The 10th High-tech Forum: Seeing Zhang Xiaofei's Unstoppable Industry Chain Integration
[High-tech LED reporter Long Zonghui] In 2012, China's LED upstream can be described as sorrowful. Almost all the listed companies in the chip, except for relying on the government subsidies, all suffered a year-on-year decline in profits or even losses. In the world's largest LED chip manufacturing base, Taiwan's top ten chip listed companies, in addition to Guang Lei and Guanghong profit, the rest of the manufacturers have suffered different degrees of losses.
In the past few years, the contradiction between cost and price between upstream and downstream has been in existence for a long time. According to the statistics of the High-tech LED Industry Research Institute (GLII), as of the end of 2012, there were nearly 50 epitaxial chip factories in mainland China, which is the largest number of chip companies in all countries and regions in the world. However, it should have relied on epitaxial chips to monopolize the hidden rules of the upstream high-margin semiconductor industry, but it has encountered nails in the Chinese LED chip industry.
The packaging industry in the middle reaches also has a choice of focusing on packaging or expanding into downstream lighting applications. Although similar cases have been common in the past few years, there are only a handful of real open markets for lighting applications. In the eyes of many industry insiders, packaging companies have advantages in lighting first. Secondly, packaging has a stronger understanding of the application side, better understanding of products, and the ability to make cost-effective lighting products that meet market requirements.
However, it is counterproductive. The development of the lighting application market has encountered a channel bottleneck that LED lighting companies are not good at.
In addition to some companies' one-way extension and expansion to their downstream or upstream, there are also a group of companies who have chosen the entire industry chain integration model. Several listed companies with strong scale represented by Dehao Runda, Guoxing Optoelectronics and Sanan Optoelectronics have chosen the whole industry chain integration. In the view of these enterprises, only by mastering the upstream supply and downstream application market can we better adapt to the brutal competition in the future LED lighting market.
The 10th High-tech LED Industry Summit Forum will be held on June 10th at the Shangri-La Hotel, Pazhou, Guangzhou. Dr. Zhang Xiaofei, CEO of Gaogong LED, will give a keynote speech titled Unstoppable Industry Chain Integration. Whether it is the distortion of the upstream, middle and lower reaches of the supply chain, or the contradiction between the lighting manufacturers and the terminal market, or the choice of enterprises before the vertical integration trend, Dr. Zhang Xiaofei will present them one by one.
After the industry turmoil in 2012, the LED lighting industry has ushered in a good momentum of stabilization and recovery since the beginning of this year. In the context of the industry's improved situation, the number of mergers and acquisitions between the upstream and downstream of the industry chain has increased rapidly. For this round of intensive mergers and acquisitions, it shows that the adjustment of the industry pattern based on industrial chain integration has just begun.
Because with the fierce competition in the market and the sharing of resource elements brought about by economic globalization, the products provided by enterprises are becoming more and more homogeneous, so enterprises can no longer maximize profits by increasing sales prices. Compressing costs and expenses has become the only way to achieve corporate goals.
Although in the eyes of many people, to open up the key points of the industry chain and pursue the operation mode of the whole industry chain, providing high-quality LED lighting products to end consumers is the direction of many companies to bet, but ultimately, success or failure requires process and results to test. .
In the past few years, the contradiction between cost and price between upstream and downstream has been in existence for a long time. According to the statistics of the High-tech LED Industry Research Institute (GLII), as of the end of 2012, there were nearly 50 epitaxial chip factories in mainland China, which is the largest number of chip companies in all countries and regions in the world. However, it should have relied on epitaxial chips to monopolize the hidden rules of the upstream high-margin semiconductor industry, but it has encountered nails in the Chinese LED chip industry.
The packaging industry in the middle reaches also has a choice of focusing on packaging or expanding into downstream lighting applications. Although similar cases have been common in the past few years, there are only a handful of real open markets for lighting applications. In the eyes of many industry insiders, packaging companies have advantages in lighting first. Secondly, packaging has a stronger understanding of the application side, better understanding of products, and the ability to make cost-effective lighting products that meet market requirements.
However, it is counterproductive. The development of the lighting application market has encountered a channel bottleneck that LED lighting companies are not good at.
In addition to some companies' one-way extension and expansion to their downstream or upstream, there are also a group of companies who have chosen the entire industry chain integration model. Several listed companies with strong scale represented by Dehao Runda, Guoxing Optoelectronics and Sanan Optoelectronics have chosen the whole industry chain integration. In the view of these enterprises, only by mastering the upstream supply and downstream application market can we better adapt to the brutal competition in the future LED lighting market.
The 10th High-tech LED Industry Summit Forum will be held on June 10th at the Shangri-La Hotel, Pazhou, Guangzhou. Dr. Zhang Xiaofei, CEO of Gaogong LED, will give a keynote speech titled Unstoppable Industry Chain Integration. Whether it is the distortion of the upstream, middle and lower reaches of the supply chain, or the contradiction between the lighting manufacturers and the terminal market, or the choice of enterprises before the vertical integration trend, Dr. Zhang Xiaofei will present them one by one.
After the industry turmoil in 2012, the LED lighting industry has ushered in a good momentum of stabilization and recovery since the beginning of this year. In the context of the industry's improved situation, the number of mergers and acquisitions between the upstream and downstream of the industry chain has increased rapidly. For this round of intensive mergers and acquisitions, it shows that the adjustment of the industry pattern based on industrial chain integration has just begun.
Because with the fierce competition in the market and the sharing of resource elements brought about by economic globalization, the products provided by enterprises are becoming more and more homogeneous, so enterprises can no longer maximize profits by increasing sales prices. Compressing costs and expenses has become the only way to achieve corporate goals.
Although in the eyes of many people, to open up the key points of the industry chain and pursue the operation mode of the whole industry chain, providing high-quality LED lighting products to end consumers is the direction of many companies to bet, but ultimately, success or failure requires process and results to test. .
Die casting is a metal casting process, which is characterized by the use of mold cavity to apply high pressure to melted metal. Molds are usually made of higher strength alloys, a process somewhat similar to injection molding. The cost of casting equipment and mould is high, so it is easy to manufacture die-casting parts, so the single cost is very low, so it is especially suitable for manufacturing a large number of small and medium-sized castings. Therefore, die casting is one of the most widely used casting processes.
Die Casting Process,Odm Aluminium Die Casting,Suction Pump Die Casting Part,Gravity Aluminium Die Casting
Dongguan Formal Precision Metal Parts Co,. Ltd , https://www.formalmetal.com