Analyst Guo Ziling, an analyst from the Institute of Industrial Economics and Trends (IEK) of the Industrial Technology Research Institute, believes that under the trend of low prices, the LED industry will no longer have explosive growth. Taiwanese manufacturers should take the economies of scale to make up for the lack of energy, and at the same time, The factory cooperated to open the sea and cultivate the breakout of emerging markets. Observing the global LED lighting market, the ITRI of ITRI estimated that the overall market size was less than US$10 billion last year. The market size will be approximately 79 billion US dollars in 2020, and the composite growth rate from 2011 to 2016 will reach 45%, but with The life of the light source is expected to increase. It is expected that the market will become saturated after 2015, and the growth will slow from 2016 to 2020. In contrast, as the LED light source market matures, the lighting market will move toward digital and intelligent development, accounting for the proportion of the lighting market. It will gradually increase, and it is estimated that the LED lighting market will reach US$58 billion by 2020.
Cree introduces low-cost LED bulbs, triggers other global brand factories to follow up on low-cost strategies, and LED lighting penetration is expected to increase more rapidly. From Cree’s introduction of bulb products below $10, the overall ex-factory price is expected to be low. At 2 US dollars, the pressure on price decline will be even greater for LED component factories. Guo Ziling believes that under this trend, the LED industry will have difficulty in explosive growth.
The trend of low-cost LED was formally formed under the participation of major international manufacturers. Guo Ziling said that the Taiwan factory faced with the international large-scale plant has been stuck in the high-power LED module market, while the Luchang plant grabbed a single product at a low price and the Taiwan plant accounted for the global output value. The proportion has continued to decline in recent years, while the continuous decline in product prices has led to a slight increase in the output value of the Taiwan plant, but the profitability rate has continued to decline.
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