Hottest led summary outlook 2017 forge ahead 2018

Led summary and Outlook: 2017 forge ahead, 2018 seek change and innovation

at the end of the year, many units are making year-end summaries to summarize the work and achievements of the past year, identify the existing difficulties and problems, and clarify the future plans and direction of efforts, so as to lay a good foundation for the work of the next year

when it comes to the year-end summary. Can't wait to write down all the big and small things that have been done in this year? Let's take a look at how the major media and analysis institutions summarized the LED industry this year

market performance

according to the relevant reports of Qian Kun investment, from the perspective of the LED industry cycle, after the in-depth reshuffle in 2015, the supply side reform has been relatively sufficient, and the LED industry is in the opening of the second wavelength bull of the S-shaped industrial curve: from the perspective of the upstream supply of LED, the industrial capacity concentration has accelerated, and higher industrial barriers have been formed to curb the disordered capacity expansion; At the same time, the downstream continuous innovation and application drive the vigorous development of the entire industrial chain

can improve the material performance to the required level. At the current time point, the continuous improvement of the penetration rate of LED lighting, the intelligent networking of LED lighting, the accelerated development of small spacing display and micro LED are becoming the main driving force of the new round of leading LED industry demand

Mini LED is the direction of transition to micro led

in 2017, the heat has been high than micro led. Micro LED is a new generation of high-level display technology application technology after LCD and OLED. Apple, Sony, Samsung and other major manufacturers have actively invested. Taichang Jingdian, Chuang Chuang, Industrial Research Institute and panel Shuanghu have actively invested, and began to develop micro LED technology or seek ways to transition to micro led. On the one hand, the emergence of micro LED has brought new possibilities to many technical fields such as ar/vr. On the other hand, the achievements of enterprises in micro led have also provided new directions for many latecomers

it is generally estimated in the industry that micro LED will be introduced into wearable products next year and smart display applications in 2020. Ledinside estimated that the potential market size of micro led could reach US $30billion to US $40billion (equivalent to about RMB 19.3 billion to 264.4 billion)

mic global ethylene propylene rubber production and automobile production trends are basically parallel. Ro LED is stuck in many process bottlenecks and needs to be broken through. It is difficult for commercialized products to appear in the short term. Manufacturers turn to mini led, which can be developed with existing equipment and changing some process parameters. 3 are products that broaden the working temperature range. Ledinside pointed out that the possible development direction of mini led in the future includes TV, car panel, display screen, etc. it is estimated that the overall output value of mini LED will reach $1billion in 2023, among which led display screen and large-size TV will be the mainstream of mini led in the future. At present, many manufacturers around the world have actively developed the relevant applications of mini led. Chip factories include Jingdian, Longda, San'an, Huacan, etc; Packaging plants include Yiguang, rongchuang, Hongqi, Seoul semiconductor, etc; IC Design plants include Jiji, Ruiding, etc; Panel factories include Youda and qunchuang; Display manufacturers include lyade and others

however, mini LEDs are also facing research and development challenges. In terms of cost, as the number of chips used by mini LEDs increases, the welding cost of gripping and placing grains will be greatly increased, the processing time will be longer, and the risk of process defect rate will also increase. In addition, because the mini led requires a certain height of light mixing area, the thickness of the product will be limited, increasing the difficulty of product design

cob display screen appears in the room with small spacing led

with the increasingly widespread use of small spacing LED display screen, the output continues to rise, its price also decreases, and the application field also shows a trend of accelerated expansion. Nowadays, it can be seen in many commercial application fields such as media, advertising, cinemas and so on. With the further decline of market increment and cost, the civilian road of small spacing LED has also been put on the agenda

two years ago, although the industry also proposed ideas for the civil market of small spacing led, no screen enterprises really launched mass production target products that can be used in the market. Until recent years, small spacing led TVs began to gradually enter some high-end markets, and everyone really felt that the door of the civil market of small spacing led had been opened. Its huge market space has also become an important profit growth point for the majority of screen enterprises

in 2017, Lehman optoelectronics launched the third generation cob small spacing LED display panel, and announced that it would achieve mass production and shipment in the first half of 2018. This is representative of cob display products. In September 2017, a message came from the Ministry of science and technology: as the development direction of small spacing LEDs in the future, cob was awarded the national key scientific research project of the 13th five year plan - Strategic advanced electronic materials? The main task of the project support of the new display project is to break through the shortcomings and limitations of the traditional small spacing LED display technology

cob, with its significant advantages, has been selected by major international manufacturers, recognized by the upstream industry and supported by the government, making cob technology inevitable to be the key development direction of small spacing LED products in the future—— This is the core reason why the industry calls cob the second generation product of small spacing LED screen

of course, even if it is a very excellent technology, cob small spacing cannot occupy all the markets at the beginning. Starting from the high-end, it is gradually popularized. This process has also been the "path" of small spacing LED large screen products in the past six years. However, now it's cob's turn to small spacing products. Once again, the "market iteration" process of occupying the high-end first and then popularizing is deduced

csp continues to be hot

this year, the flip chip and CSP of Guangya Exhibition have covered almost all packaging plants. Flip chip and CSP have been in the LED industry for many years. In the past, the CSP of domestic manufacturers has been in the stage of samples and small-scale, but this year has obviously become the focus of exhibition products of major chip and packaging enterprises. However, CSP, a new technology extended from flip chip for subtraction, has a high cost. CSP shipments are growing rapidly and are expected to remain hot next year

capacity transfer

excess capacity in the middle and upper reaches of LED has been cleared, forming high industry barriers, and the global LED industry has been transferred to China. International chip manufacturers have reduced production capacity, domestic chip leaders have seized global market share, and the industry concentration has increased significantly. Due to the in-depth reshuffle of the industry in 2015, the price of LED chips fell sharply, and the excess and backward production capacity of the LED industry was fully eliminated. The traditional large international LED manufacturers represented by crystal power and Cree have reduced production for many times. By the beginning of 2016, the cumulative production has been reduced by 25%. Samsung and LG have also shut down some production capacity. There has been no production expansion plan for three years in the new century

these traditional international LED manufacturers reduce reinvestment in the LED field and hand over their products to domestic manufacturers with significant comparative advantages for OEM. Therefore, domestic LED chip leading enterprises such as San'an optoelectronics, Huacan optoelectronics and Aoyang Shunchang, with the improvement of process technology, excellent cost management ability and the strong support of domestic capital and policies, further improve production capacity, undertake the global LED industry transfer, compete with large international manufacturers at high latitude, and continue to successfully seize global market share. In the domestic market, the market share of LED chip manufacturers has exceeded 70%, and the global packaging capacity is also accelerating the transfer to China. In 2017, the mainland packaging capacity continued to grow

in 2017, China's LED chip production capacity has reached 58% of the global production capacity based on the production of 2-inch chips, while the global new MOCVD installed capacity in 2017 was basically dominated by China

leading enterprises have strong pricing power

with the increase of chip concentration, in the future, only large packaging plants can give priority to the guarantee of chip factory capacity, and their concentration will increase significantly at the same time. According to the data of relevant institutions, "at present, more than 20% and about 4000 LED related application enterprises have withdrawn from the market". At the same time, mergers and acquisitions between upstream and downstream industries and even outside the industry occur frequently. According to incomplete statistics, in the past two years, there have been more than 70 mergers and acquisitions related to the LED industry, involving tens of billions of yuan

therefore, leading companies will enjoy stronger pricing power. The data shows that the number of packaging enterprises is only about 1000 in 2016, and only 500 in 2020. Although it is difficult to put packaging capacity into production and the investment in fixed assets is relatively small, the core competition of enterprises at present is the control of cost management and control ability and dead light rate, which requires the accumulation of long-term technology and experience, so significant industry barriers are built to block the entry of new entrants, Therefore, packaging leading enterprises will also significantly benefit from the improvement of profitability brought about by the increase of concentration

source: Guangdong LED