Author: Luqing Ru
It is believed that the market and production structure of global white LEDs will change significantly from 2010, because the LED-related patents proposed in 1990 will expire in 2010 and the expected effective patent period will be gradually expired in 2010. The industrial patent structure was broken, and the high-brightness LED industry that entered the melee period was followed.
Because the patent owner and the scope of rights are not the same as the target market, however, just like the end of human life, the inability to avoid the intellectual property is the effective period, so in the past, these patented LEDs Vendors, although in the early days of technology development, most of them protect their own interests through patent rights. For example, the patented technology related to LEDs will make the situation more complicated with different regions. In the Japanese market, the patent rights of Nichia Chemical The range of LED-related patents 3724498 owned by Nichia is quite strong, which can prevent Chinese and Taiwanese LED products sold outside Japan from entering the Japanese market. In the US market, Cree has a considerable number of LED patents , so if emerging companies want to market white LEDs in the US market, there is a considerable opportunity to infringe Cree's patents.
Patent network is gradually weakening
However, due to the passage of time, the patent networks constructed by various companies have gradually faced weakening. After the patent term expires, these technologies will become shortcuts for emerging manufacturers to produce LEDs. However, such a result is unavoidable. In addition to strengthening the prevention of technology outflows or adopting an alliance strategy, there seems to be no other better way. Therefore, these LED companies with key patents are expected to expire in the patent period. Before, we will make better use of its patent benefits. I believe that in the next few years, we will adopt a strategy to expand the authorization. In this evolutionary environment, LED manufacturers in Taiwan and South Korea are expected to be the biggest beneficiaries, but on the other hand, for global LED companies, the challenges from these two aspects will be greatly increased, and derived The LED industry's judgment and strategy on patent rights will become more complicated.
Just as flat-panel displays are ideal for every 10,000 yen, for technology and applications, the performance of white LEDs has gradually approached the cost target of 100 yen per watt per lumen. In the current technology, if the light output of the blue LED chip can reach 360 lm/W, there is a considerable possibility to obtain a white LED of 100 lm/W output, and the technology of reaching the 360 ​​lm/W blue LED chip is today. In fact, it is no longer a daunting challenge. Cree developed in 2006 with a blue LED chip with a light output of up to 370lm/W white LED. So once the 360 ​​lm/W blue LED chip mass production technology is established, the next goal is to start to develop at a cost target of 100 lm/W per lumen.
Thanks to the rapid advancement of technology for blue LED chips and white LEDs, the application market has also received a relatively gratifying response. The application of white LEDs has expanded from single small lighting applications to LCD panel backlights, and even to the door of automotive headlamps and outdoor lighting. According to the isuppli market regulation company, the compound growth rate (CAGR) in 2006 and 2008 is about 11∼12%, and in 2007, the application of LED products will enter a period of rapid growth. Overall, mobile phone applications have grown. Slowdown, but demand for backlights, vehicles, outdoor billboards, etc. will increase significantly. From 2005 to 2010, the compound annual growth rates of backlights, vehicles and outdoor billboards were 55.8%, 19.2%, and 16.5, respectively. %.
The litigation trend brought about by new manufacturers
Such a huge market potential has stimulated the global LED manufacturers to actively grab the face. In the face of the rapid growth of white LEDs in the market, they have surpassed the control of LED manufacturers controlled by these key patents in all aspects, so the manufacturers with key patents are also twisted. Use patent umbrellas to protect market interests and eliminate new challengers. The new manufacturers' production capacity, technical capabilities and LED veterans will be on the same page. Just as Taiwan is already a major producer of white LEDs outside of Japan, the United States and Europe, it is also an important producer of blue LED chips. In terms of global production capacity, Taiwanese companies have accounted for about 40% of the world's production. In terms of sales volume and sales volume, Taiwan also has a 20∼25% share of the global market. Not only that, in terms of quality, Taiwan has also caught up with traditional LED manufacturers. For example, some Taiwanese manufacturers have developed 1,700 cd in high-brightness blue LED chips, and 1,400 cd has also reached the shipping stage. Therefore, in terms of product output capability and quality technology, it is no less inferior to traditional LED manufacturers. In addition, the sales volume of Nichia Chemicals decreased in 2005 for the first time since 1993. Many Japanese and European LED manufacturers have been struggling, and the LED industry in Taiwan and South Korea has had a bumper harvest, just like Seoul Semiconductor, which is supported by terminal application manufacturers. The business grew substantially; the monthly sales amount in Huashang increased by more than 50% compared with last year.
Therefore, with the growth of LED manufacturers in Taiwan and South Korea, the disputes over patent rights are more obvious. Even traditional LED manufacturers that have no direct disputes have been indirectly involved in litigation. For example, OSRAM Opto sued the Japanese chemical white light. LED authorized CITIZEN Electronics, as well as the company that has been authorized to accept Cree white LED related licenses. Nichia also sue for the new technology of white LED packaging , and sued Everlight and Seoul Semiconductor, but raised a warning to Hongqi. The lawsuit of Nichia Chemical was due to the fact that Yiguang and Hongqi were authorized by OSRAM Opto, and Seoul Semiconductor was authorized by Cree of the United States.
LED veteran changes strategy to jump out of the vortex
As the patent deadline approaches, these LED companies with key technology patents recognize this and realize that if they continue to adopt a litigation strategy, this will be of no benefit to the increasingly weak patent term umbrella, because in the existing market. Faced with the fierce attack by Chinese and Korean companies, these traditional manufacturers, including Nichia, OSRAM, etc., will face even more daunting challenges if they persist in their efforts. In addition, they will indirectly weaken the development of new ones due to complicated and lengthy litigation procedures. The power of technology. Therefore, under the fierce technical competition environment, major LED manufacturers such as Europe, America and Japan have changed their past market strategies. For example, manufacturers including Nichia, Toyota Synthetic , Cree, Philips, OSRAM actively take mutual authorization to avoid patent problems. Such changes were unimaginable 4,5 years ago, because as of 2003, these manufacturers in the heat of patent infringement litigation in order to maintain their position, because of this, other manufacturers, including LED packaging manufacturers, LED applications Manufacturers and so on are also unwarrantedly involved in the litigation flood. Therefore, it can be found that from 2002 to 2003, the various litigation cases have gradually closed in exchange for exchange of authorizations and the like.
The major LED manufacturers jumped out of the whirlpool of litigation. The result is that for the market, if it is from a benign reaction point of view, because it expands the scope of authorization and mutually commissions production, it is like granting royalties and authorizing OEMs. Operational model development. For example, OSRAM adopts the “receiving premium†method, authorizing Yiguang, Guangbao and Hongqi, while Nichia and Toyota Synthetic authorized Jingyuan Optoelectronics OEM, AVAGO and OSRAM authorized Hongqi to produce, and Nichia and Hitachi authorized Guanglei OEM. Production and so on. Let LED application manufacturers get lower-cost and better-quality LEDs, and also allow LED manufacturers to focus on the development of next-generation LED key technologies to consolidate existing market opportunities and benefits.
Another wave of lawsuit vortex is about to begin
Therefore, traditional LED manufacturers such as Europe, America and Japan have begun to negotiate production with Asian emerging manufacturers with high production technology and capabilities. In terms of patent rights, traditional LED manufacturers have also emerged a new situation of cooperation with manufacturing strong players. Because in the face of impending patent protection, it is better to form alliances with these emerging companies than to pay for the compensation for winning the lawsuits, and to collect the authorization money in areas such as BRICs, not only greatly improving the performance, but even expanding Emerging Markets. When such a change is also good news for emerging LED manufacturers and LED application manufacturers, for emerging LED manufacturers, this can improve the quality of products and expand new sales channels. In terms of LED application manufacturers, In addition to avoiding being involved in patent disputes, you can get lower cost, high quality LEDs.
If it continues to develop, I believe that the overall change is not only this, but what is brought about is that these emerging LED manufacturers will draw closer to the technical distance of traditional LED manufacturers, as well as more one-way authorization and cross-licensing. Next, production opportunities will flow to Taiwan with low manufacturing costs, and these changes are unwilling to be seen by traditional LED manufacturers. On the other hand, these emerging LED manufacturers must continue to develop new technologies to expand the patent umbrella. The impact is that another wave of litigation rumors driven by emerging LED manufacturers will be launched soon. The number of homes is believed to be no longer just a few in front of us, but will be expanded to more than a dozen. By then, the complexity will be more than today.
In order to avoid wasting resources due to litigation, the patent authorization that is driven may be a good starting point for development. On the other hand, because of the miscellaneous industrial base, this will be the next wave of tit-for-tat. How to do it in order to meet the greatest interests will test the wisdom of traditional LED manufacturers.