The global chip-on-board (COB) LED market will grow at a compound annual growth rate (CAGR) of 40.71% up to 2018, forecasts a report from TechNavio (the market research platform of Infiniti Research Ltd).
One of the key factors contributing to this market growth is the declining average selling price (ASP) of LEDs. The chip-on-board LED market has also been witnessing increasing demand for COB LED in general lighting applications. However, fluctuating global economic conditions could pose a challenge to growth of this market, cautions the market research firm.
According to the report 'Global Chip on Board LED Market 2014-2018', key vendors dominating the market are Citizen Electronics Co Ltd, Cree Inc, Nichia Corp, Osram Opto Semiconductors GmbH, Philips Lumileds Lighting Co, Samsung Electronics Co Ltd, and Seoul Semiconductor Co Ltd. Other vendors mentioned in the report are Everlight Electronics Co Ltd, Lumens Co Ltd, and LG Innotek Co Ltd.
"The shift from traditional lighting sources to solid-state lighting [SSL] technology has resulted in the wider adoption of COB LEDs," comments a TechNavio analyst. "COB LEDs are wide-area light emitters and thus are increasingly used in highway and street lighting, which require large amounts of light spread across a large area. COB LEDs produce better color mixing, better lighting effect, and require very low thermal resistance systems. Thus, greater power density, efficient heat dissipation, small space requirement, and high performance make COB LEDs more suitable than conventional LED packages for various general lighting applications."
The huge decline in LED ASPs is resulting in increased adoption of COB LEDs in various lighting application segments, the report adds. Also, COB LEDs offer high intensity with a homogenous luminous field suitable for high-power LED applications, which also increases the potential for savings.
The report further states that one of the major challenges in this market is the fluctuating global economic conditions. Europe's ongoing debt crisis had a spillover effect on the global economy, which is also negatively affecting demand for COB LEDs because their production involves a significant cost for manufacturers, it is noted.
