MAGAZINE: Module development lights up the future LED value-chain
As the LED revolution causes major disruption in the lighting industry, many companies, particularly those in the LED sector, are contemplating how to position themselves for future growth and profitability. McKinsey's comprehensive research shows that current LED industry dynamics favor LED moduling, as MICHAEL VIERTLER, DOMINIK WEE, and OLIVER VOGLER discuss.
Based on McKinsey’s proprietary research on the professional lighting industry, this article discusses how the profit pool around today’s traditional lighting value-chain will develop into the LED lighting value-chain of 2020, and the implications this has for companies at different steps of the value-chain. McKinsey’s research shows that “moduling”—the development of LED-based modules—will be the most attractive value-chain step going forward.
This article was published in the Sept/Oct 2009 issue of LEDs Magazine. To read the full version of this article, please visit our magazine page, where you can download FREE electronic PDF versions of all issues of LEDs Magazine.
You can also request a print copy of LEDs Magazine (available by paid subscription) and sign up for our free weekly email newsletter.