The chip is facing inventory pressure LED lamps are sluggish trend

South Korea’s Samsung LED Co., Ltd. announced the launch of five new types of high- and mid-power LED products with input power levels above and below 1W, which officially entered the LED lighting market. In 2011, the industry opened up a wide range of doubts about 2010, especially the China LED connotation chip production competition, which may inspire the oversupply of the market this year.

Based on the drop and spread of LED lamp prices, Samsung and many LED manufacturers in China have stepped into the LED lighting market. Now the LED industry is widely expected compared to the 2010 global LED lighting infiltration rate of about 3%, 2011 LED lighting penetration rate is expected to reach 6 to 10%. The upstream MOCVD machine platform will have a 5-fold increase in 2011, which will inevitably lead to an increase in production capacity by 15 times.

For LED lighting manufacturers, the decline in LED prices is a side effect, which can make their products more responsible for users, and they also reduce the cost of light to improve efficiency, gain market profits, reduce chip costs in 2011 Under the trend, LED lamp gallbladder prices will continue to decline, large-size LCD backlights and LED lighting hopelessly become a twin engine for advancement.

The backlight source is the best release port for this year's expansion of production capacity. If the backlight source's increase this year is expected, then the price of LED will probably stay. Conversely, by June, following the excess capacity of the upstream chip, LED group cost will drop by 30%. Now, they have felt that there are pressures on the stocks of several major international giants that have long-term mutual assistance.