Orders for Large-size TV Backlight Increased, and the Performance of LED Manufacturers Was Bullish

The performance of light emitting diode (LED) suppliers is bullish in 2013. In 2013, the market scale of large-size TV above 50 inches expanded rapidly, driving the demand for side light LED backlight and the number of LEDs, and stimulating the revenue growth of LED manufacturers such as Longda electronics, wafer optoelectronics, new century optoelectronics and bright circle in January.

Zhang Boyi, Longda electronic finance and spokesman, said that the company's 3255 inch LED TV light product proportion increased, and the direct backlight products (including LED package) continued to ship to Chinese mainland and American brand customers, plus lighting applications to increase Japanese brand OEM customers, so the revenue in January has increased significantly compared to December 2012, reaching NT $950 million. Compared with December 2012, it increased by 31.7% and 46.1% compared with the same period last year.

Zhang Boyi pointed out that the penetration of LED backlight in the TV market is expected to climb from 60 to 70% in 2012 to nearly 90%, while the combined effect of Longda and wal has been reacted ahead of schedule, and has been cultivated in the Chinese mainland and Korea's LED TV market. It will be able to seize the opportunity point of rising LED TV market penetration in 2013.

It is reported that in addition to epitaxial, crystal and system, Longda electronics has developed 3535, 3030, 3528, 7020, 7030 and other packaging types of LEDs for low-cost direct down backlight and large-size TV side light backlight below 50 inches, respectively, according to the specification requirements of different customer groups.

Similarly, with the business opportunities of low-cost direct down and side light LED TV, LED grain manufacturers such as wafer optoelectronics, bright circle and new century optoelectronics performed well in January 2013. The revenue of wafer optoelectronics broke through the haze of 2012 and reached NT $1.35 billion; Canyuan and new century optoelectronics also achieved revenue levels of NT $300 million and NT $270 million respectively. Among them, due to the outsourcing orders of Korean brand manufacturers, the revenue of Jingyuan optoelectronics and canyuan increased significantly, and the order visibility reached the end of the first quarter.

In addition, under the promotion of Chinese mainland TV brand manufacturers such as SKYWORTH, Hisense, TCL, Konka and Changhong, Taiwan LED crystal manufacturers have the opportunity to enter the TV backlight supply chain of Chinese mainland with better product quality, and make substantial contribution to the revenue.

Yu Qingwei, an analyst at NPD DisplaySearch Taiwan Branch, analyzed that in 2013, the global LED TV will account for 88% of the overall TV market, of which the market penetration of low-cost direct down LED TV under 50 inches will grow to 19% from 11.3% last year. However, the side light LED backlight (including large-size TV backlight) still accounts for more than 80% of the LED TV market, which is still the largest market, Become the main market of LED manufacturers.

Yu Qingwei further analyzed that although large-size TVs above 50 inches account for about 10% of the LED TV market, their backlight uses more LEDs than TVs below 50 inches, so they will also become an important revenue contribution source for LED grain and packaging plants.

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