With the continuous improvement of technical indicators such as dot pitch, stability, grayscale, and brightness, LED displays are also showing their unique advantages in more and more fields. According to the current market development, LED displays will still be For a long time to maintain a strong room for growth, but it will also encounter problems in the development of all industries.

R&D and technical barriers

As a high-tech industry, the LED display and lighting industry involves multiple 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 individualized production, they have high technical requirements for production process, quality control level and stability. Any problem in any link of production may affect the quality, life and performance of the product.

Financial barriers

The LED display and lighting industry is a capital-intensive industry, and small companies with low automation cannot guarantee product quality and production capacity, so they can only conduct pure price competition in the low-end market. In the current market environment, to participate in bidding to undertake large-scale projects, it is necessary to invest in advanced machinery and equipment to improve production capacity and technical levels. In addition, the general production mode in the industry is production plus engineering installation. The engineering installation process leads to a long capital return cycle, low asset turnover efficiency, and high capital scale requirements.

National industrial policy support

A number of industrial policies proposed by the State Council, the Ministry of Science and Technology, the 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 industrial chain is becoming more and more complete, creating good conditions for enterprises in the industry to improve their competitiveness and participate in international competition. It is expected that a number of companies with independent intellectual property rights and core competitiveness will emerge in China. Backbone enterprises.

Wide range of product applications

Various LED applications are in the ascendant. Domestic LEDs have gradually formed hundreds of LED application products such as indication, signal and display, backlighting, etc., which are widely used in landscape decorative lighting, large-screen displays, traffic lights, home appliances digital displays and indicators, and 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, agriculture and other fields. The steady growth of the market share of various LED applications and the continuous emergence and development of emerging application fields have created a good market space for the development of the LED industry.