At present, LED manufacturers must meet the needs of LCD panel manufacturers and LCD TV manufacturers, but also must meet the needs of LED curing, UV irradiation and other requirements. In response to these situations, LED manufacturers are accelerating the pace of cost reduction and performance. Technological developments for this have seen a path to success. In addition, LED manufacturers are also committed to increasing production capacity.
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LED needs to be reasonably improved
The target value of cost reduction is reduced to 0.5 yen/lm by 2011. The current cost is 1 to 1.5 yen/lm. It was originally planned to be halved in three years. Now shortened to half in two years. As a result, the price of LEDs will gradually match the situation in the LCD panel industry. In terms of performance goals, it is planned to achieve 200 lm/W by 2011. It is estimated that leading companies can achieve this goal. In the three years to 2008, the performance has increased from 50lm/W to 100lm/W, and in 2011 it should be able to achieve 200lm/W.
The technical preparations for achieving the above objectives are also not slack. Various technologies such as LED chips, phosphors, and LED packages have been developed. These technologies will be improved at the same time in the future. This will speed up the cost reduction and performance improvement.
The mass production system will also be improved at a higher rate than originally. For example, Nichia Chemical Industry plans to invest more than Samsung Electronics in South Korea in the three years from 2009 to 2011. It is estimated that the total investment in three years will be close to 90 billion to 100 billion yen. Therefore, the production capacity will expand at a rate of 1.5 times per year. Other LED manufacturers are also considering implementing the same equipment investment.
The rise of the LED market is accelerating. As the competition between existing LED manufacturers and emerging LED manufacturers intensifies, there is a virtuous cycle of continuous reduction in cost reduction and performance improvement and further expansion of the LED market. At present, LED manufacturers are beginning to launch new technologies urgently. All technologies used for LEDs such as chips, phosphors, and packages are being improved at the same time. This results in higher cost and performance improvement rates than in the past. Undoubtedly, such cost-effective LED products will definitely eliminate traditional equipment and gain market share.