Many industries have long been suffering from oversupply in the market. The LED industry is also facing similar difficulties. In recent years, Jingdian has reduced its costs drastically and will concentrate on the production of more large-scale factories and strive to optimize its product mix. Last year, it finally showed results. Although the revenue is comparable to last year, the gross profit has turned better and the profitable transcripts have been paid.
Mass production of Mini LEDs, VCSELs and GaN on Si is a key point in the transformation of crystal power, but since it is still in its infancy, it has not yet made a substantial contribution last year. Fan Jinyu, vice president of business and marketing, said that the VVI strategy of Jingdian Power Co., Ltd., to assist customers in the development of downstream applications in a virtual vertical integration manner, is different from the one-stop approach taken by the same industry in mainland China. Jingdian will introduce CSP technology for TV backlight and mobile phone flashlights into the car lights. It is one of the results of product optimization in recent years. It is expected to be introduced this year and will show relevant results at the Taipei Lighting Fair in April.
Under the destruction of vicious competition price, blue LED has been pushed to the Red Sea. The proportion of crystal electricity in lighting applications has gradually dropped to about 40%, and backlight application is the second largest source, accounting for about 20%. In order to improve revenue and profit, the market name is the first to invest in the development of Mini LED technology. Display backlights such as mobile phones, TVs and high-end notebooks are the main potential applications. It is expected to introduce application technology solutions in the second half of the year. Fan Jinyu said that the application of Mini LED is vast, and there are many cases in the talks. It is conservatively estimated that mass production is expected before the end of the year.
In the global infrared (R) LED supply chain, crystal power also plays an important role. The materials and equipment of IR VCSEL and IR LED are the same. The penetration of crystal electricity into VCSEL enjoys the advantage of shorter learning curve and improves the conversion efficiency. The yield continues to improve. VCSELs can emit unique structured light, which has great potential for application in 3D face, industrial automation, drones and even self-driving cars. The positioning of the crystal power is VCSEL foundry. At present, the main chip of the foundry data transmission application has been negotiated by all parties since last year. This year, new customers will be added, and the VCSEL foundry business of sensing applications is also actively prepared.
The demand for VCSEL has increased significantly, but the entry level is high, the supply increase is limited in the short term, and the gross profit margin is much higher than the average of LED. Under the strategy of adjusting the product mix, Jingdian has invested more resources in R&D and construction of VCSEL production line. The fastest third quarter mass production.
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