March 6th, the market research company The Information Network published in the report "Solid-state lighting revolution: market analysis and deep observation of production cost reduction" last year, pointed out that the high-brightness LED (HB-LED) market from 2009 to 2012 Shipments are expected to double. Dr. Robert Castellano, president of the company, said that the application range of HB-LED is expanding, such as the backlight of notebook computers, car headlights, and the LED market is growing rapidly, which also prompted LED manufacturers to invest heavily. LEDs have created a market segment for traditional semiconductor process equipment suppliers, especially for MOCVD equipment suppliers.
   Veeco, a US manufacturer of MOCVD reaction equipment, said analysts from six seller companies reached an agreement. They predict that the global annual production of MOCVD will increase from 208 in 2009 to 415 in 2011.
   Information Network predicts in the report that the average annual production per MOCVD in 2009 is 30 million LEDs, which is calculated in the same production volume. Unless MOCVD equipment suppliers increase production or increase yield to reduce the cost of ownership, LED production will increase in 2011. There will be 15.5 million missing. The solid-state lighting manufacturing roadmap introduced by the US DOE aims to increase the cost of ownership of manufacturing equipment by two times every five years. The research firm claims that if suppliers can successfully improve production time, consistency and repeatability, temperature control capabilities and flow geometry, they can alleviate the shortfall in production.
   Castellano added that it is clear that MOCVD suppliers are not interested in this, and increasing the cost of ownership will reduce sales; but in the capital market, competition has always been a key enabler, forcing these suppliers to increase the competitiveness of their equipment.
   Compared with the $250 million semiconductor market, the market size of HB-LED has reached $5 billion. The 415 MOCVD devices mentioned above, at $2.5 million each, represent a market of more than $1 billion. Therefore, MOCVD accounts for 8% of the cost of a packaged LED. Other front-end devices account for only 3%, which is equivalent to a $500 million lithography and measurement equipment market. In addition, the largest portion of the back-end process accounts for 65%, including substrate removal, chip dicing, and packaging.
   Information Network pointed out that the backlight will become a part of the growth of the HB-LED market. In 2007-2012, affected by LCD TV (CAGR=300.3%), the CAGR value of HB-LED will exceed 40%.
   Recently, another market research company, IMS Research, released a market research report focusing on white and red LEDs. The report pointed out that by the end of last year, 75 LED manufacturers in the world had a total of 1,413 sets of deposition equipment, and the LED output reached 188 billion per year.
   The report predicts that sales of MOCVD reactors will reach 348 in 2010. Despite this, IMS pointed out that its potential market totals 588 sets, so there is still a space surplus of 195-240 sets of equipment, which calculates that there will be a shortage of 12-14 billion chips in the LED chip market this year. This state will continue until 2013. . Market research firm concluded that potential supply shortages put pressure on equipment suppliers and LED manufacturers and forced them to increase production, improve equipment performance and accelerate equipment production.
   Barry Young, senior consultant of the company and managing director of the OLED Association, said, “ The demand for HB LEDs is expected to increase by 61% in 2010, and the supply that does not match it provides opportunities for new manufacturers and new equipment manufacturers†. ( "LEDs Technology")
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