First, China has a large and lighting lighting industry market. Now in our country is one of the world's lighting appliances producer and exporter, according to the China association of lighting, sales income is 44. 5 billion yuan last year, foreign exchange earning $4. 3 billion. But lighting industry big but not strong, mainly for low-end products, low profit margins, lack of international market competitiveness. According to retrieve, the United States is now lighting electricity each year 600 billion degrees, about to take up 20% of the total electricity. Every year in China lighting electricity only 200 billion degrees, 12% of the total electricity. This means that the lighting industry in China has a huge space for development. Second, our country in this field have a certain technology and industrial base. Compared with microelectronics, our country and abroad in the field of semiconductor light emitting device gap is smaller. China independently developed the first light emitting diode ( 领导) , than the world's first light emitting diode only a few months later. According to experts, overall, the technical level of the semiconductor light-emitting diodes (leds) industry in China, and developed countries differ by 3 years or so. Through the support of science and technology plan such as '863' plan, China has initially formed from epitaxial wafer production, chip preparation, IC packaging application of relatively complete industrial chain, is now a national semiconductor light-emitting diode devices and lighting system in the production of more than the size of the enterprise has more than 400, product packaging in the international market has occupied a large share of. Third, the development of semiconductor lighting industry can play the comparative advantage of our country. Semiconductor lighting industry, especially in the downstream of the industrial chain of chip packaging and lighting system industry, is a technology-intensive industry, is a labor-intensive industry, its difficulty and risk is much lower than the microelectronics industry. Development of semiconductor lighting industry, can give full play to our country's human resources advantage, drive the related industries, and increase exports, attracting employment. A, LED the research, investment and development of domestic 1960 - In 1970, the Chinese Academy of Sciences glow to conduct scientific research in 1980 - In 2000 LED to from research to production. Encapsulate the early introduction of tube core, the technical threshold is low, ninety generation introduce epitaxial wafer processing, and then carry out research and development of epitaxial wafer of high technical content, and small batch production. 2002 - - Begun to take shape, our country LED 420 production enterprises, employees 30000 people, the output value of 8 billion yuan, the production of more than 15 billion - 2003 - Output value of 10 billion yuan, more than 20 billion, of which the high brightness of billions. Shanghai, dalian, nanchang, xiamen has become a national four big semiconductor lighting base. Compared with the international advanced level, now China's semiconductor lighting technology 3 - behind For five years. On June 17, Ministry of Science and Technology joint 6 and 11 local government, launched the semiconductor lighting engineering from the national level. Got the financial support of 1. 8 million yuan. ( Ministry of Science and Technology 'industrialization of semiconductor lighting technology development' project as the 'tenth five-year plan key projects of national science-technology key. The subject in the process of the project, divided into A, B two class project, A project, not only to support and funding, class B only to the subject, if progress is good and through the inspection, can also get funded) into A class, Ministry of Science and Technology announced on July 3, 2004, a Ministry of Science and Technology, ministry of information industry and so on six ministries and commissions and 14 local government on the implementation of 'national semiconductor lighting project' officially launched the first 50 project. 2005 - - Recent will solve some key technology, industrialization needs to master a number of semiconductor lighting technology intellectual property rights. Long-term to foster new type of high power white LED ( Semiconductor light emitting diode) General lighting industry, and will be a breakthrough in high-end original technology. Second, the key area in Shanghai, with the enterprise - - All of semiconductor; At present, the domestic has the main 8-inch fabs are smic, huahong NEC, macro force etc. Several, they are all in Shanghai, Shanghai's 'pillar' of 'semiconductor'.