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The new agreement between leading U.S. LED manufacturer Cree and Taiwan electronics firm Lextar, which stipulates Cree will invest $US 83 million in the Taiwanese firm, comes as a surprise, according to LEDinside, a subsidiary of the Taiwan-based market research firm TrendForce.
The quickly spreading LED lighting market has attracted international manufacturers to enter China’s LED package market, according to the latest “China’s LED Package Industry Market Report 2014” by LEDinside, a subdivision of global market research organization TrendForce. In 2013, the Chinese LED package market value was up 20% Year-on-Year (YoY) to US$7.2 billion. Top 10 ranking manufacturers in the industry clinched a combined market share of 43.6%.
Despite Apple’s plans of launching the new generation of iPhone in late 2014, optical demands in handheld devices failed to generate price upticks in the sapphire substrate industry, according to LEDinside.
The global high brightness LED market scale reached US $14.4 billion this year and is estimated to increase to US $16.6 billion by 2018, with a compound growth rate of 4%, according to “2014 LED Supply and Demand Data Base” by LEDinside, a LED research division of TrendForce. The LED package market value for lighting application will reach US $4.88 billion and maintain market share of 34%.
Taiwan-based manufacturers Epistar and FOREPI today announced merge plans. Through conversion of shares, FOREPI will become a 100 percent fully owned subsidy of Epistar. The trend of acquisitions within the LED industry will continue in 2014, observed LEDinside, a research division of TrendForce. Epistar’s merger with FOREPI will improve production capacity, cost management, as well as client and product integration. After the merge, the two companies will also be able to jointly resist market threats from Chinese LED chip manufacturer San’an Optoelectronics (San’anOpto).
