LED Lighting Penetration Rate Is Expected to Reach Double Digit Figures in 2012

LED lighting penetration rate is expected to reach double digit figures in 2012. Compared with a penetration rate of 6-7% in 2011, the large increase in forecast is due to increasing popularity of LED lighting in developed countries. Furthermore, many newly-developed markets such as Southeast Asia, Africa and the Middle East have introduced LED lighting. The main force of demand rebound in first-quarter 2012 has been due to LED backlights for large-size LCD TVs and steady growth of LED lighting. High-power LED packaging house Edison Opto noted that orders have been flowing in continuously in January and February, hence the firm believes first-quarter 2012 revenues will outperform fourth-quarter 2011. Edison noted the price of LED lighting still has room for decreases. In addition, the cost of LED chips has been falling significantly helping to ease the pressure. Edison expects LED lighting penetration rate in 2012 to reach 10-20%. Revenues of LED lighting module products accounted for 15% in first-half 2011, said Edison, and by the second half of the year, the percentage increased to 25%. Therefore, it is likely revenues from LED lighting modules will account for 35-40% of total revenues in 2012. Ledtech has also been benefiting from large orders in Southeast Asia markets mainly to be used in 24-hour convenience stores. Industry sources indicated that commercialization of LED lighting will take 3-5 years to achieve. Source: www.digitimes.com