The Development Trend of LED Backlight in 2013
The average quotation of backlight application LED in display for the first quarter of 2013 slips by 4-8%, TV backlight LED declined by 3%-9%; the high-power LED, affected by South Korea-based manufacturers decreased price to grab market shares, suffered a decline of 6-9% in the average quotation. As LED backlight price falls, the penetration of LED backlight used in various medium and large-size panel in 2013 will peak, where display grows to 92% from 70%; TV application rises to 90% from 70%, said LEDinside, a division of Trendforce.
LED TV backlight prices fall; major manufacturers seize edge-lit and direct-lit TV market.
Based on the cost structure of LED TV backlight in the first quarter of 2013, direct-lit LED backlight saw a decrease at 3%-5%; edge-lit LED backlight had a decline of 4%-5%. LEDinside pointed out, 46-inch above LED edge-lit backlight TV, due to the light guide plate enlarging, has to increase the optical film to enhance the module brightness, but directly hike module cost; taking 46-inch backlight module cost as an example, the price difference between edge-lit and direct-lit is 1.5 times. South Korea-based TV brand Samsung and LG focus on full-size direct-lit LED TV with proportion exceeding 70%; given lacking TV brand advantage, Taiwan-based panel makers-AUO and Innolux all conservatively choose LED edge-lit LED backlight as the backlight source of panel.
Due to the influence of the price of medium-power LED continuing hitting the bottom, high-power LED in the first quarter dipped by 6%-9%. From the quotation of LED lighting market perspective, medium-power LED saw a decline of about 7% in the fourth quarter. At present, most bulb or LED lamp has introduced high cost-effective medium LED (such as 5630) as light source, resulting in the continuous price dropping of 5630 from 2012; the substantial price cutting also stimulated the emergence of lighting customer demand in China, even some specifications showed shortage phenomenon.
High-power LED also begins to decrease price with the quotation decline of high-power LED at around 6-9% comparing with the last quarter, some products suffered a larger decline. LEDinside believes, in addition to the price-falling impact of medium-power LED from South Korea-based manufacturers, part of the agents also actively moved inventory through price dropping, due to the attorney conversion, as well as makers reduced inventory levels before the Chinese Lunar New Year holiday. Despite the gradual pick-up of lighting market after Lunar New Year, as South-Korea manufacturer further launched new medium-power LED to market, the LED price competition in the field of lighting will maintain fierce.
Overall, the price falling of LED backlight will promote the penetration to exceed 90%.