Streetlights to Power Demand for High-Power LED Shipments Through 2017, according to NPD DisplaySearch

Shipments of high-power LED chips used in streetlights, direct
backlit LCD displays, spotlights, and other applications that
require higher brightness are expected to grow at a compound annual
growth rate (CAGR) of 13% between 2014 and 2017, According to NPD
Display Search.  The NPD DisplaySearch  forecasts that
demand for  high-power LEDs will increase from
18.5 billion in 2014 to 27 billion in 2017. Streetlights
are projected to have a 28% share of total high-power LED shipments
in 2014. Streetlights are closely followed by TV backlights and
spotlights with 27% each; however, streetlights are expected to
dominate the high-power LED market in 2017 (41%), followed by
spotlights (21%) and TV backlights (15%).

“The LED lighting source makes up a small part of the total
material costs, and that is driving growth in high-power LED
shipments,”
said to Steven Sher, LED research analyst at NPD
DisplaySearch. “While prices for high-power LEDs are higher than
prices for typical LEDs, these lighting systems are still
affordable, and demand for energy-efficient, brighter lighting
continues to grow, as energy costs rise.”

NPD DisplaySearch notes that high power LEDs now use ceramic
substrates instead of the polyphthalamide material formerly used in
the manufacturing process. to improve thermal conductivity. The
company also points out that glass lenses have replaced silicone
lenses to reduce humidity.

Luxeon High Power

“Effectively managing the thermal issue is very important for
high-power LED applications, because it influences the reliability
of the technology,”
according to Sher.
“High-power LED boasts excellent sell-through, and we expect to
see an increased penetration rate in the general lighting and
display application category this year,”
Sher said. “Only
a few big LED component makers will continue to dominate the
market, however, including Philips Lumileds, Osram, and Cree.”