The mature way of China's LED industry: can capital make up the core technology?

The investment tens of billions of Yuan beyond count, industry chain and industrial cluster around the provinces, workaday industry members all have three digit annual growth rate, big purchasing manufacturing equipment, the lack of uniqueness is the core technology? LED lighting industry signs are worrying. Can the capital injected by the hormone make up the blank of core technology? Will the industry fall into a red sea before it matures?

With many countries around the world have entered into policies to promote the development of LED lighting applications, is expected in 2015 China's LED lighting market size of nearly one hundred billion u.s.. China is currently more than 1 billion incandescent lamp, lighting energy consumption accounts for about 1/6 of total electricity consumption, the national development and Reform Commission is working to develop a "light out of the road map", the preliminary plan from 2018, the domestic basic no longer use incandescent.

Under the support of national policy, each capital to hitherto unknown speed of fashion. According to the national development and Reform Commission statistics show that the proportion of China's LED lighting chips, packaging and application of output ratio of 1: 9: 22, of which nearly 70 upstream enterprises, packaging more than more than 3000 enterprises, more than 1000 downstream applications. Downstream of the LED lighting application industry, is the capital gathered, hot.

Heat from the upper reaches of the chip industry LED began to reveal. In 2010, all provinces and cities in response to the national LED development policy, has started to provide subsidy for enterprises to buy a MOCVD machine, the machine according to the type and area of different enterprises, each purchase of a MOCVD machine, can get 8 million yuan? 12 million yuan subsidy.

To provide the production of GaN and GaAs epitaxial films (for the production of blue, green, red, yellow, yellow green LED) MOCVD technology equipment manufacturers are not many, the German Ai Siqiang (AIXTRON), and the United States dimension ekey (VEECO) Precision Instrument Co. Ltd. the two almost occupied the global market share of more than 90%. 2010 total shipments of 800 units, and according to incomplete statistics, which only China on the purchase of 345 units, is expected this year there will be a purchase of 500 units.

The spread of heat is very rapid, and the extension to the downstream industry chain, the heat becomes more crazy. In the middle part of the packaging industry LED, the world's largest LED integration and packaging equipment supplier ASM Asm Pacific Technology Ltd 2010 annual report disclosure, as of December 31, 2010, the annual turnover of HK $9 billion 515 million, compared with 2009 of the annual performance of HK $4 billion 732 million, jumped 101.1%, comprehensive profit increase of 203.8% compared to 2009, including Hongkong, Taiwan, three, sales of HK $5 billion 513 million accounted for 57.9% of total revenue, while the mainland exclusive 37.6%. Although the sales profit rate of 33.8%, net profit is 3 times in 2009, the order is still unabated, small orders basically no goods available, even if the big customer, also want to pay a deposit after eight months to a year before the goods can be provided.

LED heyday

Who has provided a large number of orders for Ai Siqiang, ASM and the Pacific? It is the LED industrial cluster and industrial base which is springing up all over the country.

Industrial scale ranks first in the country of Guangdong Province, Huizhou CREE, BYD lighting and a number of projects invested over 1 billion yuan have launched. Germany's OSRAM, Taiwan EPISTAR, Li Zhou electronics have entered Guangdong, Konka, SKYWORTH, Han's laser and other listed companies in mergers and acquisitions and other ways to increase their investment into the LED industry. Dongguan Qinshang, more LED backbone enterprises, Dongguan Fu Fenghua hi tech scale ultra billion yuan, has formed a total size of over 50 billion yuan in LED industrial zone.

Anhui Sanan optoelectronics Wuhu optoelectronics industry project total investment of 12 billion yuan, Hefei rainbow blue color high brightness LED epitaxial wafer and chip projects a total investment of 10 billion yuan, the Wuhu LED production line project total investment of 6 billion yuan.

Dalian national semiconductor lighting industry base Wafangdian City photoelectric Park total investment of more than 10 billion yuan, is currently China's largest investment in the construction of one of the LED industrial park.

Fujian province 8 LED key industrial park, gathered a three, Jingyu, dry according to LED epitaxy, chip enterprises, Hualian, Putian etc. light packaging enterprises, and the application of a large number of product manufacturing enterprises.

Foxconn invested $500 million in Ji'nan, engaged in LED packaging and electronic screen production, lighting project, Institute of physics Changchun Machine Research Institute and the Wenshang County Government, China lighting company jointly invested 620 million yuan construction of R & D and production of energy-saving lamps and LED semiconductor industrial park construction project. Up to now, only the construction and construction of Shandong LED industry has reached 33 key projects, plans a total investment of RMB 32 billion 500 million yuan, of which more than 100 billion yuan of large investment projects up to 17.

The world's leading LED manufacturers are more favored Shanghai, PHILPS, GE, Dakota and other headquarters, research and development center has settled in Shanghai. According to incomplete statistics, foreign capital in 2010 to invest in the territory of the LED industry total capital of about $10 billion. Many enterprises have been involved in the mainland LED market, including EPISTAR, Everlight, Delta, PANJIT, dozens of well-known enterprises such as the East bay.

2008 Sequoia investment Chinese changelight $10 million 220 thousand, the companies listed on GEM, the investment return of 22 times. The demonstration effect of high returns, investment in the field of LED PE ignited the enthusiasm, with billowing hot money, make snap to Jianfengchazhen, paibingbuzhen.

Jinsha River venture capital investment have been too light when the core, latticepower, latticelighting, ashineon and other 4 enterprises in Jiangsu, the construction of Changzhou Jinsha River semiconductor