Shangzhi developed 5 inch sapphire ingot, 2010 Q4 in LED crystal

Taiwan Datong group's long crystal semiconductor factory Shangzhi (3579), is expected in December 23rd listed. At present, Sangzhi has successfully developed sapphire ingot growth technology, 2010 will set the sapphire crystal factory, the fourth quarter of 2010 is expected to enter production. Yesterday (17 days), Shangzhi general manager Li Longda in "said new applications LED Wang, industry the most upstream LED sapphire crystal rod in 2010 will have a serious gap between supply and demand.

Due to the 2010 LED TV and enhance the penetration of light, coupled with the mainland to actively promote such as ten city million, is expected to accelerate the development of LED applications, and LED sapphire substrate demand will grow rapidly. Shangzhi general manager Li Longda said, Taiwan LED extension capacity accounted for nearly half of the world's material, but the sapphire crystal sapphire substrate for the bar, but at present by the United States, Russia and Japan manufacturers oligopoly, Shangzhi is to see the business opportunities. Li Longda pointed out that the upper reaches of the sapphire crystal rod long crystal technology, because the production threshold is high, the Taiwan industry and the majority of imports in recent years, Taiwan is only for a small amount of crystal peak and Xin, so once cut long crystal technology, will be able to enjoy the huge business opportunities in the LED industry.

Li Longda further pointed out that the sapphire crystal technology is developed with Shangzhi, equipment manufacturers, in order to remove the vertical drilling rods, drilling rate reached 50%, and the general industry by KY, is in horizontal drilling, drilling rate of about 30%, the vertical drilling method can Shangzhi Cut Sapphire chip more. In addition, Shangzhi also successfully developed the crystal growth technology of 5-6 inch, with vertical drill, drill out 4-5 inch sapphire crystal rod size is greater than the current common market 2 inch crystal bar. Li Longda said that the 4 inch chip production is about 2 inches of the number of times, and the price gap is greater, the current diameter of 2 inches per millimeter (mm) of about $5, 4 inch crystal rod up to $35-40 per millimeter.

In the sapphire crystal technology development plan and set up after the success of Shangzhi long crystal factory in Taiwan next year, the initial production capacity will reach 100 thousand mm, long-term capacity is expected to reach 500 thousand per month to 1 million mm. Li Longda said, in addition to set up factories in Taiwan, the future due to capacity expansion needs, may also be located in China or elsewhere.

Li Longda said that next year LED applications including LED TV backlight and LED lighting penetration level of white LED demand, Chinese policy support plus LED, the most upstream sapphire ingot "gap between supply and demand will be very serious," "I can't do it, not afraid not sell". He said that at present there is a customer to negotiate the price of sapphire crystal rod, per millimeter will rise to $7.5, compared with the current $5 rose by 50%.

Insiders questioned whether the club entered the slice of business future, Li Longda stressed that industrial cooperation is very important, Shangzhi has invested Jingmei slice, the future will not be involved in Shangzhi section business.