Jingdian proposes to build its own internal supply chain and quickly form alliances with mainland manufacturers.

Recently, the person in charge of Jingdian said that the LED backlight market will take economies of scale in the future, and the trend of the big ones is obvious. Together with the major brand factories starting to build their own internal supply chains, the opportunities for Taiwanese factories will become smaller and smaller. It is recommended that Taiwanese factories should form alliances with the branded panel factories in the Mainland as soon as possible.

Jingdian believes that the penetration ratio of Mobile and PC backlights has reached saturation in advance in 2011, and there will be no growth in the future. There is no place to expect. On the contrary, TV and display backlight penetration will grow greatly this year. It will reach 71% and 67% respectively, which is also a product with a large supply from Taiwan. However, the growth rate of penetration will gradually slow down from 2012. It is estimated that it will grow to 84% in 2013 and over 90% in 2014. Therefore, there will not be much room for LED factory in the next step.

Panel brands such as Samsung, LG, and AUO have started to build their own internal supply chain from the upstream chip and midstream package. The procurement strategy has also changed to the internal supplier priority. The Taiwanese manufacturer's supply chain will be affected. The space for the plant to be able to lock in the future will be smaller.

And AUO's internal supply chain is Ronda. The company adopts a one-stop production model, from chip manufacturing, packaging components, modules and so on. Backlight products account for about 50~60% of revenue. The products shipped to AUO currently account for about 60% of the shipments of backlight products, which brings stable seaports to Ronda backlight products.

Jingdian pointed out that in the future, LED manufacturers need to have the advantages of large capacity, stable products and leading technology in the backlight business. As the mainland panel factory gradually becomes the mainstream of the market, Taiwanese factories must form an alliance with the mainland brands and panel factories. Its strategic partnership to grasp the LED backlight market in transition.

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