LED lighting was once considered as a sunrise industry with unlimited prospect; however, the blind expansion of production capacity has caused this industry into the winter. According to the report released by Guangdong Guangya Lighting Research Institute, the market demand for LED backlighting and lighting has been strong and vendors of chip, packaging and application have received a large number of orders since this year. Some entrepreneurs and industry analysts believe that LED outbreak will usher in explosive growth in Q4 of this year.

In accordance with "Energy Saving Program of Semiconductor Lighting Industry" jointly issued by six ministries in February of this year, the global lighting market scale will exceed 150 billion U.S. dollars by 2020; LED lighting market is expected to reach 75 billion U.S. dollars, accounting for 50% of the global lighting market. The market share of LED lighting will increase almost by 15 times over the $ 5 billion in 2010. In addition, according to the data from Taiwan's Topology Research Institute, the penetration rate of LED lighting in the world is 10%, and it will reach 50% by 2015 or at the latest 2020.

Some analysts pointed out that LED light source will slip to $ 15/KLM in early 2014; some radical lighting manufacturers in Asia Pacific will drop the price of light source to $ 8/KLM. In the next 2-3 years, the cost of LED lighting products will fall to the critical alternative point of the global large-scale replacement of energy-saving lamps ($ 5).

In fact, some Chinese LED manufacturers also felt that the industrial outbreak is just around the corner. Weibin Gong, the chairman of REFOND OPTOELECTRONICS, said in an interview that the momentum of the whole industry outbreak is very obvious. However, Wei Gu, the president of MTC expressed in an interview that the critical point of LED market to erupt is upcoming, and the next 7-8 years will usher in the industrial boom.