News-Spot | Business News | May 19, 2014

Memoori Predicts Global Market for LED Lighting in Buildings To Reach $10.3 Billion by the End of 2014

Memoori estimates that revenue from the global LED Lighting market for buildings hit $8.1 billion in 2013 and will rise to around $10.3 billion by the end of 2014. The market will have grown still further to total almost $23 billion by 2018. This represents a compound annual growth rate (CAGR) in the overall market of 22.8% over the 6-year period. Beyond the time frame of this report, revenue growth will slow as cost competition intensifies; with the size of the LED lighting market expected to level off by around 2020.

172 pages and 55 charts and tables demonstrate all the key facts and draws conclusions:
•    Lamp and luminaire prices have continued to decline, although perhaps not at a rate once predicted as suppliers attempt to protect margins and build brand value.
•    Cost reductions and product innovations have continued steadily, but without any ground-breaking revelations, the improvements have been more iterative.
•    Overcapacity concerns are easing as the global market grows, but this comes too late for many Chinese manufacturers with debt-laden balance sheets.
•    The major players have set out their strategic stalls and many are increasingly focusing on product portfolios dominated by LED Lamps and Luminaires.
•    2013 sales of LED lighting fell below market expectations in many regions, but growth was still healthy, and restrictions to the sale of incandescents in the majority of developed markets will help spur growth moving forward.

The last 12 months have been an interesting time for those involved with the LED Lighting market, after years of hype surrounding the future around the potential of LED lighting for building applications, we are seeing the early days of full scale market implementation. Investor expectations have been high, but in several cases have not been achieved, and continued sluggish growth in global GDP has set back projections for market penetration.

A combination of continued consumer confusion over the benefits of LED lighting, a slow decline in sale prices and lower than expected global GDP growth meant that 2013 revenue growth for LED lighting was disappointing. However oversupply concerns are likely to ease towards the end of 2014 as capacity is absorbed by a steady increase in global demand.

The significantly longer lifespans of LED lighting products will, over the period to 2018 begin to erode the value of the replacement market for lighting. This in turn will lead to a reduction in revenue from sales of traditional replacement bulbs and leading suppliers in these markets will continue to diversify into LED fixtures and complete lighting solutions to compensate for the decline.

The major players such as Philips, OSRAM, CREE, Acuity and GE have set in place their strategies to retain a large slice of the market as the LED Lighting business grows. Ever increasing amounts of their revenues are coming from LEDs rather than traditional technologies.

For more information about memoori an the report(s), please visit
http://www.memoori.com
http://www.memoori.com/research/
http://www.memoori.com/portfolio/led-lighting-in-buildings-2014-to-2018/

About Memoori:
Memoori is committed to providing information on innovation. Our services help companies in collecting and disseminating information throughout their organisation; giving a clear and consistent view of new technology developments, new research and activity in important adjacent markets.

FEATURED

Nichia UV LED Technology Supports Evolving Markets

Nichia UV LED Technology Supports Evolving Markets Nichia, a leading global specialist in LED technology, is now aiming to extend its dominance to the UV market following its impressive showcase at the recent RadTech 2020 conference and exhibition in Orlando, Florida, USA. The company's latest solutions remain ideal for curing applications, but an ... Read more »

FEATURED

TLCI + CRI 90-95 LEDs for Broadcast Illumination

TLCI + CRI 90-95 LEDs for Broadcast Illumination Optimize sports lighting for broadcast videography with the best possible illumination for eyes and cameras. Cree XLamp XP-L2 and XHP50.2 LEDs provide a natural "daylight" experience to indoor & night events while reducing the lighting intensity and manual color correction needed for excellent ... Read more »

EDITORIAL

Advanced "Super-Planckian" Material Exhibits LED-Like Light When Heated

Advanced "Super-Planckian" Material Exhibits LED-Like Light When Heated Could there be a new kind of light in the universe? Since the late 19th century, scientists have understood that, when heated, all materials emit light in a predictable spectrum of wavelengths. Research published this week in Nature Scientific Reports presents a material that emits light when ... Read more »

EDITORIAL

Ecosense Enters Replacement LED Lamp Business by Buying Soraa Shares

Ecosense Enters Replacement LED Lamp Business by Buying Soraa Shares Ecosense®, a leading LED technology company, announced today that it has acquired assets from Soraa, a designer and manufacturer of full-spectrum LED lamps based in Fremont, California. Under the terms of the deal, Ecosense acquires the Soraa name, intellectual property and lamps, including the ... Read more »

EDITORIAL

WEBINAR (May 14th): How to Achieve Better Products to the Eye Through Virtual Prototyping?

WEBINAR (May 14th): How to Achieve Better Products to the Eye Through Virtual Prototyping? In the CADFEM webinar on May, 14, 2020 you will learn, how physics-based simulations - virtual prototyping - contribute to develop better lighting products. The live presentation pictures the whole process - from editing the geometric model to the definition of light sources and sensors to the use ... Read more »