Chinese Players Increase Investment to Expand Capacity for Mini/Micro LED Chips and Displays

As applications adopting Mini LED technology are about to boom, Chinese companies reported their new investment projects for expanding capacity for the new display technologies including Mini LED and Micro LED.

Last week, LED display maker Dicolor and LED chip producer Focus Lightings announced their new projects for Mini and Micro LED respectively. Dicolor added RMB 1 billion (US$ 146.28 million) to build a Mini LED display production center in Chuzhou and Focus Lightings announced that it will expand capacity for Mini/Micro LED chip with an investment of RMB 3.5 billion (US$ 511.99 million).

(Image: Pixabay)

Dicolor showcased Mini LED displays of P0.9mm and P1.2mm in the LED China exhibition. The company developed D-COB technology with a research team of Chongqing University of Posts and Telecommunications.

Meanwhile, Focus Lightings is investing RMB 3.5 billion for Mini/Micro LED chip production expansion. The majority of the investment will be equipment installation for high efficient chip R&D, including Mini/Micro LEDs, automotive lighting LEDs and more. The new capacity is expected to increase by 9.5 million blue/green chips per year.

This is the second expansion plan of Focus Lightings in 2020. The company announced in May, 2020, that it would raise RMB 1 billion to upgrade its current LED chip production.

TrendForce noted that lighting had been a focus of the LED industry in the past 10 years and for the next 10 years, the role is taken by display with Mini LED and Micro LED technology. Therefore, Chinese LED and display industry players have been joining the trend and bringing large amount of investment.

Roger Chu, Research Vice President of TrendForce, pointed out that as more and more Chinese companies get involved in the field with big investment, it will inevitably lead to competitions. However, competitions will also lead to increasing resources and capital pouring into the market, accelerating development of related technologies and building up new ecosystems.

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