Cree

Neo-Neo to Be Fully-integrated LED Manufacturer to handle LED production

sarafan — Fri, 10 Oct 2008 03:14:54 +0000

It’s reported that Neo-Neo Group will be the first Taiwan-based LED-lighting maker to be fully integrated-running manufacturing facilities to handle, from top to bottom, the entire production process in the LED industry, with moving to produce epitaxy wafers in September this year.

The world’s No.1 supplier of LED decorative lamps and mini lamps, Neo-Neo turns out half of the mini lamps worldwide. It’s also the largest supplier of stage lighting in Asia, employing nearly 20,000 workers in mainland China and having generated an estimated US$200 million in revenues for 2007.

B.H. Fan, the president of Neo-Neo, stressed that with the epitaxy wafer factory coming online, they will further reduce production cost, boost competitiveness and expand product lines. The group also operates LED packaging and LED-lighting assembly lines. Designed for an initial output of 12,500 wafers carrying some 400 million chips, the factory is constructed on 300 acres in Guangdong Province of mainland China, where the 28-year-old company is headquartered. The company has spent around US$30 million on the first-phase production equipment in the factory. "Still in-house output remains far short of our needs," says Fan, noting the company will buy US$20 million contracted wafers yearly even after in-house production kicks off.

Neo-Neo has bought such chips from Epistar Corp., Formosa Epitaxy Inc. and Huga Optech Inc., all being Taiwan-based chipmakers, as well as Cree Inc. of the United States. And it has built Epistar chips into the 10,000 LED streetlights supplied to Dutch and mainland Chinese buyers.

In light of the technology-intensive investment, Guangdong provincial government has granted the group a 15% deduction on corporate income tax, equaling about 10% less tax burden than average lighting manufacturers in China. "The investment will allow us to cut costs of LED lights faster than projected." says Randy Cheng, general manager of Neo-Neo’s Taipei branch." Chen touts that the group’s LED productions will be much less expensive than its rivals. He explained that they streamline production processes, adding that the chips made will go into both the company’s indoor and outdoor lighting.

However, Jimmy Chen, President and CEO of ColorStars Group, a LED-lighting manufacturer, is perturbed by the trend for manufacturers to become fully integrated-setting up to handle LED production from wafers and chips to packaging and assembly. "You find your partner morphing into competitor overnight. For instance, we’ve stopped buying chips from Cree since it has acquired a lighting manufacturer," he says.

In response, Cheng notes his company has no intention to sell its chips to lighting manufacturers besides its subsidiaries. "But we cannot be sure of their loyalty to us when rivals offer irresistible quotations," Cheng says.

To keep up with brisk demand for LED lamps, Neo-Neo this year will expand its LED factory in Guangdong by 150,000 square meters. Fan points out that rising eco-awareness worldwide will help his group to meet the goal to double sales of LED lamps this year as compared with last year’s volume. Meanwhile, he estimates the group will sell 30% less incandescent products this year, with such decorative lighting to fully vanish from markets in three years.

Although the sub-prime mortgage crisis and the credit crunch stateside are hurting the group’s sales in the U.S., Fan is confident that brisk demands for LED lighting in other markets will help-expecting to see group sales to eventually rise around 30% by the end of this year, as well as projecting LED lighting to account for close to 70% of corporate revenue this year. The chairman believes there remains ample room for growth in the global LED decorative lighting market considering that such lamps have so far replaced only 10% of traditional lamps, adding, "I believe considerable growth will likely happen for our business in the near future as long as we can secure more epitaxy-wafer supply."

Having achieved big-time success with LED decorative lights, Neo-Neo has begun applying LEDs to streetlights. Fan points out that decorative lights and streetlights will remain the major applications for LED lamps: because both typically carry limited-size lampshades that preclude using fluorescent lamps as an energy-efficient upgrade. The group began shipping LED streetlights last year to mainland China and the Netherlands in small volumes, a success that Cheng at the Taiwan branch attributes to the group’s unique thermal-dissipation solution for LED streetlight. Cheng foresees steady growth in demand for LED decorative lights and is optimistic about the LED streetlight market. "We’ve officially begun to tap the streetlight market this year," he says.

Marketing veteran Keith Lam, vice president of sales and marketing for Neo-Neo Holdings Ltd., is upbeat about the future of the LED lighting market: "LED lighting is everywhere now if you just look at Hong Kong at night. The EU plans to ban incandescent lamps in a few years, which gives energy-saving products like LED a big boost." Lam notes luminous efficacy of LEDs has been improved significantly since his company entered into the segment around eight years ago. "At that time, LED could only be decorative lighting due to low lumens. But now, even one watt is a popular LED specification," he says.

Neo-Neo recently introduced many high-efficiency LED lamps for commercial purposes, including a 50-watt, 3,300 lumen model and a fourth-generation road light. The next-generation light reportedly will be equipped with a smart reflector, which is designed to enable a 60-watt light to conserve close to 50% electricity and yet be twice as bright compared with a 70-watt type with the same number of LEDs.

Cost continues to bother Lam, who thinks it is still the major obstacle preventing LEDs from becoming more popular as lighting product. "It will take at least five years before LED prices are pared down to more widely acceptable levels," Lam estimates.

The newly elected administration in Taiwan has warmed Neo-Neo`s confidence in the economic outlook of the island. So much so that the world’s No.1 decorative-lighting maker recently decided to step up building presence in Taiwan’s lighting market. As part of its plan to tap the Taiwan market, the group recently bought an office building for NT$140 million in an upscale district in Taiwan’s capital city of Taipei. The group’s Taiwan branch aims for a sales goal of NT$200 million (US$6.6 million) this year, with the GM stressing that the company feels such target to be well within reach thanks to its cost-competitive production and wide-ranging product lines.

According to Cheng, to achieve such sales goal, the company has started seeking energy-saving and quality performance certifications in Taiwan, noting that the company will tap all segments of the LED-lighting market, including Christmas, commercial, household and public-work lights. Cheng says his company has a strategy for the Taiwan market: tap household and commercial markets initially and outdoor lighting afterwards.

Industry watchers in Taiwan believe the Taipei branch will achieve the goal as expected thanks to the company’s core competence in LED lighting sharpened by its integrated manufacturing capability. "Our other edge is being able to quickly commercialize LED products," Cheng stresses.

Also, the new administration in Taiwan allows the group to see floating its stocks on the local market a reality. Fan believes the Kuomintang-ruled government, which advocates closer economic ties with China, will substantially make it easier for China- and HK-listed Taiwanese manufacturers intending to go public on the island. Listed on the Main Board of Hong Kong, Neo-Neo, however, has been encouraged to float the group’s stocks on Taiwan’s market due to having to spend HK$10 million a year to stay on the board in H.K. and the anemic interest of Hong Kong investors in manufacturing-industry stocks. Despite having made HK$332 million in after-tax profit and gross margin of 38.5% last year, its price/earnings ratio was only about 10 folds, lower than the 20-fold average in Taiwan.

While developing high-value added products, the group is also working on plans for low-end products, which complement high-end ones in the group’s lineup. The group recently acquired 1,200 acres in Vietnam to build a factory to produce incandescent lights and light strings.

Arrow, Cree to Host Guangzhou Lighting Solution Seminar

sarafan — Thu, 09 Oct 2008 05:43:23 +0000

It’s reported that Arrow Asia Pac Ltd., a business unit of Arrow Electronics, Inc., announced that it will host a lighting solution seminar in Guangzhou, China, on Oct. 10, with Cree, Inc., a market leader in LED solid-state lighting components.

It’s disclosed that the seminar will provide designers and manufacturers of lighting products a comprehensive overview of Cree's LED products and Arrow's total lighting solutions. The presentation will introduce Cree's XLamp(R) MC-E LED, the highest-lumen LED in the award-winning XLamp family. Cree's XLamp MC-E LED is a multi-dice MC-E package solution for applications that require high lumen output in a small footprint. This powerful combination is designed to enable new applications and reductions in overall system cost compared to other LED packages.

According to Peng-Gun Goh, director of lighting business development for Arrow Asia Pac, Arrow has a dedicated lighting team that helps customers find alternatives to incandescent, halogen, and CCFL lighting. Arrow's lighting team offers long-life lighting solutions that deliver high reliability, lighting efficiency, shock resistance, instant light-up and vivid color effects at a lower total cost of ownership.

In addition to benefits by leveraging Arrow's world-class logistics and supply chain capabilities, the customers can also benefit from knowledge of lighting trends. Arrow lighting solutions are developed around Cree high brightness and high-power light emitting diodes (HB-LEDs). The partnership with Cree underscores Arrow‘commitment to bringing the best products and solutions to our valued customers for their solid-state lighting requirements.

About Arrow Asia Pac
A business unit of Arrow Electronics, Inc. (NYSE: ARW), Arrow Asia Pac is one of Asia-Pacific's leading electronic component distributors. In addition to its regional headquarters in Hong Kong, Arrow Asia Pac operates 53 sales offices, four primary distribution centers and 13 local warehousing facilities in 13 countries/territories across Asia. Providing a full range of semiconductors, passive, electromechanical and connector products from over 200 leading international and local suppliers, Arrow Asia Pac serves more than 10,000 original equipment and contract manufacturers and commercial customers in the Asia-Pacific region.

About Cree, Inc.
Cree is a market-leading innovator and manufacturer of semiconductors and devices that enhance the value of solid-state lighting, power and communications products by significantly increasing their energy performance and efficiency. Key to Cree's market advantage is its world-class materials expertise in SiC and GaN for chips and packaged devices that can handle more power in a smaller space while producing less heat than other available technologies, materials and products.

Cree and Zumtobel team up to supply LED Downlights in Europe

sarafan — Wed, 08 Oct 2008 06:41:22 +0000

Recently, Cree Inc., a market leader in LED lighting, announces a long-term strategic agreement with the Austrian Zumtobel Group, a global market leader in the professional lighting industry and listed on the Vienna stock exchange, to supply LED downlights to the European market.

The minimum first-year sales target is 50,000 LR6-230V luminaires. This accelerates the business relationship, which is anticipated to expand into other high-volume lighting categories in 2009. The products under the agreement are European versions of award-winning Cree recessed downlights. They will be sold exclusively under two brands of the Zumtobel Group, Thorn and Zumtobel, in more than 40 countries throughout Europe and selected export markets.

Andreas Ludwig, Zumtobel Group CEO said "Cree provides us with a unique source of technological knowledge and leadership. By integrating this innovative LED luminaire into our portfolio, we are securing a significant technological edge."

Chuck Swoboda, Cree chairman and CEO noted that The Zumtobel Group is a forward-thinking, market-leading lighting company that understands that LED technology is changing the industry, and they want to help lead the change. This strategic agreement is targeted to accelerate the LED lighting revolution across Europe by providing customers with energy-efficient and long-lasting products that save energy, save money and help protect the environment.

The LR6-230V downlight consumes just 12 watts of power, while delivering beautiful light of equivalent output and color quality to a 75-watt incandescent lamp and lasting up to 50 times longer. It is designed to last more than 20 years in homes and 10 years in businesses under normal use. Compared to compact fluorescent (CFL) lamps, Cree's downlight uses 50 percent less energy, lasts up to five times longer, and contains no mercury.

Cree LED Recessed Down Lights Win International Design Competition

sarafan — Wed, 17 Sep 2008 05:37:23 +0000

Recently, CREE, a market leader in LED lighting, has again won the top prize for recessed down lights in the 2008 Lighting for Tomorrow solid-state lighting (SSL) competition. The complete Cree LED lighting family has now been recognized for superior efficacy and design by this contest, organized by the American Lighting Association, the U.S. Department of Energy and the Consortium of Energy Efficiency.

The Cree LR4 recessed architectural LED down light won the top prize for LED recessed down lights. Entrants in this category must meet the U.S. Department of Energy's solid-state lighting Energy Star(r) criteria, slated to go into effect later this year. The Cree LR24, a 24-inch square recessed LED light, was honored for superior efficacy in the "Other Applications" category, reserved for general illumination products not covered by Energy Star that exceed device efficacy of 50 lumens per watt. The LR24, targeted for availability this fall, is designed for use in suspended ceilings and features the same beautiful color rendering, long lifetime and best-in-class efficacy as the other Cree LED lights.

Gary Trott, Cree LED Lighting Solutions vice president of market development, said "Cree is proud to extend the success of our LR6 LED down light, last year's Lighting for Tomorrow grand prize winner." He indicated that they continue to set the standard for LED lighting by delivering lights that combine the beautiful color of incandescents with nearly twice the energy efficiency of compact fluorescents. Their lights are designed to last more than two decades under typical residential usage.

As we know, Cree's LED lighting innovation has been praised with numerous other awards including a prestigious 2008 silver International Design Excellence Award (IDEA), a 2008 PCBC Cool Product designation and BuildingGreen's Top 10 Green Building Products for 2007.

About Cree

Cree is leading the LED lighting revolution and setting the stage to obsolete the incandescent light bulb through the use of energy-efficient, environmentally friendly LED lighting. Cree is a market-leading innovator of lighting-class LEDs, LED lighting solutions, and semiconductor solutions for backlighting, wireless and power applications. Cree's product families include recessed LED down lights, blue and green LED chips, high brightness LEDs, lighting-class power LEDs, power-switching devices and radio-frequency/wireless devices. Cree solutions are driving improvements in applications such as general illumination, electronic signs and signals, variable-speed motors, and wireless communications.

「LEDs 2008」 Program is Upcoming

sarafan — Fri, 12 Sep 2008 03:51:14 +0000

It’s reported that LEDs 2008 is to be headlined by key industry players include Philips Lumileds Lighting, Cree Inc, Osram Opto Semiconductors, Toyoda Gosei, Nichia, the US EPA and Audi. This year’s event set for Monday, September 29, 2008 – Wednesday, October 1, 2008 at the Sheraton San Diego Hotel & Marina in San Diego, CA, US will highlight the impressive growth and key developments that have occurred in the industry during the past year and provide a roadmap for future development.

Because the LED industry continues to grow at 10-15% per year and is expected to climb as high as $7 billion by 2010, the future looks bright. This performance has been fueled by increased adoption of LEDs in several strategic end-use markets including camera flash, projection displays, LCD backlighting and automotive headlamps.

It’s disclosed that the topics will be addressed by several speakers at LEDs 2008 including someone who will detail how LEDs are being increasingly adopted into LCD backlighting systems by companies such as HP and Apple who have begun to utilize these systems in their PC notebooks. Stephan Berlitz of Audi will discuss his company’s expanded use of HB LED headlamps and how it is strengthening their brand image.

According to the related authority, LEDs continue to make gains in the general illumination market. The recent advent of several bans on incandescent lighting has led to a greater number of users are looking to solid state lighting as an environmentally friendly and energy efficient alternative. Terry McGowan of the American Lighting Association will examine residential lighting and will highlight some unique industry requirements that must be met for LEDs to become more commonly used in the household. Sheila Kennedy and Violich Architecture will expand on this theme by looking at HB LEDs in architecture while placing additional emphasis on solving vertical integration problems. These talks and others will highlight the inroads LEDs have made in general illumination while also detailing obstacles that must yet be overcome for LEDs to acquire a greater share of this lucrative market.

Of course, in many ways industry growth is driven by the work being done by the LED manufacturers, all of whom are represented on the LEDs 2008 program and will also participate on our manufacturer’s panel.

This year’s panelists are George Craford, Chief Technical Officer for Philips Lumileds, John Edmond, founder of Cree, Christian Fricke, Vice President of Research and Development for Osram Opto Semiconductor, Daniel Doxsee of Nichia America, and Bill Kennedy General Manager of the LEDs Department at Toyoda Gosei. This forum will provide an excellent opportunity to interact with industry leaders and to learn more about the issues that are most salient to industry objectives.

New to this year’s program includes the audience select Best in Show Awards and the Exhibitor Forum where attendees will be the first to hear product announcements, live demos and participate in question and answer sessions as industry suppliers discuss their latest technology solutions.

At a time when the LEDs market continues to experience explosive economic and technological growth, IntertechPira’s LEDs 2008 conference is both timely and practical, providing a unique opportunity to gain the necessary knowledge and network with industry leaders from around the world on this dynamic and growing industry.

Intematix announces Former Cree Global Sales Director Jeff Lagaly to Lead LED-Lighting Business Expansion

sarafan — Wed, 10 Sep 2008 03:28:58 +0000

It’s reported that Intematix Corp., a leading innovator in phosphors, LED components and solid state lighting modules, has added more top talent with the announcement that Jeff Lagaly has joined the company as Vice President of Sales, LED Lighting. Mr. Lagaly was formerly Global Sales Director for Cree Lighting, overseeing the sales effort that introduced and drove Cree’s XLamp LED line to sales estimated in excess of $100M.

Peter Larsson, Intematix CEO, indicated “Jeff’s background, with experience in both the chip and LED sides of the industry, is the perfect complement to the Intematix team. As part of his responsibilities at Cree, he built both the inside and outside LED component sales teams, installed local and global distribution networks, and identified customer entry points worldwide which resulted in the development of Cree’s fastest growing business unit.”

Intematix has expanded its vertical integration into the LED lighting space with the addition of packaged LEDs and LED arrays in recent. In addition, the company is providing key modular components along with integration and design assistance, which together are enabling traditional lighting companies to accelerate their entry into the solid state and LED-based lighting space.

Intematix has leveraged their phosphor and material experience horizontally in the last year, with a rapid expansion into a leadership position in CFL and CCFL phosphors, according to Intematix Founder, CTO and Executive VP, Dr. Yi-Qun Li, with the recent introduction of the packaged power LEDs and LED arrays, the Apus and Cetus product lines. While the materials-oriented business units continue their expansion, the LED business is providing the company with the kind of parallel opportunity that is only found in high-growth markets, such as solid state lighting.

Jeff Lagaly commented, “Intematix is helping traditional fixture manufacturers enter the SSL market by offering them solutions to their LED-lighting challenges. I am pleased to add my experience to this team and expect to make the most of the initial traction Intematix has seen with its new LED and modular LED lighting solution portfolio.”

About Intematix Corporation

Intematix Corporation provides advanced materials, device solutions and services for worldwide manufacturers of high-performing electronic systems and devices. Intematix’ first product—a suite of market-leading patented phosphors—was developed and commercialized in record time using the company’s proprietary combinatorial discovery techniques. The phosphor technology, which is used to boost the quality and efficiency of high-brightness LEDs, has leveraged the company into higher levels of product integration, and now includes a line of LED lamp and LED lighting modular solutions. Headquartered in Fremont, California, Intematix maintains R&D, manufacturing, business and support operations in the U.S. and Asia.

City of Welland Joins LED City Program

sarafan — Thu, 04 Sep 2008 05:23:24 +0000

Recently, Cree, Inc., a market leader in LED lighting, and the City of Welland, Ontario, Canada, announced that Welland has joined the LED City initiative, an international program that promotes the deployment of energy-efficient LED lighting. The city has converted many of its lighting applications to LEDs, including streetlights and traffic signals, and has additional projects underway. Welland has also amended its municipal standards to facilitate LED lighting for all future streetlight installations.

Welland has installed 50 LED streetlights along the revitalized area of Fitch Street and is formalizing plans for the installation of 50 additional street and pedestrian lights. The city's growing use of LEDs is targeted to help decrease the CAN$550,000 per year cost of operating its streetlights. The city plans to eventually retrofit all streetlights with LEDs, which could yield a savings of $253,980 per year.

Mayor Damian Goulbourne said "Welland is committed to high-quality LED lighting that reduces energy and maintenance costs, it has been immersed in the testing of LED street lighting and aspires to become a green community, improving life for our residents. We look forward to promoting the benefits of our installations and sharing our experiences within the LED City program, helping to build a global municipal community committed to energy-efficient lighting."

According to Deb Lovig, Cree's LED City program manager, cree welcome Welland into the LED City community. Welland city officials have carefully evaluated LED lighting options and are responsibly deploying LED lighting to provide better light while reducing energy and maintenance costs, Welland is joining the LED lighting revolution and taking a leadership role in helping other cities learn the benefits of LED lighting in their own communities.

About LED City

The LED City is an expanding community of government and industry parties working to evaluate deploy and promote LED lighting technology across the full range of municipal infrastructure to: Save energy; Protect the environment; Reduce maintenance costs; Provide better light quality for improved visibility and safety.

About Cree

Cree is leading the LED lighting revolution and setting the stage to obsolete the incandescent light bulb through the use of energy-efficient, environmentally friendly LED lighting. Cree is a market-leading innovator of lighting-class LEDs, LED lighting retrofit solutions, and semiconductor solutions for backlighting, wireless and power applications. Cree's product families include LED recessed down lights, lighting-class power LEDs, high brightness LEDs, blue and green LED chips, power-switching devices and radio-frequency/wireless devices. Cree solutions are driving improvements in applications such as general illumination, backlighting, electronic signs and signals, variable-speed motors, and wireless communications.

LED shimmer wall adorns Raleigh building

sarafan — Fri, 29 Aug 2008 05:43:21 +0000

It’s reported that the shimmer wall adorns the McDowell Street side of the new convention center in downtown Raleigh. Next month, the shimmer wall art installation measures 211 ft long by 44 ft high and will adorn one exterior wall of the city's new convention center.

No public funds were used to build it. Durham, NC-based Cree Inc., a manufacturer of LED lights, donated $1 million to build the wall. During the day, the wall will depict an oak tree - used because the city's nickname is "City of Oaks" - that changes shape and disappears as the aluminum squares on its facade flap in the wind. At night, however, the LEDs will shine, as 1344 LEDs will backlight the wall. The wall will contain 28 fixtures that are 4 feet long, and have 12 LEDs per foot.

There are 14 bays with 2 fixtures per bay, and RGB lens optics are used. The fixture input is 24VDC at ~25 W/ft. The LEDs are controlled by a DMX512 via a data controlled power supply.

The wall's fixtures can be programmed to flash and display more than a million different colors. The LEDs will allow the shimmer wall to display Carolina Hurricanes colors one night, and different shades of green on St. Patrick's Day the next night.

Raleigh was the first city to join the "LED City" program, which is an expanding community of government and industry parties working to promote and deploy LED lighting technology across the full range of municipal infrastructure.

LG, Cree to Build LED Joint Venture in China

sarafan — Mon, 25 Aug 2008 05:38:46 +0000

It’s reported that LG Display, the world's No. 2 supplier of LCD panels, will build a joint venture with Nasdaq-listed Cree in LED packaging in Nanjing, China.

LG Display is able to cut costs in LED lighting business amid growing demand for the component in notebooks and television sets, adding the company could avoid possible patent infringement troubles if the plan is realized. It's a win-win strategy.

Cree is a leader in China's LED sector. In 2007, it bought a Chinese lightning company for business expansion. But Cree now faces a challenge to transform the exposure into new business, as contracts with companies installing lights on new buildings are rising in China. On a question over the reason of not working with its sister company LG Innotek, the alliance with the local maker won’t create a synergetic effect in LG Display's LED business. But the scenario was finally scrapped due to the pressure of investment and profitability. Also, the module supply by LG Innotek is not steady enough for the time being.

Not only do LED backlights provide increased battery life for notebooks, LG could enable much thinner displays and innovative new thinking about product design. By riding on such merits, product planners are weighing on possibilities of LED backlight business. Analysts say LED technologies may indeed be the way companies can differentiate their products and offer users additional benefits.

Market research firm Insight Media forecasts large area LED backlights to reach 150 million units in 2012 as the technology shift toward backlights is under way, capitalizing on small- and medium-sized electronics gadgets from the traditional cold cathode fluorescent lamps (CCFL).

Record 4Q08 and FY08 revenue from Cree

sarafan — Thu, 14 Aug 2008 06:34:55 +0000

Recently, Cree Inc. has announced revenue of $493.3M for FY08, representing a 25% increase over FY 07, citing XLamp sales growth and increasing demand for HB-LEDs as major drivers.

Cree’s product families include recessed LED down lights, lighting-class power LEDs, high-brightness LEDs, blue and green LED chips, power-switching devices and radio-frequency/wireless devices. The revenue of $135.9M for its fiscal 4Q08 ended June 29, 2008, this represents a 9% increase compared to the fiscal 3Q08 and a 22% increase compared to revenue of $111.2M reported for the fourth fiscal quarter last year. GAAP net income for 4Q was $8.4M, or $0.09 per diluted share, compared to net income of $6.4M or $0.08 per diluted share for the fourth quarter of fiscal 2007.

Double-digit growth in Cree's XLamps and an increase in orders for high-brightness LEDs are due to the increasing demand in video screen production for China. The demand for the XLamp has been driven by a combination of portable architectural lighting and vehicle lighting, but general lighting--indoor, outdoor, commercial--has been growing the fastest over the past couple of quarters.

Chuck Swoboda, Cree CEO and chairman, said that revenue exceeded our previously announced guidance due to strong LED sales, which grew 11% sequentially and 27% from a year ago, Q4 represented a strong finish to a very successful year, the overall LED component revenue for the quarter was ~30% higher than LED chip revenue that quarter. Over the past year, they have made a transition from an LED chip company driven by mobile phone market trends to a broad-based LED company with chips, components and system.