Crystal electric annexation of solid-state lighting LED global competition is getting hot

[Text|High-tech LED reporter Luo Shenghua] Following the announcement of the acquisition of Yuyuan Optoelectronics, Jingyuan Optoelectronics has a new action.

Recently, the news that Jingdian intends to “enter” TSMC’s wholly-owned subsidiary TSMC Solid State Lighting in the form of share swap is spread in the industry. According to sources, Jingdian will follow the “Guangjia Model” and Taiwan Semiconductor Solid State Lighting Conversion, and TSMC Solid State Lighting will become a 100% conversion investment company of Jingdian, and Jingdian will also complete its white LED patent layout. However, TSMC solid-state lighting may undergo capital injection after asset consolidation.

With the increasingly fierce competition in the LED chip market, scale and cost will be the main competitiveness of enterprises. As the only LED wafer factory in the industry that can compete with Sanan in China, M&A is the eternal theme of Jingdian. According to preliminary statistics, in just 7 years, Jingyuan Optoelectronics has acquired several LED chip factories and is firmly in the top spot in the global chip. Before the acquisition of TSMC solid-state lighting for a week, Jingtai Optoelectronics just announced the acquisition of Yuyuan Optoelectronics.

On December 30, 2014, Jingdian officially merged with Yuyuan, and Yuanyuan became an independent subsidiary of Jingdian and went to the market. In fact, after several mergers and acquisitions experience, Jingdian Power was quickly adjusted and merged into the factory. In order to speed up the adjustment of the round body and grasp the business opportunities of next year's market conditions, Jingdian led Fan Xianyu to lead the team after the temporary shareholders meeting in September 2014. Entering the round.

According to industry analysts, after the completion of the merger and adjustment of the crystal power industry, the global chip market share will exceed 30%, and the Taiwan market will account for about 60%. As the LED industry moves toward the trend of “bigger Evergrande”, the crystal power is expected to be re-transparent. The merger has strengthened global market share and competitiveness.

The holding of Taiwanese solid-state lighting is the continuation of the global competition for crystal power.

As the world's largest professional IC manufacturing service provider, TSMC has the reputation of “IC OEM overlord”. Established in 2011, TSMC Solid State Lighting is a wholly-owned subsidiary of TSMC. It is responsible for the sales layout of TSMC in the LED chip, package and light source module business.

Although TSMC's solid-state lighting has only two MOCVDs, it has a large number of white LED patents and strong patent protection with American companies. Moreover, after the release of the non-packaging technology in 2012, the product has entered the stage of mass production.

However, with the rapid development of the domestic LED industry, the mainland LED has been catching up with the LED products in Taiwan in terms of technical products and cost performance. Taiji solid-state lighting has no advantage in terms of production capacity and price.

"The price is not high enough" has become the industry's deepest impression of TSMC solid-state lighting. As a part of TSMC's business, which is almost negligible, it is a wise move to be entrusted to it by TSMC.

According to industry insiders, since the first half of 2014, Jingyuan Optoelectronics' LED white light chip has insufficient production capacity and cannot meet the orders of some customers. As a result, a group of customers have lost their competitors to Sanan Optoelectronics Co., Ltd. in order to ensure market share and expand production capacity. At the same time, Taiwanese solid-state lighting with patents of white light is a good choice.

Through the share swap, TSMC obtained some of the shares of Jingdian, and both parties can be said to have their own needs, and they are all happy.

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