To review the survival of the LED industry in recent years.
2016: demand reversal, manufacturers crop rate rebounded, chip supply exceeded demand, manufacturers have opened expansion plans.
2017: industry upturn, most manufacturers are in stockpiling, hoarding, price increases, shortages of such exuberant demand to ramp up the crazy expansion of production.
2018: the industry was overexpanded backfire, order cancellation, high inventory, pledges burst, cash exhausted endlessly.
2019: trade wars hit and miss, the real economy is sluggish, demand has plummeted and the industry is in difficulty.
And was given high hopes for the year 2020, but at the beginning of the whole industry deeply appreciate what is called “no most difficult, only more difficult”.
The year 2020, the year of the Gengzi rat. This is the beginning of a new decade, but the whole of humanity has encountered an unprecedented event.
However, we also have to admit that the new crown virus has brought a great impact on people’s lives, but it has also brought great changes to the industry.
The struggle on the line of life and death in knowing the difficulty of “epidemic”
In 2018, Yu Liang, chairman of Vanke, shouted out the slogan of “Live” at Vanke’s regular internal autumn meeting, and a slogan of “Life” was printed on the meeting site. Two years later, probably even Yu Liang himself did not expect that this phrase would become the common top agenda of global enterprises in 2020.
The LED industry is naturally no exception. The impact of the epidemic, LED companies at home and abroad had to face the ensuing business pressure, including the United States Hubbell, Xinfei, Long’s appliances, and other LED companies, have announced to take pay cuts, layoffs, and other means to reduce operating costs.
The epidemic is a hurdle, there are across the past, naturally there is not across the past. According to the Daily LED editorial incomplete statistics, as of today, since 2020, there have been more than 50 lighting and lighting companies into bankruptcy liquidation stage, including Jiaxing’s largest foreign-related enterprises – Zhejiang ReneSola Energy Co. It is reported that Zhejiang ReneSola Energy Co., Ltd. is a wholly-owned subsidiary of ReneSola Ltd (a company listed on the New York Stock Exchange), with a registered capital of $550.51 million (about RMB 362.059 million).
On the other hand, recently, news of personnel changes in companies including Osram, Lundvance, Guoxing, Foshan Lighting and Ocean King have been coming in continuously. And in the previous March-April, there were several cases of senior resignations: On March 23, Opple Lighting issued an announcement announcing the resignation of Mr. Qi Xiaoming, the company’s deputy general manager; on April 13, Foshan Lighting’s board of directors received a written resignation report from Lv Wei, an independent director of the company; on April 25, Guoxing announced the resignation of directors and senior management about… …
Or “old” resignation, or “new” officers, LED companies internal leadership team “blood” frequently, which is also considered a symptom of industry turmoil it!
Industry change The new blue ocean under the epidemic
God closed a door for you, will certainly open a window for you. Under the epidemic, the LED industry has undergone some changes.
In terms of sales model, since the rise of online shopping platforms, lighting companies have entered the e-commerce channel; and since the spread of the epidemic, Rays, Oppel, Woodland, Sanxiong Aurora, Sunshine Lighting, Foshan Lighting, and a large number of LED lighting companies are beginning to test the water live with goods. In this year’s double 11, live is a big source of revenue for lighting enterprises, including, Rays Lighting CEO Lin Liangqi disguised as the “strongest product spokesman”, personally on the line to explain the product; and live a sister Via double 11 night live Rays Lighting table lamp, 1 minute sold out 50,000 units!
Office mode, the home office is gradually promoted and recognized, driving the application and promotion of LED large screen in the business sector; at the same time, due to the extended home time, the consumer side began to pay attention to the health of lighting. 2020 December 4, in the Yangtze River Economic Belt semiconductor lighting industry cooperation summit, the national semiconductor lighting project research and development and industry alliance vice president Dou Linping said, by the home office trend influence, in LED export lamps and lanterns, indoor lighting began to gradually recover in April, earlier than other areas.
Because the new crown virus is sensitive to ultraviolet light and heat, ultraviolet sterilization has become a big hit under the epidemic, where UVC LED ultraviolet lamps with its small size, low power consumption, environmentally friendly, instant light, etc., has become the focus of major enterprises to pursue, and the range of applications are endless: Rogeland will be UVC LED into the mask, Bolb will be UVC LED for the disinfection of protective clothing for medical personnel, the MEDIK launched UVC LED mask disinfection box, SAIC Group put into production UVC “kill” car air conditioning. In order to standardize industry standards and promote industry development, Shenzhen Lighting and Display Engineering Industry Association, together with 46 research institutions, colleges and enterprises, developed the “GUV LED Sterilization Sterilization Device Technical Specification” group standard. The standard adopts light quantum theory to explain sterilization and disinfection, which is the first of its kind in the world. The standard was officially released on September 24, 2020, and officially began to be implemented on October 1, 2020.
Rebirth of Nirvana Finding development in the gap between danger and opportunity
It is worth noting that the epidemic has not been able to block the road to IPO for LED companies. According to the daily LED small statistics, at present, the list of IPO of lighting enterprises has increased to 16, respectively, for Dragon Lighting, Lyle Technology, Starlight treasure photoelectric, Le of the United States, Ming Microelectronics, Golden Oriental Intelligence, Suijing photoelectric, Rong Wanjia, Minbang photoelectric, Yeelight easy to come, Mei Zhi photoelectric, Blue Arrow Electronics, Song Sheng shares, Lida letter, gold lighting, new Yichang, Purple Lighting, Minbang photoelectric, etc.. And in this year, the successful listing of LED lighting enterprises has seven, respectively, the Bull Group, Core Reach, Hoyo shares, Semiconductor Manufacturing International, Space and Time Technology, Acme shares, Roman shares.
In addition to the IPO, this year, the major LED companies have not weakened their investment enthusiasm, and “firepower” mostly focused on Mini/Micro LED, ultraviolet sterilization, the third generation of semiconductor field.
Huashan intends to raise 1.5 billion yuan, invest in the construction of the Mini/Micro LED, GaN power device project.
Refund Optoelectronics 1 billion to increase the Mini/Micro LED project.
1 billion to invest in Mini/Micro LED, automotive flip-chip, high power LEDs, etc.
Satan joined hands with TCL Huaxing to set up a joint lab to focus on Micro LED ……
MUFON 666 million yuan to set up a deep ultraviolet project company, the main focus of the ultraviolet sterilization industry.
Jiuquan shares to raise not more than 500 million yuan for ultraviolet disinfection equipment projects and involves live banding.
Guoxing invested 1.9 billion, focusing on LED intelligent car lights, ultraviolet sterilization, and other fields ……
Light put shares to contribute 75 million to participate in the investment of industrial investment funds to accelerate the company’s strategic layout in the third generation of semiconductor optical applications landing;
Three Ann photoelectric investment of 16 billion to establish a subsidiary to invest in the construction of the third generation of semiconductor research and development and industrialization projects.
Huashan photoelectric academician workstation in Yiwu manufacturing base was officially inaugurated, to help Huachan photoelectric in the third generation of semiconductor materials and devices to accelerate the core technology ……
Standing today, but the future has come! The epidemic has accelerated the pace of change in the industry and has had a profound impact on the industry, the economy, and human society.
The year of Gengzi has reached the end of its journey. The dawn brought by self-improvement, self-reliance, and struggle will finally illuminate those darkest moments in 2020. This year is an extraordinary footnote in life, an important point in history that cannot be repeated.
Looking back, all the way to perseverance.
Looking to the future, the spirit of fighting is high.
At the beginning of the year, a thousand people will gather to pay tribute to every extraordinary self!