Session: LED Markets
Tuesday October, 14: 09:30
2014 LED Industry Update : Highlights and Future Trends
In 2013, the LED technology has really started to spread beyond general lighting, with LED penetration rate superior to 5% in some applications (such as residential lighting, commercial lighting and road and street lighting). However, to enable massive adoption of the technology, LED-products still require a cost decrease in order to be able to compete with incumbent technologies (CFL, halogen…). Additionally, the switch from a display driven market to a Solid State Lighting (SSL) driven market poses a lot of challenges for the many LED manufacturers that are not vertically integrated all the way through lamps / luminaires.
In 2014, after years of anticipation, promises and excitement, General Lighting is no more “at the corner” for the LED industry. However, to successfully convert this opportunity into bottom cash lines, the industry will have to undergo some major transformations, and many challenges await. First of all, the highly fragmented LED industry with more than hundreds of chip makers and thousands of packaging companies needs some serious consolidations. Secondly, the paradigm changes of SSL implied that it’s not anymore simply about making bulbs and sticking them into luminaires: to reap the full benefits of LEDs, products will have to be designed out of the box, almost from the chip to the final installation in our living room or city hall.
Developments toward technical innovation and manufacturing excellence both also appear as mandatory conditions to continue to decrease the “$/lm” of LED device. However manufacturers should not focus only on reducing packaged LED costs, but they should also decrease other component costs (IC driver/power supply, optics…) as light source cost reduction will reach its limit. Beside organization and rationalization, the industry must also educate all the stakeholders. This mean not only consumers but also architects, developers, light designers, contractors (…).
In this presentation, we will present an overview of the LED market and industry, detailing: market metrics, key players, recent trends, technology under development, concrete examples (…).