LED will be eliminated in the next three years

LED industry status

The LED industry is fierce and has even become the focus of venture capital, but it also generates a lot of chaos. With the continuous state subsidy, quite a few LED companies have not had a good day.

Status Quo: Profit Drops Many Companies Stop Production

Some LED listed companies or wearing ST caps, some companies even withdrew from the market. Flush statistics show that from the beginning of the year to November 10, there were 7 LED companies listed, and all share prices fell sharply, falling from 20% to 65%. Not only was the stock market price caused by the market environment falling, but from the performance point of view, Four of the seven companies had a decline in performance, with the lowest drop of 18% and the highest drop of 94%. Flush statistics show that in 20 listed companies, the 13th company’s net profit in the third quarter decreased year-on-year, and Wei Wei, Silan Micro, BDO Runda, and NTU’s photoelectric decline rates were as high as 92%, 88%, 57%, and 52 respectively. %, of the 7 listed companies with the only growth in performance, the revenue and net profit of leading Sanan Optoelectronics also increased by only 23% and 13%, respectively, while those of Qinshang Optoelectronics only increased by 5% and 20% respectively. The performance growth of the two companies in 2011 and 2010 generally remained at 100% and 50%. A number of LED listed companies have very meager profits in the third quarter. For example, Wei Wei’s net profit in the third quarter was only RMB 3.42 million. Silan Microelectronics and Chau Ming Technology also had profits of only RMB 15 million and RMB 18 million.

Following the closure of 2011 of Duooli Company, Bolente Optoelectronics, and this year's Vision Optoelectronics Co., Ltd., Shenzhen Haobo Optoelectronics, a company that has invested over RMB 100 million in LED Display screens recently, has defaulted on suppliers’ huge purchases and staff salaries and commissions. Struggling in business dilemma.

However, at this time, there are many home appliance giants are entering the lighting market. Yin Yin, co-founder of Shanghai Topaz Lighting, expressed disappointment. Chen Yansheng, vice chairman and secretary-general of the China Lighting Association, said: “The sale of light bulbs and the sale of televisions are two different things. Home appliance giants want to use home appliances channels to sell light fixtures.

Emerging LED industry began to have a mixed bag, there is no shortage of low-quality corporate strategy, and some LED products become junk.

Most companies have no core technology

Chen Yansheng told this reporter that more than 50% of the lamps in the Japanese lighting market are produced in China. China's lighting industry has a certain status in the world, but it is not strong enough. This industry with a market capacity of more than 200 billion yuan, why so many companies struggled?

In 2011, the output value of Guangdong's LED industry alone reached 151.5 billion yuan, which has doubled in two consecutive years. In January-September 2012, under the adverse circumstances of the international financial crisis and economic downturn pressure, Guangdong's LED industry rose against the trend, achieving a total output value of 125 billion yuan, a year-on-year increase of 17.2%; this year's total output value is expected to exceed 200 billion yuan. Yuan, output value and scale continue to rank first in the country. According to data from the Guangdong Science and Technology Department, there are more than 20 listed LED companies in Guangdong Province. Qinshang Optoelectronics, Hongli Optoelectronics and other companies have successively landed on the capital market with a total market value of more than 20 billion yuan.

However, according to the statistics of Guangxeng Hang Seng Consulting, currently listed companies in the Pearl River Delta who are involved in upstream materials and chips are only BDO Runda, National Star Optoelectronics and Zhen Mingli. National Star Optoelectronics has a large scale in the midstream packaging industry. Most of the listed companies’ businesses are still in the downstream lighting and application fields. Companies with operating revenues of RMB 1 billion are rare.

State subsidies increased by enterprises

In order to implement the 12th Five-Year Plan for Energy-saving and Emission Reduction, since 2009, the state's subsidies for the LED lighting industry have only increased. In May 2012, the People's Government of Guangdong Province proposed that LED lighting products be fully popularized in the public lighting field in the province within three years, which will drive the LED industry to achieve an annual output value of 500 billion yuan or more in 2015. According to data from the Guangdong Science and Technology Department, since 2010, the Guangdong government has earmarked 1.35 billion yuan of special funds to guide enterprises and the society to invest nearly 6 billion yuan in matching funds. The new round of promotion of the use of LED lighting products is booming.

Li Xinghua, director of the Guangdong Provincial Department of Science and Technology, said in an open speech that financial input has strongly supported innovation breakthroughs in key areas of the LED industry. The state subsidizes new energy and brings in a new round of investment. Some people in the industry call this "investment" of LED as a "herd effect" and follow the trend blindly. LED investment becomes more difficult to predict as returns. Second, large companies receive state subsidies, invest in LED projects crazy, and establish industrial bases, but their profits have always depended on government subsidies, and their sustainability has been controversial. For example, Sanan Optoelectronics, a listed company, has a profit of 667 million yuan in the third quarter and subsidies of up to 328 million yuan, accounting for nearly half. Coincidentally, BDO Runda’s net profit this year was 120 million yuan, and government subsidies amounted to as much as 150 million yuan. National Star’s data is about 25%.

A huge amount of subsidies makes the investment of companies more impulse. Sanan Optoelectronics decided that the total amount of funds raised shall not exceed 6.3 billion yuan to invest in Anhui Sanan Optoelectronics Co., Ltd. and Wuhu Optoelectronics Industrialization (Phase II) project and Anhui Sanan Optoelectronics Co., Ltd. LED application product industrialization project. At present, the public issuance of shares has been The report to the China Securities Regulatory Commission is still under review.

However, excessive investment has made the industry's production capacity oversupply and concentrated on the lower and middle technical barriers. In the future, companies in the LED industry, including listed companies, will face a cruel process of survival of the fittest.

Director of Guangdong Science and Technology Department Li Xinghua admits that the development of LED industry in Guangdong still faces many challenges: First, technological progress and product replacement are fast. In a short period of time, it is difficult for the country to establish a uniform and standardized LED product quality standard system, resulting in mixed products in the market. Is not conducive to the control of product quality; Second, LED as a strategic emerging industry, its development has its own characteristics and laws, the promotion and application of LED products on traditional lighting form a huge impact, relying on the existing business model is difficult to break through the traditional interests Third, the self-sufficiency rate of core technology in the upper reaches of the LED industry is low, and foreign dependence is high, and the industry is still at the low end of the innovation chain and value chain. Failure to solve these problems will hinder the rapid and healthy development of the LED industry.

Links: Baby loves to see blindness after Yuba

Expert: too strong LED blue light will also harm the eyes

A news report recently said that parents who had been bathing their baby for two months had found that the child’s eyes were blind and the doctor diagnosed that the culprit was the blue light in Yuba.

This news has pushed the LED lamp industry to the forefront. Xu Qinghui, vice president of the Chinese Association of Lighting Designers, said in an interview with this reporter yesterday that commonly used heating bath bulbs are actually high-power incandescent lamps. The blindness of Yuba and children should have a greater causal relationship.

Of course, this baby is not ruled out as having potential congenital lesions, and the energy of Yuba is an important cause of blindness. However, the energy emitted by an incandescent lamp is extremely low in the blue light region, and this energy should not be enough to cause damage. It should be higher-strength visible light and infrared light penetrating the eyeballs, gathering in the same spot on the retina, causing burns - just like we can burn the match with a magnifying glass gathering sunlight.

Afterwards, Xu Qinghui continued to point out through online channels such as Weibo that LED is energy-saving and environmentally friendly. However, under the stringent requirements of the benchmarking system, various LED manufacturers are working hard to improve the efficiency of light (light source converts electricity into light). There is a simple and low-cost way to increase the efficiency of light: thinning the phosphor to make the bottom of the blue more out. The "high-efficiency" light that comes out of this way is unnatural and uncomfortable. It will be visually pale and dazzling. And not only uncomfortable, too strong LED blue light will also cause photochemical damage to the retina, and even can cause retinitis, this kind of harm is irreparable, and can cause blindness when severe. In view of this, there are strict restrictions on the Blu-ray hazards in the world and in China, but nobody dares to ensure that cheap LED products that are in the market are in compliance with this safety standard.