Osram Projects SSL Revenue Share to Exceed 50% by 2017

Osram’s latest 2013 financial report revealed LED sales had a 29 percent revenue share, however, the German company projected the figure will “exceed 50 percent” by 2017.

In the company’s 2012-2013 financial report (the company’s accounting year runs from Oct. 1, 2012-Sept. 30, 2013), revenue reached EUR 5.29 billion (US $7.20 million). Out of these, LED-based products had a 29 percent revenue share. Based on these figures, Osram’s LED product revenue for 2012-2013 was about EUR 1.53 billion.

“Osram has a very clear goal of shifting towards Solid State Lighting (SSL), by 2017 the business sector will have a revenue share over 50%,” said Wolfgang Dehen, the company’s Chief Executive Officer and Chairman of Management Board during the opening ceremony of a new LED assembly line in Wuxi China on May 21, 2014.

Wolfgang Dehen, Osram’s Chief Executive Officer and Chairman of Management Board. (Photo Courtesy of Osram)

Dehen also pointed out company investment in SSL exceeded total R&D budget by 60 percent. Osram’s investments in the area are expected to expand, with plans of adding investments througout the following quarters.

As for the lighting industry’s future trends, Dohen commented “I believe the original light bulb will gradually become digitalized. In the future, new LED technology will have broader application fields. Smart lighting technologies will open up consumers eyes, and give them very safe and comfortable lighting environment.”

Speaking on the entire lighting market which covers traditional lighting and SSL, Dresden noted “Osram’s market share in the Asia-Pacific region is below the company’s global market share average. Therefore, our company has especially large growth potential in China. Osram Opto was founded 40 years ago, although the LED industry has become increasingly competitive over this period, our company has kept global number two ranking. A Japanese manufacturer is in the top spot, while other companies filling the third to fifth places have consistently been changing. Osram’s ability to maintain its world number two position gives us great confidence that we will continue to uphold competitive advantages.”

(Author: Amber Liu, Chief Editor, LEDinside China/ Translator: Judy Lin, Chief Editor, LEDinside.)

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