Gong Weibin: LED price trend and response

On August 30th, the 8th High-tech LED Industry Summit held in conjunction with the High-tech LED Boutique Exhibition was held in the Century Hall of the Shanghai International Convention Center. The forum revolved around “Winning in the chaos” and “LED lighting technology – problems and solutions” The way, LED lighting design and application engineering - the decisive segment, and the "LED lighting market - Red Sea and Blue Ocean" four topics and the guests to share the latest industry development trends, analysis of the industry, the middle and lower reaches Hot issues such as market strategy. The scale of the conference was unprecedented, and the full venue fully demonstrated the great enthusiasm of the LED industry for this high-tech LED brand conference.

Gong Weibin, chairman of Ruifeng Optoelectronics, believes that price is the biggest factor affecting LEDs entering traditional home lighting.

From an industry perspective, the price war has increased the coverage of the product, promoted the development of the industry and promoted the quality of the product to a reasonable standard. From a business perspective, it promotes technological innovation, improves management and cost control, and promotes the enhancement of added value (services and support). According to the law of Heinz, LEDs will increase the luminous efficiency by 20 times every ten years. In terms of price, the packaging price will drop by 10 times every 10 years. In 2011, it just followed such a trend. In the case of homogenization after automation and the convergence of Chinese manufacturing, there is no difference in the cost reduction of the optical part. The cost of the LED module can be reduced by 30-50 without reducing the product quality. % explicit cost. If optimized from the management level, process capability, supply chain, etc., LED packaging can become the largest part of the cost reduction.

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