Linfen Hui, an analyst and project manager of DIGITIMES Research, estimates that the LED industry’s revenue performance in the third quarter of this year will grow by more than 20% from the previous quarter. Lin Fenhui pointed out that the utilization rate of the second quarter has been increased. It is estimated that the peak shipments of LED manufacturers will be from July to August, and will also bring the growth rate of the third quarter to more than 20%. Among them, the growth rate of lighting applications. Larger than the backlight application, the main reason is that the LED industry wants to increase lighting application revenue, to make up for LEDTV application revenue is not as expected earlier.
In terms of average LED prices, Lin Fenhui analyzed that the price decline in the third quarter will be smaller than that in the second quarter, and is expected to decline by 5% to 10%. Among them, the high-level LED product prices will be more stable; however, it is worth noting that the mainland Sanan Optoelectronics is expected to start selling middle and low-order LED chips in Taiwan in the second half of 2011, which will cause the prices of these products to decline more. Although Taiwan factory prices are likely to face pressure from the mainland industry, the price of sapphire substrates (calculated on a 2-inch basis) will decline significantly in the third quarter. On the whole, the sapphire substrate will drop to approximately US$20 from the beginning of 2011, which will be positive for the LED industry's gross margin.
In terms of average LED prices, Lin Fenhui analyzed that the price decline in the third quarter will be smaller than that in the second quarter, and is expected to decline by 5% to 10%. Among them, the high-level LED product prices will be more stable; however, it is worth noting that the mainland Sanan Optoelectronics is expected to start selling middle and low-order LED chips in Taiwan in the second half of 2011, which will cause the prices of these products to decline more. Although Taiwan factory prices are likely to face pressure from the mainland industry, the price of sapphire substrates (calculated on a 2-inch basis) will decline significantly in the third quarter. On the whole, the sapphire substrate will drop to approximately US$20 from the beginning of 2011, which will be positive for the LED industry's gross margin.
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