Revenues for LEDs in lighting forecast to grow 10% for 2012-2016, says Strategies Unlimited

Jul 16th, 2012
Date Announced: 16 Jul 2012

Mountain View, CA - The latest ten-segment market research report published by Strategies Unlimited on LEDs in Lighting Applications estimates the world revenue for LED packages at $2.04 billion in 2011. Between 2010 and 2011, LED prices declined by more than 25% and for some suppliers the decline was more than 40%. The decline in prices stimulated the demand for LED lighting products, increasing the revenue by 46.3%. LED suppliers diverted their efforts to sell to the lighting industry because of the excess manufacturing capacity and the less than expected growth in demand for LEDs in backlighting applications.

These are among the findings from Strategies Unlimited’s new report now available, The Market for High-Brightness LEDs in Lighting Applications: Market Review and Forecast- 2012

In 2011, all major players in the industry made a big push in the sales of multichip packages. The use of high lumen output packages help in reducing the size of the light source and pack lumens in a small area while reducing the time for luminaire design development. The use of high power LEDs continues where high lumen output from compact light sources is required in applications such as streetlights, flash lights, recessed lights and PAR replacement lamps. In the forecast period more luminaire manufacturers will use multichip packages while ambient lighting applications will use low power and mid-power LEDs for diffused lighting applications such as troffers and linear fluorescent tube replacement products.

Although the demand for white LEDs increased to 84% of the total revenues, the lighting industry is increasingly using remote phosphor with blue LEDs or red LEDs with cool white LEDs to make warm white light.

China was the largest market with 49% of the revenues, with high penetration rates in outdoor, industrial and building decoration lighting applications. The improvements in quality of LED lighting products, retail display application—both refrigerated and general merchandise displays--is forecast to be the fastest growing segment.
The LED prices will continue to decline in the forecast period at a CAGR of 13% for 2012-16. In the same period, CAGR for revenues for LEDs in Lighting is forecast at 10%.

This report is the latest in a series of reports on LED Markets. This follows the market research reports on LED Replacement Lamps (June 2012), HB-LEDs (September 2011), LED Driver IC (July 2011),
LED Outdoor Area and Street Lighting (September 2011) and LED Luminaires (February 2011).

Founded in 1979, Strategies Unlimited specializes in market research and strategic consulting directed at photonics systems and components. The company, based in Mountain View, California, is a research unit of PennWell Corporation, a global media and information company. The LEDs & Lighting Media Group of PennWell includes LEDs Magazine, website, e-newsletters and Suppliers Directory;
Illumination in Focus, website, and e-newsletter, market research with Strategies Unlimited; and leading events with Strategies in Light, The LED Show, Strategies in Light Europe, LED Japan/Strategies in Light, and Strategies in Light China.

For more information on our reports, contact Tim Carli, Sales Manager, Strategies Unlimited at +1 650 946-3163 (voice), e-mail at info@strategies-u.com, or check the company's web site at www.strategies-u.com.

Contact
Tim Carli Sales Manager +1 650 946-3163 (voice)

E-mail:info@strategies-u.com

Web Site:www.strategies-u.com

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