Global LED Packaging Market Poised for Steady Growth—Projected to Reach worth USD 23.0 Billion in 2027
Published | 27 October 2021
LED packaging is experiencing high growth in the market. Growing applications for LEDs in various end-user industries, such as automotive, backlighting, and others, is driving the global LED packaging market…
A study, recently conducted by the strategic consulting and market research firm, BlueWeave Consulting, revealed that the global LED packaging market was worth USD 16.9 billion in 2020 and is further projected to reach USD 23.0 billion by 2027 at a CAGR of 4.6 % during the forecast period (2021-2027). The increased usage of LEDs in various end-user industries like automotive, backlighting, and others is fueling the growth of the LED packaging market. The surging demand for high power grade LED packages for lighting applications, increasing demand for LED packages in the display panel market, and rising interest from governments worldwide is powering the LED packaging market. Also contributing to the growth of the LED packaging market are stringent regulations for energy-efficient LEDs as well as the burgeoning demand for smart lighting solutions.
Increasing adoption of CSP (Chip Scale Package) LEDs in Automotive Industry is Creating Lucrative Opportunities for the Market
CSP (Chip Scale Package) LEDs are used for interior and external illumination and display panel backlighting in automobiles. Due to the surge in interest of automobile manufacturers in CSP LED packages and modules, the adoption of CSP LEDs for the automotive industry has gained traction globally.
CSP LEDs provide automakers the dependability and flexibility they need to create unique external and interior lighting systems. In the coming years, demand for new LEDs that offer superior night vision and enhanced side visibility is likely to outpace demand for existing LEDs. CSP LEDs are typically found in ambient lighting, headlights, cabin illumination, indication lights, driver monitoring systems, headlight clusters, and parking-assistance camera lights in automobiles.
Global LED Packaging Market: By Package Type
The global LED packaging market is categorized as SMD (Surface Mount Device Package), COB (Chip On Board Package), CSP (Chip Scale Package), and others. SMD (Surface Mount Device Package) has accounted for a significant market share in 2020 and is likely to dominate the segment during the forecast period. SMD LEDs have a wide range of applications and can handle chips with complex designs with ease. Due to their higher energy efficiency over other conventional light sources, SMD LED packages used in luminaires are becoming increasingly popular. In addition, a significant decrease in the price of SMD LEDs has contributed to the growth, making them more affordable to customers. As LED packages become more flexible and versatile, their popularity is expected to grow rapidly in the future.
Request For Free Sample Report @ https://www.blueweaveconsulting.com/report/led-packaging-market/report-sample
Global LED Packaging Market: By Wavelength
Based on wavelengths, the global LED packaging market is categorized into visible & infrared and deep UV. Out of these, the visible & infrared segment held the largest market share in 2020 and is likely to dominate the segment during the forecast period as well. Visible LEDs are used in nearly all lighting applications, including residential illumination, commercial illumination, auto lighting, and outdoor lighting, to name a few. The concept of human-centric lighting is the latest trend in the visible LEDs segment. Human-centric lighting enhances wellbeing, mood, and health via modulation of directions, correlated color temperatures (CCTs), and illuminance. These lighting solutions can increase concentration, safety, and efficiency in the workplace and in education.
Leading LED packaging companies like OSRAM and Seoul Semiconductor are developing packages that can be tuned to human circadian rhythms and emotional needs. A growing demand for human-centric lighting has opened up new business opportunities for LED package manufacturers.
Impact of COVID-19
The global economy was impacted by disruptions in demand and supply during COVID-19. As a result of the COVID-19 outbreak, leading LED package suppliers such as OSRAM and Seoul Semiconductor suffered significant losses. Both companies recorded revenue declines of roughly 9% and 10% in the first half of 2020, respectively, compared to the previous year. The governments of many nations also had to reduce spending in many sectors to maintain their healthcare system, which affected the demand for LED packages.
Asia-Pacific Leads the Global LED Packaging Market
Asia Pacific has dominated the LED packaging market in 2020 and is projected to maintain its dominance throughout the forecast period (2021-2027). This can be attributed to the increased adoption of high-end consumer electronics in China and Japan, including wearables and smartphones. Micro LED and flash LED packages are becoming increasingly popular for these products. Furthermore, Asia Pacific has established itself as a global center for major investments and business expansion. The need for smart street lighting is likely to be driven by the modernization and development of infrastructure such as smart cities across the Asia Pacific, which would boost the market for LED packages in the region.
Global LED Packaging Market: Competitive Landscape
The global LED packaging market is highly fragmented due to the numerous global players involved in the market. New product development, expansion, and acquisitions can help companies stay competitive in the market. Several companies are acquiring overseas producers in order to expand their global presence.
Some key players in the global LED packaging market are Cree Inc., AlphaLED, Samsung Corporation, Osram Licht AG, Nichia Corporation, Toyoda Gosei Co. Ltd., Seoul Semiconductors Co. Ltd., Stanley Electric Co. Ltd., Philips Corporation, Everlight Electronics, LG Innotek, Epistar, Stanley Electric, Honglitronic, Lextar, Prolight, Edison, Schott, and Other Prominent Players.
In November 2020, Lumileds and BIOS Lighting, a leader in the biological application of LED lighting, collaborated to develop a new SkyBlue LED that doubles the performance of previously available chips. The new 3030 mid-power LED lowers the barrier of development for luminaire manufacturers by lowering the lumen per dollar requirement, allowing for better and healthier lighting options.
The in-depth analysis of the report provides information about growth potential, upcoming trends, and statistics of the global LED packaging market. It also highlights the factors driving forecasts of total market size. The report promises to provide recent technology trends in the global LED packaging market, along with industry insights to help decision-makers make sound strategic decisions. Furthermore, the report also analyzes the growth drivers, challenges, and competitive dynamics of the market.
BlueWeave Consulting provides all-inclusive Market Intelligence (MI) Solutions to businesses regarding various products and services online & offline. We offer comprehensive market research reports by analyzing both qualitative and quantitative data to boost up the performance of your business solution. BWC has built its reputation from the scratches by delivering quality inputs and nourishing long-lasting relationships with its clients. We are one of the promising digital MI solutions companies providing agile assistance to make your business endeavors successful.
BlueWeave Consulting & Research Pvt. Ltd
+1 866 658 6826 | +1 425 320 4776 | +44 1865 60 0662
Recent Press Releases
- Global Metal Cans for Food and Beverage Market is Forecast to Touch USD Billion by 2027, Growing at a CAGR From 2020 to 2027
- India LED Packaging Market Growing at a CAGR of 5.4% in 2021-2027
- Global LED Packaging Market Poised for Steady Growth—Projected to Reach worth USD 23.0 Billion in 2027
- Vietnam LED Packaging Market Witnessing Steady Growth: Projected to grow at a CAGR of 5.0 % by 2027
- Asia Pacific Glass Packaging Market to Grow at 5% through 2028
- Japan LED Packaging Market is Growing at a CAGR of 4.5 % in 2021-2027