GlacialLight Releases 2015 LED Industry Outlook Report

GlacialLight, the diversified LED technology provider, announces the availability of its 2015 LED industry outlook report – “LED Lighting Industry and Value Chain Shift” – an in-depth look at the current state of the $27.5 billion LED lighting industry, and a forecast of upcoming changes based on market trends. Authored by Shawn Hsieh, Chairman of GlacialTech, the report makes a number of observations and predictions including: a shift in profit margins from the core LED package to the thermal module and LED driver, price competition in the LED package segment, the growing popularity of CoB LEDs, and the opportunity for smaller companies to grab market share.

The LED industry is currently around $27.5 billion and growing,” said Shawn Hsieh, Chairman of GlacialTech. “Newer technologies such as the CoB LED are driving this growth so opportunity exists for emerging companies with strong business models and innovative designs. Price competition within the LED package segment will erode profit margins while LED driver and thermal module manufacturers will stand to gain.”

GlaicalTech's LED product portfolio. (GlacialTech/LEDinside)

Price Competition Will Increase

The report predicts that price competition within the LED industry will grow, especially in the LED package segment. Compared to the computer industry, where high barriers to entry limit processor manufacturing to a few key players, the LED package segment is more competitive with a much larger number of providers large and small. GlacialLight predicts that price-to-performance ratios of the most efficient LED lighting modules will drop to $0.13USD/W by the end of the year.

The COB Pacakage Has a Promising Future

With lower costs as well as carbon footprint per unit and product quality increasing over time, the Chip On Board (CoB) LED is making a huge impact on the industry. More compact than Metal Core PCB based LEDs, the CoB LED’s small size makes it easy to integrate into a larger variety of luminaire shapes and designs. Lighting fixture assembly with CoB LEDs is simplified – a powerful lighting fixture can be built with little more than a CoB LED, lens, thermal module, and LED driver, making it easy for manufacturers to create new luminaires at lower costs.

Profits Will Shift to Drivers and Thermal Modules

While LED package innovations move the industry forward, the stiff price competition in that segment and high capital costs of manufacturing means profits will be cut thinner over time. On the other hand, fixed per-unit material and labor costs involved in manufacturing LED drivers and thermal modules will help these components retain their value.

For the full report, see “LED Lighting Industry and Value Chain Shift” on the GlacialLight website.

Disclaimers of Warranties
1. The website does not warrant the following:
1.1 The services from the website meets your requirement;
1.2 The accuracy, completeness, or timeliness of the service;
1.3 The accuracy, reliability of conclusions drawn from using the service;
1.4 The accuracy, completeness, or timeliness, or security of any information that you download from the website
2. The services provided by the website is intended for your reference only. The website shall be not be responsible for investment decisions, damages, or other losses resulting from use of the website or the information contained therein<
Proprietary Rights
You may not reproduce, modify, create derivative works from, display, perform, publish, distribute, disseminate, broadcast or circulate to any third party, any materials contained on the services without the express prior written consent of the website or its legal owner.

A Breakthrough in Combating Water, Surface and Airborne Pathogens. Crystal IS, a subsidiary of Asahi Kasei, has launched Klaran LA®—the newest addition to its industry-leading Germicidal UVC LED product line. Klaran LA® represent... READ MORE

Thanks to the special batwing optics, greenhouse owner can enlarge the distance between the single lamps without a decrease in light quality for the plants.   - Oslon Square Batwing extends ams OSRAMs comprehensive and market-leading port... READ MORE