Three major forces laid out the Chinese LED backlight module industry

With the continuous growth of China's LCD TV market, LED penetration rate in large-size backlights continues to increase, and China's backlight module industry is expected to develop rapidly in the next few years. Attracted by this trend, local companies seized the opportunity to start the production of large-size backlight modules. Many Japanese, Korean and Taiwanese companies have also invested in the mainland to build factories. In addition, domestic TV factories and LCD panel factories are based on vertical integration. Strategic considerations continue to extend to the field of backlight module manufacturing, gradually forming three major forces in the field of LCD module production in China. The future competing relationship between the three parties will be the main theme of China's backlight module industry for a period of time, and it is also related to the health and development of China's entire LED industry and LCD industry.

From the perspective of manufacturing liquid crystal display, the entire industrial chain can be divided into four parts: panel, backlight, module and terminal. Since the liquid crystal panel itself does not emit light, the display function must be realized by means of the backlight module, and thus the backlight module becomes one of the key components of the liquid crystal display device. It is mainly composed of a prism sheet, a light guide plate, a backlight, a diffusion film, a reflection sheet, and an outer frame. The backlight can be divided into two major categories: CCFL and LED. At present, small and medium-sized panels have basically adopted LED as a light source. With the light-effect, price and other obstacles being alleviated, LEDs have also been installed in large-size backlight modules in a large number, and the mainstream status in the future has been stabilized. And with the large number of LEDs being used, more and more technologies such as dynamic backlight control technology, ultra-thin technology, and heat dissipation technology are applied to the backlight module, which makes the backlight module industry gradually change the labor-intensive in the past. Features, with more and more technology added value, the role in the industry chain is becoming more and more obvious. In the CCFL era, due to the weakness of the upstream panel industry chain in China, the backlight module industry has not achieved good development. The LED era will be a favorable opportunity for the accelerated development of the Chinese backlight module industry.

Overall, the current strongest demand for the development of LCD backlight modules is probably the TV factory or LCD panel factory. Due to the increasingly fierce competition in the liquid crystal display industry in recent years, companies can only effectively solve the problem of competing with major international manufacturers for key raw materials, cost reduction, and product differentiation. To this end, several major domestic TV manufacturers such as Hisense, Skyworth, Konka, etc. have entered the LCD module assembly industry and started to develop and manufacture backlight modules. Taking Hisense as an example, in September 2007, Hisense announced that it will start production of the first LCD TV module production line in China, and plans to invest 700 million yuan in three phases to complete the construction of five module production lines, which will eventually form a production of 3 million pieces per year. ability. In addition, the search for partners is also the main mode for TV manufacturers to develop backlight module factories. For example, Taiwan's main LCD panel AU Optronics has reached cooperation agreements with Changhong, TCL and Haier respectively, and established a liquid crystal module factory.

If the TV factory integrates the LCD module from the downstream of the industrial chain, for the panel factory such as BOE and Shenzhen Tianma, it will reverse the TV factory and integrate the LCD module from the upstream of the industrial chain. Strategy to achieve the purpose of increasing the added value of the product. Taking BOE as an example, from the beginning of the introduction of the 5th generation line of liquid crystal panels in 2006, it invested in the establishment of BOE Tea Valley as its supporting module manufacturer. At the 2008 FPDChina show, BOE presented a series of LED backlight products including 32-inch LCD TVs. At present, BOE Tea Valley has started to supply LED backlight modules for notebook computers and TVs.

From the current industrial development situation, inhouse and vertical integration are becoming more and more popular. TV factories and panel factories also have more operational resources and economic strength. Therefore, the TV factory and the panel factory set up the LCD module factory, or the TV factory and the panel factory to produce together, and finally form an industrial cluster, which will become the mainstream business model of China's future LED backlight module industry.

Although the internalization trend of LCD modules is becoming more and more obvious, LED is an important component, and it is natural for large TV manufacturers to vertically integrate them.

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