LED chipmaker Formosa Epitaxy 's December revenues fell 25% sequentially to NT$300 million (US$10.23 million), and revenues for 4Q10 came to NT$1.1 billion, down 23% sequentially. But the company's full-year revenues increased 121.5% from 2009 to NT$4.64 billion thanks to strong TV backlight demand.

The full-year revenues for Taiwan-based LED chip maker Epistar was expected to reach NT$20 billion in 2010, up 50% compared to 2009. And Net income for 2010 will range from NT$5.5-6 billion. Meanwhile, the company would take NT$800 million for the employee bonuses, and everyone would receive over NT$200,000 on average, with 3,700 employees. Also, Epistar planed to raise salaries by 8% on average.

Taiwan LED chipmaker Epistar and Formosa Epitaxy, LED backlighting started to pick up in November 2010 and would increase in March 2011, with the vendors completing inventory adjustments. Epistar indicated that vendors had begun to order production with completing inventory adjustments, especially from Korea-based packaging houses.

As Inventory adjustments by panel makers and lower inventory of CCFL panels and CCFL TVs, most Taiwan LED packagers, chipmakers August revenues become lower than last month. LED chip packaging Unity Opto Technology August revenues slip 4.6% but up 58% on year to NT$670 million (US$20.979 million). The total income in 2010 until August 31 reached NT$4.62 billion, which more NT$4 billion than the whole 2009.

Recently, Taiwan's LED makers, coordinated by the government-backed Industrial Technology Research Institute (ITRI), have set up a consortium comprising manufacturers of all related sectors.

Nan Ya Photonics Inc. (NPI), a subsidiary of Taiwan-based Formosa Plastics Group, will form a strategic alliance with Epistar Corp. to tap the LED market, according to Taiwan Economic News.

LG Display (LGD) and AmTRAN Technology recently jointly invested in Formosa Epitaxy Inc., a Taiwan-based LED chipmaker, according to an article on Taiwan Economic News. LG Display and AmTRAN have co-invested NT$2 billion (US$62 million at US$1:NT$33) in the LED chipmaker by acquiring 18-19% stake in Formosa, industry watchers said.

With LED backlights more and more used in LCD TVs, Taiwanese LED makers, including Epistar Corp., Formosa Epitaxy Inc. and Tekcore Co., Ltd., have seen a flood of orders in recent months, according to Taiwan Economic News.

Taiwan’s major LED markers have all seen their March revenue surging beyond expectation, with Formosa Epitaxy Inc. taking the lead with a 68.5% rise from February. Epistar Corp. and Unity Opto Technology Co., Ltd also post robust revenue records.

It’s reported that Taiwan LED wafer and chip manufacturer Formosa Epitaxy plans to establish a big-sized semiconductor lighting plant in Rushan, Shandong, east China. Chien Fen-ren, chairman of Formosa Epitaxy, disclosed that the Taiwan company is projected to invest USD 150 million in the coming firm, which will be mainly engaged in the R&D, manufacture, and sales of LED epitaxial wafers, chips, and related innovative electrics products. By now, the coming firm has been registered.

LED industry would recover earlier than other industries this year in consideration of incremented uses of the lamps in notebook computers, monitors, LCD TVs, lighting fixtures and outdoor signages, according to estimation form Taiwan LED makers. Tatung Group, one of leading Taiwan manufacturer of household appliances and information-technology products, says the company will contract Formosa Epitaxy Inc. to supply LED chips this year.

Over the past few years, Taiwan LED manufacturers, from chipmakers and packagers to lighting-module and lamp makers, are beginning to see a payoff from energy efficient products. Taiwan has ranked No. 2 in the global LED supplier, with 2008 revenue estimated to reach around US$1.9 billion, or 26% of world’s total.