Cabinet charger, power solution, multiple devices,Mobile Bluetooth Charger shenzhen ns-idae technology co.,ltd , https://www.szbestchargers.com
After only one year, the price of 6 lumens of low-power chips in the market dropped from 80 yuan/K to 50 yuan/K, a drop of 37%. For the chip makers who are already very competitive, it means that the gross profit margin has dropped sharply. Although some of them still rely on the production capacity advantage and reluctantly recover the decline in revenue, the decline in net profit has become a reality.
The "abnormal" decline in prices has also caught Taiwan's chip makers by surprise.
Li Bingjie, chairman of Jingyuan Optoelectronics, said in an exclusive interview with Gaogong LED that abnormal prices will not last long. Such a price cut, the greater the capacity, the more losses. "Chip prices continue to fall, companies are not affected by them, and crystal power is no exception."
A set of statistics from overseas markets shows that from the sales point of view, Jingdian's LED chips account for 15% of the global market share, ranking first. However, industry insiders said that in the field of backlight chips, Jingyuan Optoelectronics undoubtedly occupied the largest market share, but in the field of LED lighting and display, with the improvement of light efficiency and price of mainland chips, the market position of Jingyuan Optoelectronics Being threatened.
"Now is the integration period of the chip industry. In this wave, everyone will have to suffer at least three years." Li Bingjie said frankly that Jingdian has also prepared for three years.
Perhaps because of price pressures, after the M&A frenzy in 2010, Jingdian has begun to regain its industrial integration path. However, unlike the vertical integration model of other mainland chip manufacturers, Li Bingjie's integration strategy is still to integrate the chip business at a low cost.
Sanan Optoelectronics Challenge
In the first half of this year, Sanan Optoelectronics began to send samples to Taiwan's largest LED packaging factory, Everlight Electronics, hoping to break into its supply chain system. In the past two years, Sanan Optoelectronics has frequently dig into the corners of Taiwan's LED chip makers such as Jingdian and Yuyuan.
According to the financial report of the first half of 2012, Everlight's chip purchases of Jingdian accounted for 12% of its total sales. If Sanan Optoelectronics successfully enters the Yiguang supply chain, it is undoubtedly the biggest threat to Jingdian.
According to relevant sources, there are currently 4 to 5 packaging factories in Taiwan, which are testing Sanan Optoelectronics chips. More relevant forecast data show that Sanan Optoelectronics' chip sales in Taiwan will exceed 100 million yuan this year.
Despite the enthusiasm of Sanan Optoelectronics, in the view of Li Bingjie, the pattern of selling at a loss can not go far in the market.
In the past few years, Sanan Optoelectronics has relied on the government's continued huge subsidy for blood transfusion performance. In the first half of this year alone, Sanan Optoelectronics obtained subsidies of up to 900 million yuan from local governments. At the same time, in the second half of last year, Sanan Optoelectronics digested huge inventories through price cuts. As of the first half of 2012, the company’s LED chip inventory remained high. 787 million yuan.
In fact, LED chips have maintained a trend of continuous price cuts this year. According to the statistics of the High-tech LED Industry Research Institute (GLII), the price of low-power lamp beads on the market has dropped by 30%-40% compared with the same period of last year. With the decline of the gross profit of the packaging industry, more and more enterprises have begun to adopt. Domestic LED chips.
"If customers do not have special requirements for the brand, we will give priority to domestic chips." A domestic packaging manufacturer said that domestic chips are cheaper on the one hand, and the account requirements are not as strict as those of Taiwanese companies and foreign companies. 
[Source: "High-tech LED - Research and Review" September issue Tang Guirong]