Micro LED technology is becoming a significant development focus in the display industry, but its research, development, and mass production face technical barriers and funding challenges. Therefore, corporate funding has become one of the key ways to drive breakthroughs and accelerate the industry’s development.

Tianyancha, a Chinese corporate information website, reveals that YiCai Xin Guang Technology (Ningbo) Co., Ltd. (hereinafter referred to as “YCXG”) announced the completion of its angel round funding on November 20. The amount financed was not disclosed, with the investors including Ningbo Angel Investment Guidance Fund.

Data shows that YCXG focuses on the research, development, manufacturing, and sales of Micro LED microdisplay chips. Its core products, Micro LED micro displays, are widely used in AR displays, AR head-up displays (AR-HUDs), matrix headlights, micro-projectors, and other related devices. The company possesses comprehensive capabilities across the entire supply chain, spanning from silicon-based GaN epi-wafers, perovskite quantum dot materials, chip design to semiconductor processing.

Notably, according to Tianyancha, on December 1, Micro LED manufacturer JBD underwent a business registration change, raising its registered capital from 55.8417 million yuan (approx. $7.702 million) to 56.6149 million yuan (approx. $7.809 million). Additionally, the joint venture established by Shanghai Chaos Investment (Group) Co., Ltd. and the No. 2 Private Equity Investment Fund of Shanghai Technology Innovation Center (limited partnership) became new shareholders, possibly indicating that JBD has completed a new round of funding.

Regular Financial Milestones in the Micro LED Industry
As a company specializing in Micro LED microdisplay chips, YCXG’s successful funding is closely related to the development of the Micro LED industry. It also reflects the continuous attention and support from investors on this sector. According to preliminary statistics from LEDinside, a total of 21 Chinese and foreign manufacturers (including YCXG) throughout the supply chain have completed funding rounds since 2024.

These funding rounds cover various stages from angel to C+ rounds, indicating that the capital market holds a positive attitude towards different stages of Micro LED development. For instance, TEYI Technology raised nearly 100 million yuan in the Series C round, primarily for developing and advancing new products, while Rokid received 500 million yuan in the C+ round, aimed at enhancing its business-oriented services and production research capabilities.

Regarding funding amounts, JBD, Sitan Technology, TEYI Technology, Thunderbird Innovation, and Rokid have each raised more than 100 million yuan. JBD announced in June that it had completed a Pre-B round funding, raising several hundred million yuan. The funds will be used to intensify JBD’s investment in the research and development of core Micro LED microdisplay technologies, mass production, recruitment of high-end talents, and global market expansion. Similarly, Sitan Technology secured over 150 million yuan in its Series B round, which will be used for the mass production of Micro LED display chips and market expansion, further enriching the industry’s resources.

Regarding investments by segment within the Micro LED industry, funding activities are mainly concentrated in areas such as microdisplays, equipment, chip-making, packaging, massive transfer, and AR glasses. These are pivotal segments that drive the commercialization and industrialization of Micro LED technology.

Among them, equipment manufacturing is a crucial part of the Micro LED industry chain, as it directly influences production efficiency and the costs of Micro LED products. The raised funds will help companies accelerate technological upgrades and expand production scales. Specifically, Nash Vision, RSIC, TEYI Technology, and Dexin Tech have gained support from the capital market.

Nash Vision secured seed round funding to invest in the development of micro-nano inspection and processing equipment. RSIC enhanced its capabilities in the production of optical measurement and testing instruments in China through strategic funding. Dexin Tech’s Pre-A round accelerated the mass production and development of measurement equipment. These funding activities are driving advancements in the Micro LED equipment manufacturing sector.

The Micro LED chip-making sector is also seeing active funding. INNOVISION completed a 100-million-yuan Pre-A2 round, mainly for the construction of a Micro LED microdisplay chip mass-production line and further development of its VSP-(Vertically Stacked Pixels) based Micro LED chip technology.

Achieving full color display on a single screen is the ultimate challenge in Micro LED microdisplays and a focus major chip manufacturers are heavily investing in. INNOVISION launched a mass production-level monolithic full-color XGA Micro LED chip for microdisplays in August, with plans to mass-produce the component by 2025, accelerating the global commercialization of colorized Micro LED microdisplays.

As for Micro LED packaging, ESPACE secured funds in its A+ and B rounds to accelerate the industrialization of Mini/Micro LED packaging technology and equipment. In terms of construction projects, the startup’s advanced display production base was established in January this year, planned in three phases, with the third phase including the construction of a commercial Micro LED display production line.

With respect to Micro LED applications, particularly for AR glasses, the development in the near-eye display industry has been fast. TrendForce points out that the properties of Micro LED light sources can meet the high brightness, compact size, and low power consumption requirements of AR devices, making them a crucial technology in the AR glasses field. If full-color Micro LED solutions can be achieved through vertical stacking or color conversion, they are likely to become the optimal technology for such glasses in the future.

In September 2024, Micro LED AR glasses company Thunderbird Innovation announced the completion of its B+ and B++ rounds of funding. Previously, on March 4, the company had raised more than 100 million yuan. Its total funding amount over the last 6 months has exceeded 500 million yuan. Product-wise, in 2023, Thunderbird Innovation released and mass-produced the world’s first dual-eye full-color AR glasses featuring Micro LED waveguides, the Thunderbird X2.

Summary
The Micro LED industry has recently been bustling with numerous reports on corporate collaborations, technological breakthroughs, and funding activities. At the same time, new Micro LED products are continuously emerging, becoming the focal point of industry attention.

On November 29, INMO released its latest AR glasses, the INMO GO 2, which is equipped with Micro LED display technology. In addition, Vuzix launched its Micro LED AR glasses Z100, and Rokid unveiled a new generation of Micro LED AR glasses in collaboration with Bolon. The release of these new products has not only advanced AR technologies but also expanded the potential of Micro LED in near-eye displays.

As Micro LED technology matures, its market demand grows, particularly in enhancing display accuracy and visual experience, positioning it as a key future display technology. TrendForce forecasts that with expanding applications in near-eye displays and other sectors, the global Micro LED chip market is projected to reach nearly $600 million by 2028, highlighting its significant commercial potential and market opportunities. Companies proactive in entering the Micro LED market, whether it is for technological innovation or market expansion, stand to gain early mover advantages and capture substantial market share. (By Mia from LEDinside).

TrendForce 2024 Micro LED Market Trend and Technology Cost Analysis
Release: 31 May / 30 November 2024
Language: Traditional Chinese / English
Format: PDF
Page: 160-180