LED packaging service provider Harvatek will cooperate with affiliated equipment maker YoungTek Electronics to adopt the latter's automation equipment to start automated production of LED light bulbs for reducing production cost in 2015, according to the company.
An automated production line will have a monthly capacity of 600,000-700,000 LED light bulbs, Harvatek said.
US-based Cree charged Harvatek with infringement of 6 patents in September 2014 and, as a measure of defense, Harvatek counterattacked by accusing Cree and its Hong Kong- and China-based subsidiaries of patent infringement in December. Since most of LED lighting orders come from Taiwan, China and other Asian countries, Cree's patent litigation does not have substantial impact on its business operation, Harvatek indicated.
LED lighting (OEM and own-brand production) is expected to account for 40% of 2014 consolidated revenues, SMD (surface-mount device) LED packaging for 30-35%, LED display panels for 10% and backlighting for 5-10%, Harvatek said. In order to hike overall gross margins, Harvatek aims to increase the revenue proportion for SMD LED packaging to 40%, that for LED display panels to 15-20% and decrease that for LED lighting to 20%, the company indicated.
