Taiwan LED chip and packaging factory's December revenue generally declined

According to LEDinside, a research department of TRENDFORCE, the total revenue of LED manufacturers in Taiwan in December 2010 was about 8.261 billion yuan (MoM-2.85%, YoY+25.9%). Looking back at the LED industry finishing performance, since 2009, the overall LED industry, whether it is the epitaxial plant, or the packaging factory, with the support of enterprises, governments, and local policies, the LED backlight market is particularly eye-catching, and will be affected in the second half of 2010. The inventory adjustment of the TV brand factory affects the performance in the second half of the year, and only a few manufacturers benefit from the transfer effect brought about by the appreciation of the yen.

From the December revenue, due to the impact of the year-end inventory, most LED manufacturers generally fell. In addition to the exchange loss of the depreciation of the US dollar, the fourth quarter revenue decline was 20% to 30% compared with the third quarter.

Looking forward to 2011, LEDinside will have an opportunity to increase the purchase and purchase of LED LCD TVs and tablet PCs during the Chinese Lunar New Year. In particular, in the CES 2011 exhibition, various manufacturers have launched tablet PCs. In addition, under the active promotion and promotion of LED LCD TVs by TV brand factories and the continuous stocking, the demand for LED backlights has gradually increased; the current retail price of LED LCD TVs has been significantly reduced compared with the launch of the third quarter of 2009. Half will help push up the penetration of 2011 LED-backlit TVs.

LED chip factory's December revenue is affected by material costs, and gross profit is eroded

In December, Taiwan's overall upstream chip factory revenue was 3.796 billion, down 5.7% from November's revenue (YoY+23.7%). Affected by the demand for LED backlights, many manufacturers began to recover their revenues. The performance of the new century has shown steady growth over the past year and continues to record high.

LEDinside pointed out that for LED epitaxial wafers, the price of LED chips in Q4 in 2010 continued to decline by 15-20%, and the price of sapphire substrate and MO Source is still high, and the impact of gross profit is greater.

LED packaging plant December revenue decreased by 0.3%, an increase of 27.8%, expecting new applications to bring orders

In the downstream LED packaging Taiwan factory, the overall LED packaging factory revenue in December 2010 reached 4.47 billion yuan (MoM-0.3%, YoY+27.8%). Overall, under the competition between Japanese and Korean manufacturers, Taiwan's packaging plants are under pressure in the field of LED-backlit TVs, and the progress is not as fast as expected.

LEDinside observation, so many LED packaging manufacturers are expecting other niche-type application product order effects, such as tablet PCs, pico projectors, or lighting applications, have successively become the star products of 2011, is expected to increase LED demand.

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