Unity Opto to Focus on Lighting Market in 2011

Taiwan LED packager Unity Opto will focus its sales on lighting market in 2011 after securing stable customer base in backlight market.

According to Corporate chairman, C.H. Wu, the company`s lighting operation would rake in revenue of around NT$2-2.5 billion (US$66-83 million at US$1:NT$30) in 2011, up from NT$1 billion (US$33 million) for 2010 to account for 20% of the company`s total sales, up from 2010`s 15%.

In Wu’s opinion, the keys for LED-lighting manufacturers to win are distribution channel and cost efficiency. And Taiwan`s manufacturers are advantageous over international patent holders in terms of cost efficiency.

In an effort to create the distribution channel advantage, Unity Opto has been vigorously seeking partnership with retailers in Europe, mainland China and Japan. Reportedly, it has won LED-lighting contracts from several Spanish retailers and 30 hotel chains in Europe.

Industry executives estimated each of the hotel chains would contract Unity Opto to supply NT$30 million (US$1 million) of LED lighting products a month.

Wu predicted that the time for investors of LED commercial lights to see investment return has shortened to two years, based on the tendency that
lights for commercial buildings like offices, factories, parking lots and shops would dominate the LED-lighting market in 2011.

Wu also estimated the company`s backlight operation would rake in sales of around NT$8 billion (US$266 million) in 2011, up from the projected NT$5 billion (US$166 million) for 2010 as a result of Samsung`s orders calling for backlights for its new LCD TVs.

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