OSRAM to seize the special LED lighting market

At present, OSRAM has three strategic pillars, including special lighting, lighting solutions and systems, as well as upstream optical semiconductor business. And at this time Osram increased investment in plant lighting, which is a special lighting business sector.

OSRAM to seize the special LED lighting market

According to the plan, OSRAM will invest about 3 billion euros by 2020, of which 2 billion euros for R & D investment to develop new markets, 1 billion euros for the construction of new LED chip factory in Malaysia. By 2020, OSRAM's annual revenue will be more than 5 billion euros, profits (EBITDA) to 1 billion euros.

LED chip is the largest market segment of optoelectronic semiconductors. The current global market sales of about 5.7 billion euros a year. By 2020, it is expected to 7.5% annual average growth rate.

OSRAM hopes that by 2020, its new plant in Kuching, Malaysia, will become the world's largest 6-inch LED chip production base, becoming the company's new growth point. OSRAM is located in Regensburg, Germany. The LED chip factory is also expanding production. Through synergies, OSRAM's automotive lighting business is also expected to reduce costs.

The company also has expansion plans in China. OSRAM Wuxi factory two capital expansion projects will start construction in August this year, and expected to be put into production in early 2019.

In addition to increasing the investment of LED chips, OSRAM is expanding LED lighting applications in high-tech areas such as plant lighting, industrial intelligent lighting 4.0, intelligent automotive lighting, optical communications, gesture recognition and iris recognition technology.

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