TCL force flat panel display LED technology bottleneck is worrying

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TCL Chairman Li Dongsheng

In order to make up for the inadequacy of the lack of flat panel display, TCL Group has recently reported that it has invested 5 billion yuan to invest in Huaxing Optoelectronics and strive to “lead for the next decade”. Among them, the LED backlight module representing the development direction of the display panel is inevitably an indispensable part, but the domestic development status of LED is not optimistic.

From the relevant experts, the LED industry chain is mainly composed of four parts, from upstream to downstream, LED epitaxial wafer growth, chip manufacturing, device packaging and product application, in addition to related supporting industries. In terms of profit distribution, LED epitaxial wafers and chips account for about 70% of the entire industry, and packaging and applications account for about 10-20%. The entry threshold that matches this will gradually decrease from upstream to downstream as profits decrease.

The worrying current situation is that the four components of the industry chain are not balanced across major regions of the world. In the major distribution areas of the LED industry, Asia, North America and Europe, Japan Nichia, Toyota Synthetic, Cree, Lumileds and Osram in Europe control the core technology of LED production. Moreover, US and Japanese companies have formed a market monopoly on epitaxial wafers, chip technology, and equipment manufacturing. Europe is unwilling to take the lead in the field of application.

More than 70% of the more than 3,000 LED companies in mainland China are concentrated downstream, that is, device packaging. And about 10-20% of the profits have been divided by many merchants, and in the end it is also very small. LED epitaxial wafer, chip production core technology and patents are missing, the number of manufacturers is small, mid-range domestic LED epitaxial materials, chips, more than 80% of power LED chips, devices rely on imported industrial structure is not only not conducive to the improvement and development of China's industry, patents The risk of infringement has risen, and the low-end industrial structure is more likely to be subject to people, and finally the formation of the arbitrarily.

The reporter learned from the relevant aspects that with the global warming of the LED industry, the upstream chip suppliers such as OSRAM, Cree and Samsung have expanded their production capacity and increased the procurement of MOCVD equipment (a kind of LED chip core manufacturing equipment). But the reality is that the two MOCVD equipment factories in Germany, Aixtron and Veeco, have monopolized more than 90% of the global market share of MOCVD equipment.

“The MOCVD equipment has experienced severe capacity shortages. At present, the equipment ordering queue must be at least half a year.” Dr. Zhang Xiaofei, CEO of Gaogong LED, believes that the tight supply and demand situation is difficult to alleviate in the short term: “It is not excluded that Aixtron and Veeco are intentionally causing such supply shortage. The purpose of the situation is to monopolize the price. In fact, the upstream price monopoly has shown the transmission effect on the Chinese LED market. Our reporter learned that starting from the first quarter of this year, high-power epitaxial wafers and sapphire substrate materials all showed price increases, with an increase of more than 30%. "With the rise in the price of upstream chips, our profits are also facing squeeze." Feng Jun, chairman of the company, believes that the LED market is a constraint at the beginning of the expansion is the price is high, so this round of cost increases will further Increase market pressure.

Therefore, in the situation of Zhou Shengming, deputy director of the National IC Design Shenzhen Industrialization Base, “China’s home appliance enterprises including TCL and Konka have broken through the bottleneck of development and rushed out of the upstream.” The siege is the biggest challenge it faces.

Today, the LED industry has formed a complete industrial chain in the world. However, the number of companies that have the strength to engage in the entire business of the LED industry chain is limited. Therefore, TCL Group has invested in Huaxing Optoelectronics to make technological innovations and strive to build its own production. The model of sales integration may be a way to practice choice.

In view of the fact that China's LED industry has no leading enterprises, integrating existing resources, avoiding redundant construction, and improving scientific research has become a trend in the development of the industry. "The integration of the mainland LCD panel industry is a matter of time, and there will be deeper cooperation in the flat panel display industry across the Taiwan Strait." Li Yao, chairman of AU Optronics Co., Ltd., said in an interview.

In addition, in the LED development plan, all parties offer suggestions. Jin Guopan, an academician of the Chinese Academy of Engineering and a senior member of the International Society of Optical Engineering, told reporters that "domestic flat-panel companies should not only pay attention to the production of liquid crystal panels, but should consider the localization of details such as diaphragms in backlight modules." He also said that if domestic enterprises pay more attention to some details in the industrial chain, this is good for the healthy development of China's flat panel display industry.

At the same time, the Notice of the National Development and Reform Commission on "Continuing to Organize and Implement the Specialized Industrialization of Color TV Industry Strategic Transformation in 2010" also clearly pointed out that the supporting materials enterprises should enhance their independent innovation capabilities and achieve key supporting materials according to the needs of panel and module manufacturing enterprises. Large-scale production. The "Notice" also clarifies the principles of the liquid crystal display industry, focusing on color filters, polarizers, liquid crystal materials, driver ICs, wet chemicals, targets, backlights (including brightness enhancement films, reflective sheets), etc. The height of the chain determines the development direction of the liquid crystal display industry. Fortunately, China has already produced scales in the development of liquid crystal display supporting industries, such as liquid crystal materials, glass, polarizers, color filters, and backlight modules.

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