Brief description of the pros and cons of the LED display industry

With the continuous improvement of technical indicators such as dot pitch, stability, gray scale, brightness, etc., LED displays are also showing their unique advantages in more and more fields. According to the current market developments, LED displays will continue to It has maintained a strong growth space for quite a long time, but it will also encounter problems in the development of all industries. This article will talk about the current barriers and favorable factors of the LED display industry.

Four barriers to LED display

1. R & D and technical barriers

As a high-tech industry, LED display and lighting industry involves many disciplines such as optics, thermals, materials science, electronics, computers, software, automation, mechanical engineering, and decorative arts. Technical barriers. At the same time, because LED products are mostly customized and personalized, they have high technical requirements for production technology, quality control level and stability. Problems in any part of production may affect the quality, life and performance of the product.

2. Capital barriers

The LED display and lighting industry is a capital-intensive industry. Small enterprises with low automation can not guarantee product quality and production capacity, so they can only compete in price in the low-end market. In the current market environment, to participate in bidding to undertake large-scale projects, you must invest in advanced machinery and equipment to improve production capacity and technical level. In addition, the industry's common production mode is production plus engineering installation. The engineering installation process leads to a long capital return cycle, low asset turnover efficiency, and high requirements for capital scale.

3. Market and brand barriers

Entering the LED display and lighting industry will face a series of market and brand obstacles. First of all, major projects such as LED display screens have high requirements on the qualification and scale of production enterprises. Manufacturers who already have brand awareness and have successful cases of large projects are more likely to obtain orders. It is difficult for ordinary enterprises without the success stories of large-scale projects and brand awareness to participate in the mainstream product market competition. Brand-type enterprises have strong technology, advanced equipment, rich project experience, perfect after-sales service system and good reputation. Their typical project sample screens are very persuasive, and ultimately win customers.

4. Talent and experience barriers

The LED display and lighting industry involves the comprehensive application of multiple technical disciplines. Its manufacturing technology integrates semiconductor optoelectronic technology, electronic circuit technology, integrated circuit technology, information image processing technology, information transmission technology, computer network technology, electronic product manufacturing technology , Installation engineering technology, optics, chemistry, electromechanics, materials and other disciplines. The manufacturing process is complex and delicate, including a series of process processes and control technologies. Therefore, it is necessary to have a group of masters in optics, semiconductors, electronics, materials, Talent team with professional knowledge and rich experience in the fields of chemistry, automation and control.

LED products are used in many industries and fields, and a deep understanding of the individual needs of each application field is required to form a mature industry application solution system.

In addition, talents with industry management and marketing experience are also indispensable. The technical team, management, and marketing team must undergo long-term cultivation, accumulation, and integration to form an organic system. Therefore, talents and experience form the LED display and lighting industry and enter Important barriers

Four advantages of LED display

1. National industrial policy support

A number of industrial policies proposed by the State Council, Ministry of Science and Technology, Development and Reform Commission and local governments have played an important role in promoting the development of the entire LED industry and the optimization and upgrading of the industrial structure. Under the background of industrial policy support, the scale of the industry is expanding and the industry chain is becoming more and more complete, creating good conditions for companies in the industry to improve their competitiveness and participate in international competition. A number of domestic companies with independent intellectual property rights and core competitiveness are expected to emerge Backbone enterprises.

2. Wide range of product applications and broad market prospects

Various applications of LEDs are in the ascendant. Domestic LEDs have gradually formed hundreds of LED application products such as indications, signals and displays, backlighting, etc., which are widely used in landscape decoration lighting, large-screen display, traffic lights, household appliances digital display and indicator lights, automotive lights , Mobile phones, digital cameras, computers, LCD TV backlight and other fields. With the development of technology, LED has also appeared in new application directions, such as aerospace, medical, agricultural and other fields. The market share of various LED applications has grown steadily and the continuous emergence and development of emerging application fields have created a good market space for the development of the LED industry.

The national infrastructure will further expand the bulk of demand. In the future, China will accelerate the construction of affordable housing projects, accelerate the construction of rural infrastructure, accelerate the construction of major infrastructure such as railways, highways and airports, and accelerate the reconstruction of earthquake-stricken areas. . These major investments will generate a large demand for various LED application products including display screens, special lighting, general lighting, landscape lighting, etc.

3. The industry's technology continues to advance, and the cost reduction will boost industry demand

At present, subject to the cost of mid-to-upstream LED core devices, the price of mid-to-high-end LED display products is relatively high, which forms a certain obstacle to the large-scale promotion of display applications. The depth will be further expanded, and the market substitution effect will be released to a greater extent. The LED industry chain will achieve benign interaction between the upstream and downstream, new products and new technologies will be promoted and applied quickly, the market of the display application industry will be further subdivided, and the market capacity of the entire industry will be further improved.

4. The downstream industry standards are constantly improved, and standardized development becomes the direction

As the application scope of LED display application products becomes more and more extensive, its downstream application areas such as outdoor advertising and sports venues have gradually established relevant management regulations. "Nanjing outdoor electronic display screen management regulations", the State Sports General Administration also promulgated the "use requirements and inspection methods of stadium equipment.

With the rapid growth of the national economy,the contradition between the supply and the demand of energy is becoming more and more prominent in China.
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