Samsung announced the cessation of foreign lighting business

In the 21st century of technological explosion, global politics and economy are rapidly changing. Energy and climate issues have become the hot issues of national development, and lighting is the meeting point of these two issues. In the year of accelerating the global market for LED lighting, Samsung Electronics, one of the world's top ten LED manufacturers, announced this week that it has withdrawn from the LED lighting market outside Korea. Samsung said that it will focus on the upstream core components of LEDs in the future. This shows that the LED lighting industry has entered the integrated deep water area. A person from the Samsung Public Relations Promotion Department of China said on October 28 that Samsung Electronics will stop the LED lighting operation business outside Korea in order to achieve a more effective and centralized operation strategy, and will integrate resources in Korea in the future. The business of LED components will continue to be carried out in the LED business unit of Samsung Electronics DS (Semiconductor). Digitimes data shows that in 2013, the global LED lighting output value was about 18.8 billion US dollars, and the growth rate was as high as 42; the penetration rate of LED lighting output was nearly 17 and it is expected to exceed 20 in 2014. According to foreign media reports, in 2013, the top ten global LED manufacturers In the name, South Korea's Samsung Electronics ranked third, with revenue of 1.18 billion US dollars, second only to Japan's Nichia, Germany's Osram (Siemens). LED industry chain is long, from chip, package to terminal products, terminal products are divided into color TV, mobile phone and other LED backlight modules, LED display and LED lighting. Although Samsung Electronics is the world's second largest LED packaging factory (accounting for 10.4% of the global market share in 2013), it has not been able to squeeze into the top ten of global LED lighting. According to Korean media reports, up to 90% of Samsung's LED-related business revenues are contributed by the LED component business for electronic products used in panel backlight modules, and in addition to the above-mentioned LED lighting business, Samsung's LED components for vehicles There is almost no market influence in the market. At the same time, Samsung has recently faced performance pressure. In the second quarter of this year, Samsung Electronics' operating income decreased by 8.9% year-on-year, and net profit fell by 19.6%. Last year, Samsung Electronics merged its LED business into the semiconductor sector, which is already a sign of contraction. Zhang Xiaofei, director of the High-tech LED Industry Research Institute, said that Samsung LED lighting is a rapid retreat. Zhang Xiaofei believes that Samsung is good at making large-scale, standardized products, such as color TVs and mobile phones. But there are so many kinds of LED lighting, and the shape of the lamps is varied, so there are so many lighting factories in China that can survive. In contrast, traditional lighting giants such as Philips and Osram have successfully transformed themselves in the field of LED lighting. Digitimes data shows that in 2013, traditional lighting giants Philips, GE, AcuityBrands and other LED lighting business revenue growth rate of 40 to 70, the global LED component technology leader Cree (Creek) into the LED lighting terminal application products, grow The rate is also close to 50. In 2013, the world's top ten LED lighting manufacturers' total revenue accounted for about 61% of the global LED lighting market, and the industry concentration has continued to climb. The opponent becomes more powerful, and Samsung LED lighting is difficult to retreat. Zhang Xiaofei said that the LED lighting market will not retreat, and with the rise of Chinese companies, price competition has intensified, and the profit margin of LED lamp manufacturing has dropped to about 10. In the past year or two, Samsung has signed strategic cooperation agreements with many domestic lighting factories. Zhang Xiaofei believes that most of the partnerships are Samsung's sales of LED package components, which are not expected to be affected by Samsung's exit from overseas LED lighting business. Since the beginning of this year, the LED lighting industry has shuffled. Last week, the boss of Zhongshan Fengguang Lighting ran away, leaving 70 million yuan in debt. Zhang Xiaofei analyzed that Samsung's exit from the LED lighting field means that the LED lighting industry has entered the deep water area of ​​the industry integration. Those who can't help but will consider withdrawing, and the competition in the back will be even more fierce.

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