Intelligent control will increase the added value of commercial LED lighting products

Mr. Carlost LEE, the Secretary-General of the European Photovoltaic Industry Association expressed his views and questions in a recent published report of “When LED Enters Into the Third Development Cycle”: “It is expected that the general lighting industry will be explosively grow in 2018-2020. Certainly, the business model of the product should be combined with their life-cycle. G24 LED lighting products have relatively long life-cycle. Thus intelligent control will increase the added value of commercial LED lighting products.”

 

Intelligent control will increase the added value of commercial LED lighting products

 

LED lighting market is fragmented. Different application fields have different requirements to LED lamps. Take commercial LED lighting products and industrial LED lighting products for instance, the total production cost and appearance are two major factors that will be taken into account, while residential lighting products buyers are more concerned about qualities and lighting effects.

 

Currently, the penetration of automotive LED lighting products is still low. LED display industry has a relatively high market penetration. But we believe that the penetration of LED lighting applications in various areas will enjoy an increasing development from 2012 to 2020.

 

However, most of LED lighting products lack standard reference. Consumers are inclined to buy cheaper lamps but with low qualities, which will be easily failed after being put into service. This is one main reason why most buyers lost confidence in LED lighting products. It is not to say that every LED lamps should have a good quality. Good quality usually means expensive selling price. Consumers have right and should to know what type of products they are looking for. What kind of expectations that they should have on their products.

 

Incandescent replacing process is very simple. We now can see many CFL in hotels and hospitals as a replacement of incandescent lights. Generally, the service life of incandescent lights is around 6-9 years. Plus the good performance of CFL in lighting effects and luminous efficiency, it is very hard to persuade people to use commercial LED lighting products instead. LED makers need to put some additional value into their products to have them be accepted.

 

The lighting market is concerned more about the general lighting business. In order to further reduce the product cost, combining lighting technology, sensor technology, ITC and intelligent control together is a necessary developing step.

Intelligent control is the biggest advantage of LED roadway lighting applications

After decades of development, LED light source can send out high-brightness white light. The laboratory records for luminous efficiency reached up to 130lm/W, far exceeding the original 100lm/W. No matter in which way, G24 LED lighting technology is dramatically improved. High-powered white-ray LED lighting products have been widely used in general lighting applications, including LED roadway lighting applications. Compared with traditional road lamps, LED road lamps are more energy-saving and environmental friendly. However, as a new industry, LED roadway lighting still has many shortages. Service life and light attenuation are two main problems for high-powered white-ray LED road lamps.

 

Intelligent control is the biggest advantage of LED roadway lighting applications

 

To address this issue, Mr. Chunhai Wu, the technical director of the Shenzhen Lighting Environment Management Center suggested real conditions of 63 pieces LED street lights from 27 LED manufacturers in Shenzhen. From March 18th, 2009 to March 5th, 2011, in the case of normal daily using (normal switch on/off), there were 17 pieces lamps failed after two years, accounting for 27% of the total testing samples and 11 makers involved. Mr. Wu summarized: LED road lights’ aging tests should be performed on the ground (in factories, on production lines), and lighting attenuation tests should be finished in labs. LED road lamps are still weaker than traditional road lamps in stability. Certainly, different products from different manufacturers also have different qualities.

 

Mr. Haicong Zhang, chairman of the Shanghai Illuminating Engineering Society also affirmed the developing trend of LED roadway lighting industry. More advanced LED general lighting products have emerged in the lighting market in recent years. Through continuous improvement, these products are mature and stable. But LED road lighting products are still in the stage of immature.

 

According to Professor Lin Yandan from Lamps and Lighting Source Engineering Department of University of Fudan, LED road lights still have many advantages compared with high pressure sodium lamps. Intelligent control is their biggest advantages instead of energy saving. In order to satisfy large-scale applications, it is necessary to consider issues such as cost, reliability. If these problems are solved, LED street lighting industry will have a broader future.

 

With the continuous development of LED industry, LED street light industry will move toward the direction of specialization. The manufacture of LED lamps needs modularization. And also the modularization needs standardization.

LED beacon light start to emerge in the LED lighting market

Beacon light is a type of traffic lights installed in some beacon that ensure the safe navigation of ships and airplanes. They emit lights with particular colors and frequencies during the night, achieving particular irradiation angles and visual distances. Beacon light can be dived as fixed beacon, buoy, light boat and light house. Fixed beacons, buoys, light boats are usually used as navigation indicators or warming signals. Light houses issued identifiable signals day and night, helping ships to commit position measurements or also proving hazard warning information for ships.

 

Beacon light is a type of traffic lights installed in some beacon that ensure the safe navigation of ships and airplanes.

 

LED beacon light is a new application in the market, which has been greatly promoted and received a lot of attentions from maritime sectors. Choosing right LED beacon light and currently using it is rather important. Expect for planar LED light source directly used in guide beacons, bridge beacons and rotating lights, most of LED beacons are round applications. Currently, beacon manufacturers all over the world used mainly use two parameters to identify performances of LED beacon lamps: light intensity of emergent surface and vertical divergence angle.

 

Used as light sources, LED components normally have certain beam angles, ensuring the initial light intensity within a given viewing angle. The light intensity – viewing angle characteristic curves indicates that LED components are single directional rather than full angle range spot light sources. Therefore LED beacon light must use special lens.

 

For LED round beacons, LED is a special light source. G24 LED chip is equipped with a small optical lens. The general purpose of this lens is concentrating light emitted by spot LED light source into a beam with a certain solid angle. Suppose a LED component with a solid angle of 30°, most of the light will be concentrated within this angle. The light intensity will be rapidly reduced outside this range. LED round beacons are a type of beacon lamps that evenly arrange LED components (with a certain solid angles) on the circumference with a certain diameter. If saying that this circumference (fully filled with LED components) is called light-emitting circumference, the Philippines Cornell Lens typically designed for LED round beacons will concentrate the light emit by the light-emitting circumference. Here LED chips are no longer LED sources.

Reasonable prices will contribute to the popularization of LED garden lights

We can find a variety of garden lights in the market, with all sorts of styles and light sources. Some of them are cheap but with poor quality conditions, some of them have good performances and qualities but really expensive. The over-expensive selling price of one good is the biggest obstacle of the promotion and popularization of this good. It is well known that price is the critical factor that determines the cost-effective of one good. Advantages and prices all together determine that whether one product can be easily accepted by buyers. As the new generation light source, LED garden lights started to emerge in the residential lighting market since 2010. There is no doubt that some of their incomparable advantages attracted a lot of attentions from merchants and consumers. But their expensive prices also kept them away from many ordinary families. Although, in the indoor lighting area, incandescent bulbs and fluorescent tubes are gradually replaced by corresponding LED lighting products, in the garden lighting area, traditional lighting technologies are still in the dominate position.

 

Reasonable prices will contribute to the popularization of LED garden lights

 

Below is the basic cost constitution of LED garden lights: the package cost occupies most part of the total production cost, about 50%-60%. Thus in order to control the production cost on a reasonable level, we need firstly choose a reasonable package structure. Since LED garden lights just entered the market, most current package structure cannot meet the special fixture design of garden lights. On the contrary, many designers have to created new shapes/constructions to meet the requirements of LED lights package structures, which also increase costs virtually.

 

Unlike other LED lighting products, LED chip cost occupies only a small part of total production cost, around 15%. Main costs are from package, cooling, structure, power supplies. Clearly, manufacturing process is the crucial section in the cost reduction. Reasonable structure design can optimize the performance of LED garden lights.

 

Design is account for 20% of the total cost. With the further development of LED technology, 5%-10% is more reasonable. For cooling designs, two issues should be noticed: a. shorten the cooling path between chips and external cooling devices; b. reduce thermal conductivity without affecting the cooling path.

LED light fittings need technological upgrade and support

Currently, LED light fittings are still in the early stage of development. Although LED lighting products have entered the industrial area, commercial area and residential area, the immature technologies still need further development, like output power, luminous flux, secondary optical design, cooling and other problems. Among them, cooling problem is the biggest difficulty for LED manufacturers. Limited by LED working principles, all structure accessories of LED lamps should have good cooling effects (good thermal conductivity) on the basis of safety. If using plastic materials, LED light fittings will soften and begin to melt within a few hours. Therefore, LED makers have restricted requirements on the LED light source structure designs and materials selection.

 

Currently, LED light fittings are still in the early stage of development.

 

The commonly used cooling material in the market is aluminum/aluminum alloy. As a result of high costs (selling prices), some makers stated to find cheaper replacements with good thermal conductivity as well. Then PC covered LED lamps started to appear in the market. PC raw materials were firstly used as fixtures during the design for kitchen lights committed by Bayer Germany. They are durable and also have good thermal conductivity. The most important thing is that they are cheap.

 

Compared with traditional lamps, LED light fittings distinguish in many aspects: different deterioration speed in lamp bead (in high temperature, under high/low voltage); Electrical control. LED lights need to work under direct current; structure design, material selection, appearance design need corresponding variations. Insolated circuits/protections should be applied to guarantee the independent operation of LED light source and lamp body.

 

Many insiders indicated that, the main reason for LED light fittings hardly to be accepted by ordinary families is their expensive selling prices, which is caused by their high production costs. The light-emitting principle determines the cost of the product. The production cost of LED lamps is two times higher than traditional lights. Specifically: the over-expensive production costs of light source; restricted requirements to package structures and materials increase the production cost by nearly 50%. Semiconductor light emitting components are generally more expensive than traditional light emitting components. Due to lacking of core technology, the majority of our LED chips need to import from foreign companies. However, the production cost of LED chips occupied more than 60% total cost of the entire lighting fixture. The profit that China’s LED manufacturers obtained is rather limited.

LED home lights are still treated as assisted light sources in residential lighting applications

In 2009, the leader of the global lighting industry – Philips, formally promoted LED home lights, listing LED residential lighting applications as one of their main developing directs in the next ten years. Meanwhile, another household lighting giant – OSRAM also promoted dimmable LED ceiling mounted lamps, to seize the market in an early time. All these implied the potentials and hopes of LED home lights dominating the residential lighting market.

 

LED home lights are still treated as assisted light sources in residential lighting applications

 

However, Professor Dahua Chen from the Lighting Research Institute of Fudan University indicated that “Although LED technologies have huge developing potentials in the lighting area, it still will take them decades years to become the mainstream in the residential lighting applications, mainly because of their bottlenecks in the research and development, and their immature in the product qualities.” Professor Chen did not hold out much hope on this part. LED can only play a supporting role in the household lighting applications.

 

LED is a type of solid-state semiconductor component, which can directly convert electricity to light. As the new generation light source, LED technology has many incomparable advantages: a. safe; LED must work under low DC voltage. LED home lights are much safer than other high-voltage lighting devices and more suitable for household applications. b. energy-saving; consuming only 80% energy but send out same light (same brightness/luminous flux) with incandescent lamps. Buyers can save their energy and money together. c. environmental friendly; LED is made from non-toxic materials, aluminum/aluminum alloy, causing no contamination to environment and recyclable. d. long service life. Theoretically, the average lifetime of LED chips can reach up to 100,000 hours (when light attenuation approaching 50%). Even LED lamps can have a working life of 50,000 hours. e. sturdy and durable; Basically, LED is just a small chip encapsulated in epoxy resin, then put into aluminum/aluminum alloy lamp fixtures. Compare with incandescent bulbs and fluorescent tubes, which are only under the protection of glass covers, LED lamps are much more durable. f. small sized; This feature enable LED lights to be made in multiple shapes and sustainable in various working conditions. This is also a designer-welcome feature, which provides more creative space for them. Some impressive lighting designs even can combine fixture designs with furniture designs, achieving the “invisible light source effect”. g. brightness and color adjustable; this feature can meet the special requirements of stage lighting as well as household lighting.

Anxiety and Depression in expression of the LED industry

In addition to the “successful biding”, some companies are also listed on the news, only the first half of 2012, there are eight LED companies successfully listed, six of which landed on the GEM. More than last year where listed seven. Another similar sense of joy: a growing number of G24 LED enterprises focus on the market, vigorously develop the channels, and pay attention to the difference advantage of market competition and strengthen the culture of investment in technology and brand.

Anxiety and Depression in expression of the LED industry

Anxiety

In 2012, due to the price advantage is not obvious, and the quality is unstable factors,  LED industry applications market are limited. The market outbreak is not as expected, in the short term, it is difficult to see the clear signs of rapid growth. Capacity continued to enlarge, and can not stop, the rapid increase of firms intensified market competition, but the very anxious is that most bereavement market channels are not good enough, the inventory can not digest. LED enterprises seem very anxious and very confused.

Perhaps because of this, entrepreneurs and experts hold a lively discussion on LED electricity providers and traditional channels in 2012. More entrepreneurs lamented the current channels of dispute as volcanic eruptions.

Some companies began operations, including the construction of the Tmall online store, self-built e-commerce platform; more people in the industry believe that LED lighting e-commerce model is not yet mature, which is still in a stage of promotion. In addition to a good line stores, dealers channels, enterprises start to think about how online sales channels, brand promotion and offline traditional channels combined to form a full three-dimensional marketing communication channels.

Depression

In 2012, the structural surplus of production capacity has resulted in the rapid decline in the profitability of the business. The three quarterly of 2012, 20 enterprises have 11 enterprises who decline different degrees in net profit in the third quarter, real data feel the loss of these enterprises.

On the announcement, the companies said that the caused reason are mainly due to the decline in performance: whether domestic or foreign, by the international financial crisis and other factors, the poor performance of the LED industry, the overall market environment; fierce market competition, to occupy higher market share, the overall input plus, develop the domestic channels, increase research and development funding efforts to significantly reduce the net profit income;

 

Joyness-the expression of LED industry in 2012

As a new type of energy-efficient lighting products, LED development space is great, but the route for the development of LED industry, the investment direction and how fast the market is to breakthrough, in 2012, it also means a more calm and mature attitude thinking and grasp the future development direction.

2012, compared to the glory of outdoor lighting, moderate indoor lighting enter into the mainstream; Compared with agitated lm / W, how to focus and enhance “optical quality” as well as emphasize the relationship between the light and the people become the focus of attention; In 2012, compared with the people who want to integrate industry chain upstream and downstream take-all, more people should promote the spirit of “focus”, advocating a fine and stronger rational attitude; while some cutting-edge companies are more heart sank to counter sink the technology research and development on the strategic position. And directly aimed the future competitors at multinational companies.

Joyness-the expression of LED industry in 2012

Joyness

In 2012, it should be said that, for the LED industry practitioners, the most joy is more than the “bid list”.

On May 16, the State Council executive meeting through the policies and measures to promote the consumption of energy-saving appliances and other products, decided to arrange 22 billion yuan to support the promotion of energy-saving lamps and LED lights. three ministries decided to restart the new round of bidding. According to statistics, in 2012 the state financial subsidies for LED lighting project enterprises, there are a total of 39, and a total of 8.73 million LED lighting products win the projects. Among them, the number of indoor lighting is up to 7.85 million, accounting for nearly 90% of the total promotion.

A total of 12 listed companies won the bid, the total product promotion quota of 3.77 million, accounting for 43.18% of the total, who become the biggest beneficiary of the tender project. Large-scale projects for the successful bidder is conducive to consolidate its industry-leading position, and this year, as well as future years of performance will have a positive impact. At the same time, LED financial subsidies will promote the project bidding starting, and will also be driven by the general lighting market, including commercial, industrial, household.

Expression of the LED industry-Excited

2012, a year with entanglement and excited, anxious and looking forward to coexist

Whatever it is joy and sorrow, all kinds of expression is just like a mirror, which faithfully reflect the hardship exploring for semiconductor lighting practitioners who walked every step – Rome was not built in a day. In the future continuous processing, let us work together, and be faced with brave, authentic expression.

Expression of the LED industry-Excited

Excited

In 2012, a series of strong government subsidies and promotion policy has continuous introduced, which strongly drives the development of China’s LED industry, so it is excited and inspiring.

From May to June, it can be described as the LED industry policy honeymoon. On May 7, the Ministry of Science and Technology released a second five “special” Semiconductor Lighting Technology Development Plan (draft) “. “Planning” indicates, until 2015, the semiconductor lighting industry scale will be reached 500 billion yuan, semiconductor lighting products accounted for the general lighting market share 30% of the specific objectives. On May 16, 2012, the State Council discussed and adopted by the national basic public service system, the 12th Five-Year Plan “, the plan is to use $ 22 million to support the promotion of energy-saving lamps and LED lights.

Meanwhile, Guangdong Province timely announced mandatory use of LED lighting products to promote the field of public lighting. All public lighting in the area which constructed by the Government or state-owned capital investment need to adopt all LED lighting products.

The high-profile layout of government in LED industry, for LED practitioners, it can be said that it is the most important the weather-vane and most powerful good; how to make domestic LED industry, which experienced troubled by the blind expansion, real use of good LED Deal, so as to drive the industry and realize the healthy and orderly development, which will continue to test the ability of the government and enterprises to deepen the implementation of the policy details and rational grasp.

Calmness

Compared to domestic investment boom of LED lighting in 2011, in 2012, when the fanatical investment of LED industry gradually faced bottlenecks, practitioners thinking are gradually become calm and rational in the face of reality.

Why commercial led lighting is so popular in today’s market

We know that today’s lighting is no longer the monotony of incandescent electrical light. The present light sources like metal halide, electrode-less lamp, energy saving lamps, HID lamps, LED, etc.; different lights will have different comparison; Take the good trend of development of LED lights, we should be aware of exactly where the difference between it and the ordinary lighting? Why commercial led lighting is so popular in today’s market?

Why commercial led lighting is so popular in today's market

Comparison of LED lighting and general lighting

The biggest difference between LED lighting and general lighting is that LED lighting is a completely electronic products, while traditional lighting is only one electrical products. Therefore, commercial led lighting can be easily associated with various types of sensors, in order to achieve a variety of automatic control functions of light control, infrared control. Such as the automatic switching of the LED street lamp, it can be simple to achieve with a photosensitive sensor; community night walkway and patio lighting, human activity information can be collected by infrared sensors, automatic opening and closing lighting.

General lighting lamps contain mercury vapor, if it was broken, mercury vapor will evaporate into the atmosphere. But LED lighting basically does not use mercury, and commercial led lighting products do not contain lead, which play a protective effect on the environment; conventional lamps will generate a lot of heat, while LED lighting convert all energy into light energy, so it will not waste. And it will not have fading phenomenon for file and clothing. LED lighting does not produce noise, So it is a good choice for the use of sophisticated electronic equipment place. It is also appropriate for the library, the office and so on; traditional fluorescent lights use AC power, so it will strobe 100-120 times per second. While LED lighting is the direct conversion of AC to DC, so it will not produce flicker, in order to maintain eye; In addition, LED lighting does not produce ultraviolet light, and thus it will not like the traditional lighting, which have many mosquito coil next to the light source. Therefore, The indoor will become increasingly clean and sanitary and clean.