</strong> 27 EU countries. However, over 50% <strong>of</strong> research and industrial<br />

activities take place in Germany, France and <strong>the</strong> UK. Some o<strong>the</strong>r<br />

countries like Spain, <strong>the</strong> Ne<strong>the</strong>rlands. Poland, Sweden and Italy are also<br />

considered substantial players in <strong>the</strong> field <strong>of</strong> photonics, but focal areas<br />

<strong>of</strong> <strong>the</strong> individual countries vary significantly. Overall, it is estimated that<br />

around 5,000 companies are involved in photonics related industrial activities,<br />

employing about 290,000 people and some 1,000-2,000 research<br />

organisations are present in Europe. <strong>The</strong> photonics industry includes a<br />

relative high proportion <strong>of</strong> SMEs, but also a significant number <strong>of</strong> multinational<br />

companies have <strong>the</strong>ir main <strong>of</strong>fice in Europe.<br />

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