Suppliers strengthen LED industry chain

摘要

Taiwan's LED manufacturers continue to strengthen the components and service segments while pushing for vertical integration. This is to enhance competitiveness against mainland China and South Korea counterparts. Local companies are eyeing the lighting sector, which is expected to achieve higher growth in coming years as the backlighting segment enters a slow phase due to maturity. Suppliers are taking advantage of the island's strong upstream network. This is because a diode-based lamp consists of a chip, packaging, optics, board, heat sink, driver, control software and service, power supply and housing fixture. The first two each make up 30 percent of the total costs, and the housing 20 percent.