Business News | Oct 07, 2009

Joint Venture Established for Manufacture of Glass Lenses for LEDs

Germany-based Evonik Industries AG and Taipei, Taiwan-based Cristal Material Corporation have formed a new joint venture to manufacture high-quality glass lenses for next-generation LEDs, which will marketed under the Savosil™ brand. The Evonik Cristal Materials Corporation joint venture will complement Evonik's strategy as a solution provider to the lighting industry while providing Cristal Material Corporation access to a highly innovative market.
 
"The LED market will see many new areas of application open up. Evonik Cristal Materials Corporation will help its customers develop new technologies faster, technologies such as UV LEDs to sterilize water, LEDs in automobiles, and LEDs for general lighting," said Patrik Wohlhauser, chairman of Evonik Degussa GmbH's management board. "Participating in the joint venture offers Evonik an attractive opportunity for forward integration along the entire supply chain in the growing LED market," added Wohlhauser. The lenses produced by the joint venture will be sold to LED manufacturers.
 
The LED lenses will be produced using Evonik's patented SiVARA™ Sol-Gel technology, which allows glass lenses of consistent quality to be manufactured in any desired shape. The process recently received the Frost and Sullivan European Technology Innovation Award.
 
Compared to conventional light sources, such as incandescent lamps and energy-saving lights, LEDs are much more energy efficient, last longer, and offer many new design possibilities. Because of these advantages, LEDs are increasingly used in many different lighting applications. For these reasons, Thomas Hermann, head of Evonik's Inorganic Materials Business Unit, sees great business opportunities, "The LED evolution is here, with market growth rates expected to exceed 20 percent. We strongly believe LED will become an everyday effective lighting solution and allow everyone to contribute to reduced energy consumption." This growth in demand for LED is driven by the Green Lighting trend—in other words, lighting marketed as environmentally friendly. Underlying legal conditions, such as banning incandescent light bulbs or legally requiring cars to drive with lights on during the day will also help this positive development.
 
Ershien Tsai, chairman and founder of Cristal Material Corporation, shared this view. "Glass produced by the SiVARA™ Sol-Gel technology is an ideal LED optics solution and is highly reliable," said Tsai. It also offers the phosphorous in the lenses outstanding protection against humidity and heat during operation and is thus ideal for outdoor lighting. Tsai is pleased with the cooperation and the speed with which Evonik formed the joint venture.
 
About Evonik:
Evonik Industries is the creative industrial group from Germany which operates in three business areas: Chemicals, Energy and Real Estate. Evonik is a global leader in specialty chemicals, an expert in power generation from hard coal and renewable energies, and one of the largest private residential real estate companies in Germany. Our strengths are creativity, specialization, continuous self-renewal, and reliability. Evonik is active in over 100 countries around the world. In its fiscal year 2008 about 41,000 employees generated sales of about €15.9 billion and an operating profit (EBITDA) of about €2.2 billion.

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