标签：LED lighting market

LED lighting market opportunities and challenges

The national standards of the first LED lighting is recently released in China which will let the LED lighting field on hot filed become more “material”.From the statistics and messages given by the people in this field, the future of China’s LED lighting market is full of great opportunity. Bu the enterprises that want to be involved in this market should realize that there is much challenges in the LED lighting field.

LED lighting market

Opportunity is at hand

Just look at China’s civil lighting, there is a value of about 40 billion yuan market. Bi Bo Ling, CEO of Philips Lighting (China), reveals an attractive data in the interview with the media.He, as a representative of the lighting enterprises, views that the future of China’s lighting market is bound to be a a contested paradise.

Their confidence stems from the strong advantage of the lighting products and the attitude of the Chinese government.

Energy-saving advantages of LED lighting market products foreshadowed the leading position in the future industry. According to insiders, a 11-watt high-quality energy-saving lamps, for example, the figures prove the absolute superiority of the product: such an energy-saving lamps in 6000 hours can save over160 yuan and the lighting consumption is 294 kwh less compared with the 60-watt incandescent period life.

In recent years, the Chinese government is increasingly determined to implement the incandescent phase-out plan, including LED lights, energy-saving lamps which got the strong support of the government. In addition, the domestic large-scale construction of public facilities have been launched to increase the number of use of LED lighting products.

Enormous challenges hiding behind the opportunity

Chinese market with huge profit margins begins to be quickly locked by domestic and international lighting giant. However, there is high risk involved in this market. Extraordinarily the high current cost of LED products have become the critical of corporate R & D investment. A lot of people in the industry said that year 2010 is an important test of LED lighting market enterprises capital strength. Who will occupy the high ground, who will have the overwhelming majority of the market.

LED lighting market competition’s success or failure depends on the efforts in the past two or three years

In Japan, with large electrical manufacturers attending the LED lights market, LED lighting shows a trend of universal access. In this area, as the old lighting equipment manufacturers Toshiba ambitious, and strive to sales of 350 billion yen in 2015. Recently, the reporter interviewed Toshiba Lighting business prospects of the company on behalf of the Executive Vice President to attend the “Green Device 2009” Mariachi Malachi.

led lighting market

If you want to win in the led lighting market business, what we needs to be strategic? In semiconductors (Toshiba ranked third in the world), the master key is the leading, and the scale of investment in terms of miniaturization technology.

LED lighting is a far cry from the nature and semiconductor business. Differentiation through technology is important, but also the exploitation and marketing a large amount. Accordingly, the Company has not been involved in the field looking for the right partner. In particular, we paid special attention to explore the European and Chinese markets, and we has long been studying strategic access to these markets. The existing lighting equipment, which had already established a wide range of sales channels, also be our advantage in the led lighting market business.

With the possibility to produce a effect between the semiconductor business is not too much?

This situation does not exist. LED lighting business can take full use of the experience gained through the semiconductor. In the field of LED lighting, we will focus on the module instead of the chip, but in technically, a lot of part keeps the same with semiconductor process (encapsulation). Although a slow start in the LED chip,  yet the future will keep positive efforts and included in the scope of business.

Including overseas manufacturers to get involved, led lighting market will become a very competitive field.
South Korean companies has been positive, the competition will be very cruel, and we have to be mentally prepared. Business efforts in the past two or three years will determine victory or defeat in the business. LED lighting has long life, that is why, once the market competitors occupation, it is difficult to have the opportunity to turn around. In this field, we will endeavor to establish the status of the first suppliers. To this end, in 2015 to invest 100 billion yen in operating resources. Compared with the semiconductor business investment in equipment, this amount is just a very small scale.

How far does the gap between reality LED lighting market and the ideal one?

Incandescent will be eliminated, and energy-saving lamps are emerging, LED lights are in the ascendant, but the industry on the LED lighting market prospects and rashness. It is based on LED prospects promising, from the international semiconductor giants to unknown small factory. Some insiders jokes that now is not involved in LED ashamed speaking of the lighting industry.

LED lighting market

However, the industry’s lighting market outlook is very rashness, more concentrated in low-end market, a conservative estimate of 3 yuan of each incandescent lamp. The world’s 2 billion stock market, but six billion; 10 billion energy-saving lamps of 20 yuan but 200 billion, while the high-end intelligent LED lighting market, the report estimated that the capacity will reach $ 200 billion in five years.

The data show that the lighting energy consumption accounted for 22 percent of the world total electricity consumption is green lighting. The significance of 80% power consumption can be reduced from incandescent to energy-saving lamps. When the replacement completed, the global LED lighting market energy consumption will be reduced according to 17% of current NXP chip used in energy-saving lamps of 60 million, equivalent to an annual reduction of 500 million kilograms of carbon dioxide, and future sales is expected to expand 10 times and 20 times, saving significance is enormous. Criticized by the world energy-saving lamps mercury pollution, in fact, there is a great misunderstanding. On the other hand, energy-saving lamps mercury contamination does exist. However, many natural areas have mercury pollution, the relative energy-saving lamps talk about mercury discoloration. Study have shown that the mercury in a energy-saving lamps are less than a marine fish such as salmon sharks.

Right now, International semiconductor giants basically has embarked on the LED layout, NXP already has a chip by 70 005 thousand hours, 105-degree heat of the experimental test, which is the world’s first application-level LED chips, and its SSL2101/2102 since 2009since May, has sold 10 million in May this year, sales momentum, Jin Meng, more than dozens of well-known companies have for dimmable LED bulbs. Which SSL2102 International Lighting Fair in Las Vegas in May 2010 Technology Innovation Award.

For the heat problems that LED lamps designed. Although there has the fan, open and  short-term solution, yes solving the fundamental direction of the LED application is to improve the light efficiency of the same upgrade. LED is also a semiconductor, subjecting to Moore’s Law. The performance will be greatly improved on a regular basis. Talking about the LED market applications, some people think that the direction should be intelligent, innovative lighting.

LED lighting market has slowly risen, many governments and companies actively promote

LED lighting market has slowly risen, many governments and companies actively promoteLED lighting market, the commercial space on the traditional lighting market to mature markets in Europe and America as the largest, but the European credit crisis, the growth momentum of the European market is relatively slow.From the public sector or the power plant project, however there are signs of growing up. Especially the United States, theAustralian market to outdoor LED lighting market, architectural lighting project number and size of continuous upgrading, LED street plan and project of the eastern United Statesshowed growth, and Australia also have lights tenders released by the power plant isgradually taking shape. .

In addition to project-oriented field of higher margin products, LED lighting market development, led high bay, LED Bulb market or the Japanese market progress faster. As for the professionallighting, plants and agricultural lighting (including UV curing), freezer lighting, etc., more and more the attention of the industry.

Outlook 2012, the dynamic of the South Korean companies more worthy of note that in addition to the Seoul Semiconductor gradually reached a cross-licensing withinternational five LED Factory, Samsung LED lighting market integrated into the Samsung Electronics Group, with the semiconductor sector, in addition to technically close combination. Theirproduction of the LED supply to the phone backlight within the Samsung Group and the proportion of the TV backlight will be possible to further improve. With the global deployment of marketing channels within the group, for the development of lighting brandis a strong opponent of all LED lighting market manufacturers.

Short-term oversupply situation difficult is still difficult to solve, but the LED end-market demand continued rapid growth. 2012 will depend on the individual companyperformance, and enter the bigger the elimination contest. Therefore only have a chanceto improve the technical content of patent threshold to survive in this knockout.