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2017 LED industry competition intensified, indoor intelligent lighting has become the trend of the

With the advent of various cognitive and intelligent network eras, the demand for smart street lamps is growing. According to relevant research data, by 2025, the smart street lamp market will reach 9.1 billion US dollars.

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In recent years, with the warming of the global economic situation and the development of China's LED industry, more and more enterprises have sailed overseas, and the competition in the LED industry has become increasingly fierce. As technology advances, production efficiency is increased, product costs are reduced, and prices are reduced. At the same time, domestic LED products are homogenized and serious. In order to expand market share, “price war” is still an important means for major companies to win the market.

Although the demand for LED lighting is rising, replacing traditional lighting applications, supply exceeds demand and average LED prices have fallen. Due to the low added value of products, it is more and more difficult for domestic export enterprises to enter European and American countries. In recent years, domestic companies have been seeking to develop and tap emerging markets, including some relatively backward regions.

However, in fact, countries with backward lighting and low LED penetration are often the best places to seize the market. But in the long run, domestic companies still have to rely on technology to win, in order to be invincible.

LED street light penetration rate is close to 40%, 2017 smart street lights are facing challenges
With the improvement of LED chip and driving power technology, the heat dissipation, optical failure and power supply of LED street lamps are solved. At the same time, the continued rapid decline in prices has contributed to the price performance of LED street lights.
Domestic LED street lights have gradually replaced traditional street lights as the main force of new street lights. At the same time, the intelligent control features of LED street lights in the future enhance the advantages of LED street lights. In the context of current energy conservation and emission reduction, local governments have widely promoted LED street lights.

With the cancellation of government subsidies in China, the renovation of street lamps in the developed coastal areas is coming to an end. The transformation of China's LED street lamps will enter a stage of benign and steady development, and overseas markets will gradually become markets.
LED Research Institute (GGII) research data shows that the domestic LED market benefits from the collective warming of the domestic market. In 2016, China's domestic LED street lamp market reached 9.46 billion, an increase of 15.4% year-on-year. At the end of 2017, the penetration rate of domestic LED street lamps was close to 40%.

At the same time, from the perspective of concept exploration, smart cities are gradually entering the construction phase. With the acceleration of the construction of smart cities and the wide application of new generation information technologies such as Internet of Things and cloud computing, the construction of intelligent street lamps will usher in a rapid development opportunity. It is estimated that by 2020, the penetration rate of China's LED smart street lamp market will increase to about 40%.
Smart lighting is no longer a "not warm" prospect

Domestic smart lighting has been receiving much attention in the field of LED lighting for many years. However, in recent years, most of the intelligent lighting is “small thunderstorm”, which is mainly reflected in the fact that the domestic intelligent lighting industry has not yet formed a certain scale, the market acceptance is low, and the intelligent lighting technology is still immature. By the end of 2017, this situation has changed a lot. Smart lighting is no longer "not cold or hot." Smart lighting is more noticeable on the socket.

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Looking back over the past few years, the term "smart" has become a hot topic in the LED lighting industry. Many LED lighting companies have “tested water” in the field of intelligence. Dealers have also begun to pay attention to “smart products” and their market demand and profitability. The majority of LED lighting manufacturers seem to “sniff” a beautiful lighting (home). "Money" scene.

Although LED lighting electricians are trying to explore and try, smart lighting (home) companies have not yet appeared, and the popularity of the smart lighting (home) market is still not satisfactory. But fortunately, entering 2017, the situation has changed, let people see: intelligent lighting (home) has stood on the cusp of the wind, waiting to soar.

2017, "Internet +" has also quickly become a tool for the transformation and upgrading of the LED lighting industry. At the same time, under the huge market potential, cross-border giants such as Huawei, Haier, Midea and Xiaomi have entered the field of intelligent lighting (home) and attracted a lot of capital and innovative technology. Intelligent lighting (home) is rapidly maturing.

China's LED packaging market will grow 16% over the same period in 2017.
According to the statistics of the LED Research Institute (GGII), the scale of China's LED packaging market has increased from 64.4 billion yuan in 2015 to 73.7 billion yuan in 2016, an increase of 14% over the same period last year.

In 2017, the LED market, especially the strong demand for LED lighting market and niche market, is expected to reach 87 billion yuan in 2017, an increase of 16%.

In the next few years, the output value of China's LED packaging industry will maintain a growth rate of 13%-15%. It is estimated that the scale of China's LED packaging will further increase to 128.8 billion yuan in 2020.

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In 2016, the LED industry began to recover, and the average price of LED package products was stable and slightly adjusted. We believe that the subsequent decline in the price of LED packaging products has slowed down.

According to statistics from the LED Research Institute, in 2016, the number of LED packages in China reached 11.4 trillion, an increase of 25% over the same period last year. In 2017, the output of China's LED packaging is expected to reach 13 trillion 842 billion. In the next few years, China's LED packaging output will slow down, with an increase of about 16%. China's LED packaging will reach 22,73 billion and 2020.

Since 2010, China's LED package has a high-speed investment cycle in the middle reaches of the middle reaches. Due to the lower entry barrier, the investment in the entire LED package in the middle reaches is higher, especially the rapid expansion of most SMEs during this period.
The production capacity of new investment companies and expansion companies was released in 2012-2014, and the output of LED packaging products has reached 50%. In 2015, the price of LED packaging products was almost lowered, the gross profit of the company dropped sharply, nearly one-fifth of the packaging enterprises withdrew, the output of LED packaging industry began to adjust, and LED packaging was packaged in the second half of 2016.
In 2016, China's LED lighting applications account for more than 60% of indoor lighting.

China has become the world's leading LED application production base. According to the report of the LED Industry Research Institute (GGII), China's 2016 lighting application has entered a spiraling period, slowing down and steadily rising.

The data shows that the market size of LED downstream lighting applications is 245.4 billion yuan, an increase of 16.60% year-on-year, of which indoor lighting is 158.2 billion yuan, an increase of 64.46% and 33%.

In 2016, the rapid development of LED indoor lighting also showed some new trends: First, the global LED indoor lighting industry is accelerating its development to China, domestic lighting companies are expanding abroad, and foreign lighting companies are signing the front line.
Secondly, with the fierce competition in the market, the refinement of corporate profits, the concentration of the industry began to increase. In the past two years, dozens of mergers and acquisitions occurred in the industry, further exacerbating 2017. Third, as people's demand for quality of life continues to increase, indoor smart lighting has gradually become a trend.