LED technology funds are limited by government subsidies difficult long-term development

90% LED lighting business losses, simply rely on LED lighting products to replace ordinary incandescent ideas need to change, to work on the application of innovation.

In the recently held "2011 China low carbon economy industry development forum, LED lighting company PIPO Technology (Shenzhen) company chairman Deng Weiye said, the current 90% LED business losses, because many domestic manufacturers lack core technology, in R & D investment is very small. Deng Weiye said, LED companies focus on developing the market at the same time, but also in the product technology to do their homework. The industry experts also pointed out that the development of the industry has exposed the enthusiasm of the industry, LED industry is facing the core technical constraints, lack of standards and the lack of funds and other bottlenecks, relying on a simple idea to replace incandescent lamps to change.

In the country to promote energy-saving emission reduction and low carbon economy in the background, the rapid development of LED lighting industry. Ministry data show that from 2011 to 1 in April, LED investment in the industry to maintain rapid growth, the amount of investment has more than 30 billion yuan, the growth rate of more than 90%, becoming a veritable investment hotspot. At present the four semiconductor lighting industry in the Pearl River Delta, Yangtze River Delta, northern area, Jiangxi area and Fujian area gathered in China has initially formed the epitaxial wafer chip preparation, production, packaging, integrated application of LED industrial chain formed.

Policy support, the national medium and long term scientific and technological development plan will be efficient, long-life semiconductor lighting products included in the key areas and priority themes, the first priority. The local government also increased the industry's support, the science and Technology Department of Guangdong Province issued the "Declaration on the organization of the second batch of circular" special funds for the strategic emerging industry LED industry project revealed that 2011 will arrange 450 million yuan to support the development of the LED industry focus.

However, with the promotion of favorable policies, the domestic LED industry blowout type development is also exposed a lot of problems. Insiders said that the lack of core technology, poor liquidity and lack of standards and other issues have seriously hampered the development of the LED industry.

According to reports, LED epitaxial wafers and chips accounted for about 70% of the industry's profits, packaging accounted for about 10%-20%, LED applications accounted for about 10%-20%. At present, the country's more than 4 thousand LED companies, mostly in the packaging and downstream sectors, in the industry's most critical substrate material technology, epitaxial wafer production core equipment, technology patents have long been monopolized by foreign companies. MOCVD (special equipment, the growth of GaN thin film GaN is the main material used to make the LED light emitting diode) epitaxial furnace and related technology is the most high-end LED industry chain, mainly rely on imports to restrict the upstream industry chain cost control.

This is also one of the reasons for the high price of LED lighting products. Deng Weiye introduction, nowadays LED lighting products accounted for a larger proportion of government procurement, followed by industrial and hotel lighting, the proportion of civilian procurement is still very small. He said, led the company products are mainly exported to Japan, no one put a lot in the mainland market is considered frequently more than incandescent lamps more than ten times the price, the consumer is difficult to accept. Deng Weiye predicted that the future of the LED industry will show a polarization of the situation, or have the core technology to become the industry's giants, either through the industry reshuffle lost competitiveness or bankruptcy.

In addition to technical constraints, LED lighting is also facing the lack of testing standards embarrassment. Deng Weiye said that the company's products in Japan has passed the PSE certification, but there is a lack of domestic related industry standards, both in terms of product specifications and energy measurement are lack of standards. At present, some energy companies have become a light bulb company, in the construction of the bulb again before, how can we achieve the effect of the lack of energy efficiency testing standards.

There is no testing standards, product quality is not clear. Deng Weiye said that at present there are differences in the application of standards are not uniform, leading to the development of enterprises across the region encountered resistance.

From the National Lighting Equipment Standardization Committee was informed that there are 12 items on the LED lighting standards through the basic examination, if the smooth progress of these standards approved by the relevant departments after approval, is expected to soon promulgated.

Compared with the core technology, the lack of standard testing standards, the lack of cash flow on the impact of LED lighting companies more directly. Deng Weiye, the early factories, research and development, marketing and other expenses have been accounted for the enterprise funds, and some of the LED companies to provide free products depends on the pattern of energy management contract for the recovery of funds, which have allowed some enterprises came to the edge of collapse.

Reported that the semiconductor lighting "12th Five-Year" plan will be released, with the publication of the national standards of LED lighting products, LED product is expected to be included to enjoy financial subsidies, industrial lighting, commercial lighting may start a wide range.

Experts pointed out that LED companies blindly rely on the government's financial subsidies is not realistic, how the core technology and quality products to win market recognition is the key. Simply rely on LED lighting products to replace ordinary incandescent ideas need to change, should be in the application of innovation on the terminal efforts.