Blog

According to the latest market research study published by P&S Intelligence, the global terahertz technology market is gaining strong momentum, with its size estimated at USD 1,213.3 million in 2024 and projected to reach USD 2,272.7 million by 2030, growing at a CAGR of 11.0% during 2024–2030. This growth reflects the expanding adoption of terahertz (THz) waves across high-impact applications, including security screening, medical diagnostics, aerospace, and advanced research. The ability of THz waves to penetrate a wide range of materials—such as biological tissue, plastics, ceramics, and clothing—while remaining non-ionizing and safe has positioned the technology as a compelling alternative to conventional imaging solutions.

Rising investments in aerospace & defense, homeland security, and healthcare are key factors supporting market expansion. THz technology is increasingly deployed for border surveillance, baggage scanning, cancer diagnosis, and satellite communications, supported by continuous funding from government agencies and research institutions. The COVID-19 pandemic further highlighted its relevance, as THz imaging and metamaterial-based sensing solutions demonstrated potential for rapid and accurate virus detection.

In parallel, advancements in miniaturized THz lasers, radar sensors, and high-end laboratory devices are broadening application scope. Growing emphasis on non-destructive testing, coupled with the emergence of THz as a future enabler of ultra-high-speed wireless communications, continues to reinforce the market’s long-term growth outlook.

Download free report sample at: https://www.psmarketresearch.com/market-analysis/terahertz-technology-market/report-sample

Key Insights

• Imaging dominates the market by type in 2024, accounting for 45% share, due to its extensive use in healthcare diagnostics, industrial inspection, construction analysis, and security screening at airports, railway stations, and government facilities, supported by the safe and non-ionizing nature of THz waves.
• Communication systems represent the fastest-growing type segment, registering a CAGR of 11.5%, driven by increasing funding for 5G-and-beyond and early-stage 6G research that demands ultra-high bandwidth and low-latency data transmission.
• Within imaging systems, both active and passive THz solutions are widely adopted to obtain detailed images of obscured or concealed objects across diverse materials.
• Communication system components such as antennae, emitters, and modulators are gaining traction as data-intensive applications—including autonomous vehicles, AI and ML, connected healthcare, and space communications—place heavier loads on telecom networks.
• Healthcare is the largest end-use category in 2024, holding a 40% market share, supported by the growing use of THz technology in cancer diagnosis, dentistry, and pharmaceutical quality control under stringent global regulations.
• Defense & security is the fastest-growing end-use segment, with a CAGR of 11.3%, owing to rising deployment of THz-based systems for border surveillance, threat detection, and baggage screening, where non-destructive inspection is critical.
• Industrial non-destructive testing benefits from THz radiation’s ability to visualize sealed packages and internal structures, strengthening quality control across manufacturing environments.
• Detectors lead the component landscape with a 65% share in 2024, reflecting their essential role in capturing THz frequencies for medical imaging, security screening, and industrial inspection.
• Emitters are the fastest-growing component category, posting a CAGR of 11.4%, as demand rises for powerful THz sources in advanced imaging, spectroscopy, and next-generation wireless communications.
• North America holds the largest regional share at 35% in 2024, supported by strong investments in defense, homeland security, R&D, and strict safety regulations driving adoption of advanced inspection technologies.
• Asia-Pacific is the fastest-growing regional market, with a CAGR of 11.8%, fueled by rising R&D investments in China, Japan, and South Korea, along with leadership in 5G/6G development, semiconductor manufacturing, and military modernization.
• China stands out as both the largest and fastest-growing country market in APAC, supported by sustained increases in defense spending and advanced surveillance and communication initiatives.
• The market remains fragmented, as evolving applications and continuous innovation create opportunities for both established players and small- and medium-sized enterprises.
• Key companies actively shaping the market include Advantest Corporation, Batop GmbH, TeraSense Group, HÜBNER GmbH & Co. KG, TeraView, Menlo Systems GmbH, and others, supported by recent product launches, portfolio expansions, and regional facility developments.