12 August 2016

COB LED market in APAC to grow at 34.79% CAGR to 2020, driven by general lighting

The chip-on-board (COB) LED market in the Asia-Pacific (APAC) region will increase at a compound annual growth rate (CAGR) of 34.79% over 2016-2020, forecasts Technavio's report 'Chip-on-Board LED Market in APAC 2016-2020', which segments the market into the applications of automotive lighting, back-lighting, and general lighting.

The growth of manufacturing facilities in China will be a key trend for market growth, says the report. Subsidies for LED makers offered by the government led to the expansion of manufacturing capacity. The increasing use of domestically made chips has further decreased the overall cost of LED manufacturing. This will foster the growth of Chinese LED makers, as the market is highly price sensitive, notes Technavio.

According to the report, a key driver of market growth will be the drop in the average selling price (ASP) of LEDs due to decreasing manufacturing costs. This is attributed to the use of larger wafers and automation in manufacturing.

However, limitations associated with packaging will be a major challenge to market growth, states the report. Lower prices, high light attenuation, and higher thermal resistance offered by aluminum make it the second most-reliable material for packaging. In addition, the use of different packaging technologies by different manufacturers decreases throughput in the assembly and manufacturing of COB LEDs, affecting market growth, concludes the report.

Key manufacturers covered by the report include Citizen, Cree, Lumileds, Nichia, Osram, Samsung, and Seoul Semiconductor.

See related items:

Chip-on-board LED market to grow at 35.5% CAGR to 2020

Tags: COB LEDs Lighting market

Visit: www.technavio.com/report/apac-embedded-systems-chip-board-led-market

Visit: www.researchandmarkets.com/research/mnjjmf/chiponboard_led