LED packaging industry opportunities and risks

In recent years, the application of led has become increasingly broad. The continuous rise of the LED boom has led to the rapid development of a number of companies. Guoxing Optoelectronics and Qianzhao Optoelectronics were successfully listed last year. Lehman Optoelectronics, Hongli Optoelectronics, Ruifeng Optoelectronics, Alto Electronics, Zhou Ming also officially landed on the stock market this year. Many of these listed companies are package companies, and the domestic LED midstream packaging companies have a rapid development momentum.

LED midstream packaging in the past two years has been favored by many funds, and achieved good results. In 2010, China's LED packaging total output value of 27 billion yuan, an increase of 35%, is expected to continue this year will also be 20% to 30% growth rate, but the middle reaches The packaging industry is now facing a headless situation. Recently, Li Man-fai, chairman of Lehman Optoelectronics, expressed his opinions on the opportunities and risks of the current LED packaging industry.

LED package investment opportunities

The LED industry chain includes upstream LED epitaxial, chip, midstream LED package, and downstream LED product applications. The packaged products include three types: lamp, SMD, and HI-POWER. LED packaging has been introduced with the advent of epitaxial chips, and has played an indispensable role in the entire industry. Li Man Tie introduced, "LED packaging technology, technology and formulations have high-tech, intellectual property barriers less characteristics. At present, there are few listed LED packaging companies, most of the scale is small, but the upstream and downstream expansion has an advantage, so the package The company has huge room for growth.In the future, LED lighting and LED TV will be a strong growth point for LED packaging, and the LED industry will benefit from the national energy-saving and emission reduction strategy and have the opportunity to become a representative industry for the rise of China, a representative national brand. Lehman Optoelectronics will also continue to increase investment in R&D, continue to improve our technical level, maintain its leading position in the industry, and actively surpass international large companies in the industry."

LED Package Investment Risks

Progress is bright and the process is winding. Li Mantie frankly stated that “domestic LED packaging has certain investment risks. This is due to the low product positioning of some LED packaging companies, which leads to serious homogeneity and fierce market competition. Some companies have small scale, short brand history, and lack of business operations. Norms, poor governance structure, lack of R&D investment, lack of core technology, technology, and formula, but these "small" companies still have "great" growth."

Future and opportunities for LED packaging

In the future, as technology continues to advance, China's LED packaging industry is full of opportunities. Li Mantie said: "The technological gap between China and foreign countries is continuously shrinking. After several years of development, the gap between China's packaging technology and the international packaging technology level is gradually narrowing. In packaging equipment, packaging chips, auxiliary materials, the main package In terms of form, package design, packaging process, and package performance, a small number of excellent packaging companies in China have reached the world level, especially in terms of package design, China's LED packaging design is based on the existing designs in foreign countries and Taiwan and the improvement Innovating, now the design of domestic in-line LED has been relatively mature, and currently it can be further stepped in terms of attenuation lifetime, optical matching, failure rate, etc. The design of SMD LED is especially in the continuous development of top-emission TOP SMD. In addition, the package size, package design, material selection, optical design, heat dissipation design, etc. are continuously innovating, and has broad technological potential.The design of power type LED is a new world.Since power type large-size chip manufacturing is still in development , making the structure, optics, material and parameter design of power LED also in development In China, new designs have emerged, and China’s technological output is just around the corner. Thanks to the boom in low-carbon economy, LED applications are increasing, and LED products are used in various fields such as display screens, backlights, indoor lighting, and landscape lighting. Agricultural lighting, combined with the introduction of China's energy-saving and emission-reduction policies, has led to the government's strong support for the promotion of LED products, strong market forces, continued increase in the scale effect of enterprises, and a large amount of capital support for the packaging industry, and some outstanding corporate brands have matured. The localization of materials will increase in the future, and the market will become more mature. The price threshold of LED is naturally expected to fall within the acceptable range of the public."

Li Man stressed that LED packaging is an important part of the LED industry chain. The continuous improvement of LED packaging level can promote the improvement of upstream chip technology, ensure the quality of downstream application products, narrow the gap with foreign industry giants, and help LED to advance to the international level.