Taipei, Tuesday, June 30, 2015 08:34 (GMT+8)
mostly cloudy
Taipei
30°C
China driving MOCVD demand in 2011, says new report from Digitimes Research
Press release, DIGITIMES, Taipei [Tuesday 8 March 2011]

As global penetration of LED TV's increases and LEDs get ready to take the lighting sector by storm, global demand for metal organic chemical vapor deposition (MOCVD) has been increasingly markedly since 2010, according to a recently published DIGITIMES Research Special Report titled "Survey of upstream LED component industry."

The report notes that global demand for MOCVD equipment increased by a staggering 277%, from 212 units in 2009 to around 800 units in 2010. DIGITIMES Research explained that the main reason behind this is that LED manufacturers in regions of Asia such as South Korea, Taiwan and China are actively expanding MOCVD equipment capacity.

Over the last two decades, LEDs have gone from obscure components to indispensable parts of everyday life. Today, everything from computer and TV screens to household lighting and even car parts contains LEDs, and this increase in demand is driving a boom in upstream components, materials and equipment for the LED sector. The most critical of these are LED components themselves, chiefly chips and packaging; the artificial sapphire materials from which key LED components are made; and the MOCVD equipment (reactors) used in their manufacture.

In the context of this booming demand, a sea change is taking place within these industries. World leaders in sapphire production such as US-based Rubicon are expanding capacity while focusing on profitability. The traditionally strong Japan-based manufacturers such as Toyoda Gosei and Nichia are facing new challenges from increasingly technically sophisticated and commercially ambitious competitors based in Taiwan and South Korea; while the Taiwan and Korea-based manufacturers are expanding capacity and developing their own technologies, with government assistance in some cases. Moreover, a new wave of China-based companies is emerging, many of which will find themselves ideally placed to capitalize on the LED boom, as a result of the government subsidies they are receiving, and their undeniable advantages in terms of labor costs and proximity to customers. The LED industry recovered quickly from the recent global financial crisis, but has also faced challenges from recessions around the world, and rising prices of vital rare earth materials, further complicating the picture.

The DIGITIMES Research Special Report brings together all these complex threads, providing an understanding of the key issues and major players that are reshaping the upstream LED industry. The report provides a clear overview of the industry and forthcoming trends on both a company-by-company and region-by-region basis, accompanied by a wealth of easy-to-read charts, useful data and incisive analysis.

Survey of upstream LED component industry

Source: Digitimes Research, February 2011

For more information about the report

About DIGITIMES Research

DIGITIMES Research is the research arm of DIGITIMES Inc., Taiwan's leading high-tech media outlet. Operating as an independent business unit, DIGITIMES Research focuses on monitoring key high-tech industries, while also guiding clients toward suitable new business as well. Market intelligence and analysis is provided to more than 1,000 corporate customers worldwide. Research and consulting services cover a full range of industries, including information and communications technology (ICT), flat panel display (FPD), renewable energy and semiconductor design and manufacturing.

Contacts:

Michael McManus (Michael.mcmanus@digitimes.com)
Shannen Yang (Shannen.yang@digitmes.com)

Topics: Page 2

Realtime news
  • JTouch continues to see steady demand for metal mesh products

    Displays | 10h 27min ago

  • Digitimes Research: Intel 28nm SoFIA 4G AP delayed to early 2016; may face overlap issue with 14nm version

    Bits + chips | 11h ago

  • Epistar expects business operations to peak in 3Q15

    LED | 11h 5min ago

  • Digitimes Research: Japan has potential demand for UAVs

    IT + CE | 11h 6min ago

  • Industry mergers may boost SPIL's role, says company chairman

    Bits + chips | 11h 8min ago

  • Taiwan LED makers faced with decreased global TV demand, competition from China makers

    LED | 11h 9min ago

  • ASE to raise US$200 million through ECB

    Bits + chips | 11h 11min ago

  • 4K TV panel shipments grow nearly 60% in 2Q15

    Displays | 11h 14min ago

  • Foxconn considers to spin off subsidiaries for listing in China stock market, says report

    Before Going to Press | 10h 34min ago

  • Taipower to limit power supply to industrial user

    Before Going to Press | 10h 36min ago

  • STB purchases from Pay TV operators down in 2014

    Before Going to Press | 10h 37min ago

  • TEEMA opens second Smart Living Center in Nantong, China

    Before Going to Press | 10h 55min ago

  • Digitimes Research: LED makers extend development from LED lighting to IR LED, UV LED

    Before Going to Press | 11h 27min ago

  • Taiwan PV makers hold rosy business outlook

    Before Going to Press | 11h 28min ago

  • Global LED light bulb sales to reach 2.5 billion units in 2015, says Epistar chairman

    Before Going to Press | 11h 29min ago

  • Numerous panel technologies still at forefront for wearable devices

    Before Going to Press | 11h 31min ago

  • Vendors seeking cheaper solutions for metal notebook chassis

    Before Going to Press | 11h 32min ago

  • Go Scale Capital facing challenges with investment in Lumileds, says Epistar chairman

    Before Going to Press | 11h 32min ago

  • Sony, Huawei expanding mobile device sales in Taiwan

    Before Going to Press | 11h 35min ago

Pause
 | 
View more

China AP market 2Q15 shipment forecast

CHINA SMARTPHONE AP | Jun 29, 10:47

Digitimes Research predicts China smartphone AP shipments in second-quarter 2015 will show annual growth due to the depletion of inventories in the first quarter of 2015 and new smartphone products being introduced which contains new AP solutions. The new product...

Taiwan server shipment forecast and industry analysis, 2015

RESEARCH EXTRAS | Apr 10, 15:57

The server market did not perform well in 2014 though rising demand from Internet data centers (IDCs) and China brands helped global shipments (measured by motherboards) grow 7.1% to 10.4 million. Using this as the base for growth, in 2015 the market is expected...

Taiwan LCD TVs – 1Q 2015

TAIWAN DISPLAY SYSTEM | May 22, 15:51

Taiwan's LCD TV makers saw strong seasonal impacts in the first quarter of 2015. Shipments to North America saw a particularly sharp decline as a result of reduced procurement from Mexico and major client Toshiba quitting the North America market.

Taiwan handsets – 1Q 2015

TAIWAN MOBILE DEVICE | May 15, 15:58

Most of Taiwan's handset makers felt strong seasonal effects in the first quarter. Foxconn suffered particularly as a result of drastic drops in orders from Sony Mobile and Microsoft Mobile.

China smartphone market and industry – 1Q 2015

CHINA SMARTPHONE | May 13, 10:56

According to Digitimes Research's survey of the Mainland China smartphone supply chain, as well as other relative vendors, increased demand for Apple's new device models, Mainland China's high-end smartphone models experienced lackluster sales in the first quarter...

Taiwan server shipment forecast and industry analysis, 2015
2015 China smartphone panel trend forecast
2015 global notebook demand forecast
  • Wireless broadband developments in Southeast Asia markets

    As of 2013, the 10 ASEAN nations had a total of over 700 million mobile subscriptions, with the CAGR from 2003-2013 reaching 24%. This Digitimes Research Special Report analyzes the various mobile broadband markets in ASEAN and looks at the respective trends in 4G LTE development for those markets.

  • 2015 global tablet demand forecast

    This Digitimes Research Special Report provides a 2015 forecast for the global tablet market and analyzes the strategies of key market players such as Google, Apple, Intel, and Microsoft.

  • 2015 China smartphone panel trend forecast

    This Digitimes Research Special Report analyzes the strategies of key China-based major panel makers BOE, Tianma and IVO for attacking the different market segments through technology and pricing, and their relationship to local vendors Huawei, Lenovo, ZTE, Xiaomi and Coolpad.