LED how fire only upstream of domestic enterprises

Upper substrate, epitaxial material and chip manufacturing (technology and capital intensive)

Midstream: device and module packaging (technology and labor intensive)

Downstream: LED applications, mainly refers to the lighting manufacturing and control systems

The investment scale of upstream epitaxial wafer is more than 1000 times higher than that of some downstream applications. )

LED in the end how much fire? At the Guangzhou International Lighting Exhibition, exhibition area of 135 thousand square meters, LED exhibition area of more than 70 thousand square meters; more than 1 thousand and 800 enterprises participating in the most part are doing LED, and the main participants of incandescent lamp manufacturers, almost disappeared.

We are optimistic about the market, hoping to quickly cut into the market, the introduction of brand. "Jihua photoelectric operations manager Zhang Yajun admitted to the newspaper in the lighting show, LED market is huge, but the domestic enterprises are mainly concentrated in the downstream packaging and application fields, LED has several core technology is still in the hands of foreign enterprises: one is the power chip, the United States CREE is one of the most important LED the other is the chip manufacturer; fluorescent powder, we basically have to use Japan's Nichia chemical products. "

LED: look beautiful?

In the international lighting exhibition, foreign giants GE, OSRAM, PHILPS have focused on creating a LED area.

GE focused on the launch of the plan in the second half of the market until the GLSLED lights, GE said it was a real alternative to indoor 40W incandescent LED products. GE lighting Asia Pacific president and CEO high stressed that GE is very optimistic about the prospects for indoor retail and outdoor road applications, the Chinese market is our top priority. "

The domestic enterprises also smell the business opportunities of LED - at the end of last year, the United States set up lighting Electric Manufacturing Co., ltd.. Beautiful lighting brand planning director Meng Ling said, the United States to do lighting, home, office, engineering, electrical, light source of a full range of lighting solutions".

In the TCL exhibition hall, the display products are mainly LED, including light sources, indoor and outdoor lamps. Li Yimin, general manager of TCL lighting electric division, said, TCL lighting will further focus on the advantages of resources to the development of LED, LED is our future".

Some experts predict that in 2010 China's LED output value will reach 150 billion yuan, an increase of two times in 2008. Looks beautiful, but LED still faces the core technology, industry standards, such as the lack of high prices and other issues.

FSL marketing director Zhang Kaiming admitted that due to the LED front-end technology is more in the hands of some large foreign companies, LED whole product project in China, the current price is still high". Zhang Kaiming said that in the LED investment, FSL hopes to seek cooperation with foreign companies.

Jiangmen Jihua optoelectronics from last year, the production of LED lighting products to LED ordinary spherical bulb, for example, the price of about 60-80 yuan. "Ordinary consumers may think that the price is a bit high, but in fact, our profit is not high. Zhang Yajun said, because the core of the patent monopoly by foreign companies, the downstream manufacturers to buy epitaxial wafer and chip cost is very high, the cost of optical chips accounted for more than half. "

In fact, in the upstream, LED lighting is the basic core patent in Japan, TOYOTA, Toshiba Nichia synthesis, CREE, Germany OSRAM company control, and these companies use their own core patents, take the "extended mode hezonglianheng", layout strict patent net in the world.

Zhang Yajun also pointed out that LED has not yet issued specific industry standards, such as luminous flux, luminous efficiency, light intensity, etc., are not issued specific parameters. "

There unnamed companies told reporters that due to manufacturing defects, will lead to the LED chip high temperature accelerated chip attenuation, now widespread attenuation problem LED light source, LED lamp installation for less than a year on the brightness of severe attenuation phenomenon. "LED street lamp theory of life in more than 5 years, but with the current technology, less than two years must be changed".

Climb up

Data from the China Lighting Association show that in the LED industry chain, epitaxial wafers and chips accounted for 70% of the profits, while the LED packaging and application only accounted for about 30% of the profits. At present, wafer production control in the hands of foreign companies; chips, mainly concentrated in the low-end domestic enterprises in the field of small power, high power high-end areas still exist in aspects of technology, production and quality problems.

From the industrial layout, the development of China's LED industry is also very uneven. The national development and Reform Commission statistics data show that in 2008 the total output value of China's semiconductor lighting of nearly 70 billion yuan, of which the chip output value of 1 billion 900 million yuan, 18 billion 500 million yuan package, application products output value of 45 billion yuan, chip, package and application value of the ratio of 1: 9: 22

Fortunately, can not be reduced to the downstream assembly workshop has become the consensus of the domestic LED companies. In January this year, three optical ho throw 12 billion yuan to set up a LED base. Sanan optoelectronics currently has an annual output of epitaxial wafers 450 thousand, 15 billion chip production capacity; has completed 5 LED production line construction Silan, quasi directional additional fund-raising not more than 600 million yuan for the expansion and supplement working capital of high brightness LED chip production line project.

Tongfang Limited by Share Ltd vice president Wang Lianghai said, one of the bottlenecks in the development of LED is the high power chip, high brightness of blue and green LED chip production in China is still blank, and with the breakthrough in these areas has photoelectric technology level. "LED chip prices vary widely, because the quality is not