Positive predictions for LED market growth
The Strategies in Light event, which is the premier conference for the LED industry, concluded last week. During one of the event's many sessions, LED expert Bob Steele made some predictions for the market in 2010.
Mr Steele spoke extensively about the high-brightness LEDs that are being developed and said that the market as a whole is set to grow by 53 per cent in 2010. He also estimates that by the year 2014 the industry will be worth over ï¿½12.8 billion, a growth rate that has never before been experienced within the LED industry.
Before 2009 began, many experts were convinced that the global recession would have an impact on LED sales and a decline of 9 per cent was predicted. But despite losses in the automotive industry, the market managed to grow by a significant 5 per cent. Mr Steele became one of the many experts to recognise the contribution of LED backlighting for television technology to this resurgence towards growth.
Mr Steele was more conservative than some of his contemporaries when forecasting the growth in LED backlighting throughout 2010, saying that previous estimates of ï¿½39 million in sales were a little overzealous and that his own figure would be closer to ï¿½22 million. One reason for this reassessment of the estimate is because there are fears that supplies of LEDs will be insufficient to meet the demand.
LED illumination is also set to grow significantly according to Mr Steele. The construction industry was hit by the recession in 2009, but higher demand this year should see a 32 per cent rise in the LED lighting industry.
Interestingly it is the replacement of older lamps with new LED systems that is expected to provide the most significant revenue stream in the near future, according to Mr Steele's five year forecast.