About the LED Market
LED lights are rapidly gaining traction among consumers due to their multiple benefits. They are preferred over other lights such as incandescent lights and compact fluorescent lights (CFLs), because of their energy efficiency. LEDs consume up to 75% less energy than other bulbs and have longer lifespans — 60,000 hours compared to 1,500 hours from incandescent bulbs and 8,000 hours from CFLs. LEDs are also known as green lighting systems because of their energy-efficient features. The energy efficiency of LED lights is driving growth in the global LED market. In addition, the need for low electricity consumption and growing awareness of green technology have made manufacturers focus on energy-efficient and eco-friendly lights. Governments are also taking up multiple projects and providing subsidies in order to promote LED lights.
Technavio’s analysts forecast the Global LED Market to grow at a CAGR of 15% during the period 2016-2020.
Covered in this report
The report covers the present scenario and the growth prospects of the Global LED Market for 2016-2020. The market size is calculated on the basis of revenue generated from four segments: general lighting, backlighting, automotive lighting, and others.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global LED Market 2016-2020
Technavio recognizes the following companies as the key players in the Global LED Market: Cree, GE Lighting, LG Innotek, Lumileds, Nichia, OSRAM, Samsung Electronics, and Seoul Semiconductor.
Other Prominent Vendors in the market are: Dialight, Eaton, Emerson Electric, Everlight Electronics, Lite-On, MLS Electronics, Toshiba Lighting and Technology, and Toyoda Gosei.
Commenting on the report, an analyst from Technavio’s team said: “A major trend contributing to market growth is the reduction in price of LED components. A fall in the demand for LED products for backlighting has led to a decline in the average selling price of LED chips and LED packages. In the second half of 2015, the prices for these products declined and came close to material costs. This resulted in many manufacturers incurring losses. In the short term, manufacturers are compelled to lower LED prices.”
According to the report, a key growth driver in the LED market is the need for lower electricity consumption. LEDs use at least 75% less energy and last 25 times longer than incandescent bulbs. With growing awareness of the need for green technology, manufacturers have started focusing on energy-efficient and eco-friendly lights.
Further, the report states that one challenge that could restrict market growth is the introduction of flip chip LEDs."
Cree, GE Lighting, LG Innotek, Lumileds, Nichia, OSRAM, Samsung Electronics, Seoul Semiconductor, Dialight, Eaton, Emerson Electric, Everlight Electronics, Lite-On, MLS Electronics, Toshiba Lighting and Technology, Toyoda Gosei.
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