There are more and more companies entering the LED market, but the LED market is still in its infancy. Foshan enterprises are very worried about this.

At the end of November, the Foshan Municipal Government issued the "Implementation Plan for the Implementation of the "Guangdong Province LED Product Application and Industrial Development Comprehensive Demonstration Zone" (hereinafter referred to as the "Project") in Foshan City. After establishing the provinces and cities to jointly establish the LED industry demonstration area, Foshan made clear. LED development ideas.

This will undoubtedly accelerate LED capital investment. With more and more LED influxes, companies are nervous: LED demonstration projects funded by the government are increasingly sought after, but the commercial and home market has failed to open. “How many years does it take for LED to enter the ordinary family?” This problem, which was repeatedly raised by Zhu Xinzhi, Secretary-General of Foshan Lighting Association, is actually a question that many LED companies are thinking about.

How to digest 20 billion worth of output?

"Foshan LED lighting industry achieves industrial output value of 20 billion yuan, an average annual growth of 35%, forming a relatively complete industrial chain including equipment, materials, chips, packaging, lighting and application promotion." This is the "LED LED lighting industry proposed by the "program" The 2012 goal.

This goal is divided into three parts, including LED devices, chips and other upstream links to achieve output value of 6 billion yuan, LED packaging link to achieve output value of 4 billion yuan, LED application link to achieve output value of 10 billion yuan.

"Our LEDs are now more packaged and produced. There is very little down technology and upward chip development. If the industry cannot expand, it is likely to repeat investment." Zhang Tao, vice president of CCID Consulting Co., Ltd., gave Foshan LED The industry sounded the alarm.

At present, Foshan has about 120 companies involved in the production and supporting of LED products, but most of them are packaged businesses. For example, the largest LED packaging company in China is in Foshan, and the “plan” hopes to change this kind of industrial organization.

In September of this year, Guangdong Province and Foshan reached an agreement to jointly build "Guangdong Province LED product application and industrial development comprehensive demonstration zone." The big city of the lighting industry is expected to create an industrial chain from LED manufacturing to industrial services, from key equipment development to product application and promotion.

This will undoubtedly accelerate LED capital investment. It is foreseeable that the influx of LED's will be more and more capital-sharing in this emerging industry, but at the same time, the concerns of LED companies are also deepening.

At a corporate seminar organized by the Foshan Lighting Association last week, companies raised concerns: How can 20 billion LED output value be digested in 2012?

There is an urgent need to enter the home market

"Considered again and again, finally we decided not to enter the packaging field for the time being." Li Juncheng, deputy general manager of Foshan Guangqi Lighting Co., Ltd. believes that the reason why Guangqi is cautious about entering the LED is because more and more companies have entered the LED industry. However, the LED market is still in its infancy.

LED is showing the situation in the country. Cities such as Dalian, Nanchang, Xiamen and Shenzhen have all established national semiconductor lighting engineering industrialization bases. Even in the province, “Guzhen Lighting” Zhongshan and Dongguan have already begun to use LEDs early.

In fact, in order to solve the LED product market outlet, Foshan has plans to use LED lighting in a large area in the public sector. In accordance with the "Program", Foshan will implement LED lighting products government procurement policy, promote LED lighting products into the "government procurement independent innovation product catalog." "We will fully promote the application of LED street lights in the city's key roads, complete the replacement of more than 120,000 high-pressure sodium lamps in the next three years, and establish a total length of 1,418 kilometers of LED street lamps."

In the eyes of enterprises, only the government's orders are far from enough. “Government purchases are fragrant soups, and there are few companies that can compete.” At the seminar, a company official admitted. In accordance with the "Program", Foshan will support 3-5 LED lamp manufacturing company products in batches through the "Guangdong Province LED street lamp product evaluation benchmark system" detected and included in the "Guangdong Province green lighting demonstration city recommended procurement catalog." This means that in government orders, only a few companies can share this piece of cake.

Even so, government orders are not easily digested by companies. The energy contract management (EMC) model is expected to be widely adopted, and corporate profits have to rely on the energy efficiency of demonstration projects. "In fact, the company's earnings are not worth mentioning, mainly to recover costs." Zhao Lijun, general manager of Guangzhou Disheng Energy Technology Co., Ltd., told reporters.

Many factors have led companies to urgently need LED markets for developers and ordinary families. "How many years will it take for the LED to enter the ordinary family?" Zhu Xinzhi repeatedly repeated this question.

LED popular problems are more

However, Foshan LED companies did not form a "timetable" consensus. In 3 years, 4 years, and 5 years, the time given by many well-known LED companies such as National Star Optoelectronics, Blue Arrow, and Matsumoto Optoelectronics is not the same.

“We have conducted surveys in more than 1,000 stores in Foshan and very few use LED lights.” Wang Ze, sales manager of Guangdong Zhaoxin Lighting Co., Ltd. admits that the market has not yet begun to accept LED lighting.

The price is considered by many companies to be an important “stumbling block” in the hearts of family consumers. “Even the most common LED light bulbs, the market price is at least forty or fifty yuan, which is still a big gap between the price of energy-saving lamps.” Li Haifeng, a technician at Foshan Kaixiu Lighting Design Company, said that the main cost of LED lights is concentrated. In chips and heat-dissipating materials, 80% of current chips are monopolized by foreign countries, accounting for more than 50% of their costs. With only a drop in chip prices, the overall cost of packaging and heat-sinking materials will be reduced, and LEDs will become more popular.

However, Luo Jianhong, general manager of Songbei Electric, has different opinions. He believes that LED lighting should solve the problem of unstable quality and inconsistent standards before solving cost problems. "A lot of LED companies have always believed that chips and heat sinks are the root cause of LED life, but they have not noticed the light failure caused by the LED power supply drive. Consumers will become like candles when they buy less than two years."

Due to the uneven quality of LED products at present, in the absence of relevant national standards, consumers are difficult to distinguish the quality of LED products, resulting in the beginning of the LED emerging market was "deprecated."

Wang Mengyuan, deputy dean of the Foshan Institute of Sun Yat-sen University, believes that in the LED promotion stage, companies should not “kink” the energy-saving effect of LED lighting. “At present, the environmental protection concept of the domestic people on power resources is still relatively weak, and energy saving is not the best selling point.” He also pointed out that LED's eyesight is comfortable and healthy only when the color temperature of sunlight is close to 80 or more. Many LED products have a color temperature of only about 70, which is damaging to the human eye.

background

Build LED industry chain featuring packaging and application

As Foshan has strong advantages in LED packaging and application, the "plan" clearly proposes to adopt "introducing chips, nurturing equipment, enhancing encapsulation, broadening application, supporting support" and other measures to build a LED package and application features Semiconductor lighting industry chain.

According to implementation opinions, the future development of LED industry in Foshan will focus on five major areas of major equipment, epitaxial chips, packaging, high-end lighting products and applications, and key supporting industries.

In order to promote industrial development, from the year 2010 onwards, the municipal and district governments of Foshan City will arrange no less than 60 million yuan in fiscal funds each year to strengthen the construction of the “Guangdong Province LED Product Application and Industrial Development Comprehensive Demonstration Zone” and Development, at the same time the implementation of LED lighting products government procurement policy, promote the support of LED lighting products into the "government procurement independent innovation product catalog."

It is worth noting that financial measures will become one of the “leverages” for Foshan to promote LED development. The Opinions stipulate that Foshan SME Credit Guarantee Fund and Technology Incubation Fund will be used to guide and support venture investment and private capital to intervene in industrial innovation, and accelerate the docking of scientific and technological projects with financial capital to support the industrialization of LED lighting major scientific and technological achievements. .