LED price war game continuously rising status of flip chip technology

[LED] China network in general, with the development of product sales, the unit cost will be reduced, so the enterprise has a certain price space, while the true sense of the price war, the price reduction is due to the cost of the increased use of and offset the loss caused by the price, but not by sacrificing quality to gain competitive price.

Now the price war has become a malicious criticism of LED industry, some chip companies shunned and accelerate the expansion of a variety of crystal (Flip Chip) technology products, such as straight to fundamentally solve the quality problems due to prices, and greatly reduce the cost of LED lighting products.

Price war game continued to cover the technical status of re upgrade

The flip chip technology revolution to a climax, is Nichia (Nichia).

In March this year, Nichia announced it will invest billions of yen for flip chip packaging production line, and will be in mass production in October this year only 40% dimensions of existing schemes, and the cost is more close to the people of the LED lighting and backlighting --ELEDS series products, the goal in the next 3 to 5 years will be flip chip LED on the mainstream market.

Behind this move is Nichia, LED industrial investment scale annual growth of three to 40%, but the price of the end product but maintain 20 ~ 30% of the decline in the trend, the development trend of the LED industry to reverse the investment and profit gap increasingly, related manufacturers must continue mining process more low cost solution to maintain the normal operation; at the present stage, the industry is optimistic about the flip chip package can be greatly simplified LED process, and then let the proportion of production costs decline, therefore, Nichia also plans to invest LED flip chip packaging production line, to seize the market opportunities.

Whether it is PHILPS, CREE, Nichia, Lunda, new century, or crystal electronics, Elec-Tech flip chip technology is gradually outstanding, the position is gradually upgrading.

Elec-Tech chip division vice president Mo Qingwei believes that the future of flip chip technology will bring more Lm/$, will bring down the cost of meeting and other competitive packaging technologies together, for the end user, the semiconductor lighting industry, the solution provides more abundant and more cost-effective.

According to the TrendForce's green energy division LEDinside latest price display, the second quarter of this year LED package price continued to decline. Lighting part of the average price decline in the package fell in the range of 1~9%, while a 2835 decline in the value of up to 10~17%, far beyond other lighting packaging products, the main reason is that the domestic lighting is the main component of 2835.

Is the so-called yiyezhiqiu, 2835 of the price decline, we can see that the mainstream lighting market price war is further intensified. The sacrifice quality for price would be Shajiquluan, but the pursuit of high quality and inexpensive products with one of the development of the industry from first to last property, it will also accelerate the healthy development of the industry.

Do not want to participate in the vicious price war, so the company chose to develop and upgrade the technology, the introduction of more competitive crystal products.

Flip chip technology to stimulate LED market enterprises need Baotuan pains

From the perspective of the development of the LED market, it is very necessary to solve the price problem from the technical level. To develop the LED lighting industry, its infrastructure is the perfect supply chain, there is no basis for the core technical support, LED will only leave a hasty figure. At the same time, LED really want to go into the family, the bottleneck is nothing more than two, one is technology, one is the price. Therefore, companies need to improve the technology and the corresponding cost reduction, which is to allow the real LED into the premise of the smooth implementation of the family strategy.

LED companies naturally know the stakes, but also dare not neglect. Such as Taiwan involved in the LED is a relatively early chip enterprise crystal electricity, the new century, billion light has been the development of crystal technology. At present, the market has been a lot of industry have launched LED products.

In view of this, this is a picture of how harmonious, LED technology will rapidly improve, lighting products price cost will be decreased rapidly, when people in the dance for joy, some LED companies will not laugh. The reason is very simple, the construction of the line replacement equipment requires real money, but also hundreds of billions of dollars, the money come from?

This led to a lot of companies know that the advantages of crystal clear technology, still choose their own old products. For such enterprises, due to the financial pressure can not withstand the transition, had to look at the big companies have dabbled in crystal technology. Does that make their lives a hopeless situation?

In this regard, Mo Qingwei has said that opportunities and challenges coexist, the opportunity to bring technical problems need to overcome. CSP LED to become a climate, not a matter of two companies, but the harmonious development of the entire ecological chain.

So, if the CSP giant army, if its domestic enterprises together to seize this opportunity, "LED technology or price drop" is really Misfortune may be an actual blessing.? (text / China LED network Skavy)

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