LED field will enter the stage of brand competition

Taiwan's LED manufacturers' revenue in October was released and entered seasonal adjustment. LED sapphire manufacturer Ruijie continued its downward trend in September, but still maintained a large growth rate of 93. 5% year on year. 93. LED chip manufacturers have seen a year-on-year decline, and Jingdian, New Century, and Yuanyuan October have dropped by 3. 3, 28. 5 and 26. 6. LED packaging manufacturers Yiguang and Dongbei maintained a high year-on-year growth of 25. 37 and 60. 37, slightly down 7. 86 and 4. 52. In general, the sapphire and packaging in the LED industry still maintain rapid growth, while the chip industry is still in the stage of adjustment, and LED still maintains the industry economy. Taiwan manufacturers October LED chip cold LED chip manufacturers in October continued the downward trend in September, LED chip manufacturers Jingdian, Lunda, Yuanyuan October fell by 15. 48, 16. 66 and 36. 22, the decline has no moderate trend, the performance is slightly lower than expected, showing that Taiwan chip manufacturers are still in the state of adjustment since the third quarter. In October, it was mainly affected by seasonal factors. Lunda said that the backlight and lighting applications in October both entered the off season, and the backlight part entered the traditional off season. In addition, the demand of Korean customers was tight, therefore, there is a downward trend. In the lighting section, due to the reduction in shipments of European customers at the end of the year, the traditional off-season in the fourth quarter was entered. LED Sapphire performance continued to rise steadily, with LED Sapphire manufacturers Jingmei and Xinjing Diamond rising 10. October month on month. 18 and 7. 06. Ruijie October fell by 10. 95, down 12 from September. Compared with 8, it showed a trend of stopping the decline, and Ruijie's October increased by 93. 93, it can be seen that the LED sapphire industry is still in the industry boom. LED packaging manufacturers were dragged down by the off-season, with Yiguang and Dongbei falling 7. Month on month in October. 86 and 4. 52, but up 25. 37 and 60. 37. The competition for LED in the mainland is fierce. A new round of LED mergers and acquisitions has begun (HaitzLaw) With the continuous improvement of production technology and the continuous improvement of productivity and product yield, the price of chips will undoubtedly decline. The LED competition in the mainland is getting more and more fierce, and the market occupation of brands is not only around price competition, but also around the double focus of quality and price. Enterprises with backward technology and poor management efficiency will eventually be eliminated. At the same time, the cash flow of enterprises is very important. If the cash flow cannot continue, it will also face great operational risks. Under this trend, the mainland LED market will show a trend of constant overall scale and continuous expansion of enterprises. At the same time, the number of new chip companies with capital inflows will not increase much, because the previous investment was too large, the market demand has been overdrawn, and the upstream chip field is still digesting the previous investment. Now we see that some big companies are starting to take action, and a new round of LED mergers and acquisitions has begun. Enterprises with capital platform operation generally have strong vitality. For example, even if some upstream enterprises in the mainland market are small in scale, they will not disappear as long as there is a platform for listed companies. The upstream chip companies that have disappeared in recent years are basically enterprises that do not have a capital platform to operate. Two years later, in 2016, when LED reached 180lm/W to 200lm/W industrialization, the extraction efficiency at this time will reach 60. Under the condition of not increasing the cost, the cost-performance ratio of LED lamps will surpass all traditional lighting lamps. At this time, the LED field will enter the stage of brand competition, LED chip companies with strong capital and technology will dominate the market.