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The Main Challenge of LED Industry

Feb 21,2010
In last article, we talk about that there’s a consensus that most of those barriers. They should be removed in the next 2-3 years. Impressive energy efficiency progress are announced on a regular basis by LED manufacturers and reliability is improving as engineers become aware of the challenges posed by the design of a flawlessly integrated LED luminaire (GE recently identified more than 100 possible failure mode in LED light engines). Multiple standardization organization are working on defining and implementing testing and performance standards and communicating them to the public. Solid state lighting is progressing niche by niche.  More municipalities are testing LED streetlight and some have already committed to massive retrofits (200,000 street lights in Los Angeles). Adoption in commercial and retails lighting, while still low in volume is progressing fast (announcements from Wall Mart, Starbucks…). While we all have our eyes focused on residential applications, it’s important to realize that homes are the smallest segments (in term of lumens) compared to industrial, commercial and municipal lighting. However, for most, it remains the ultimate frontier. But even this application now seems within reach and LED replacement bulbs might come to your home faster that you expected. Don’t rush yet though, as low quality products are still flooding the market and might create a negative initial perception of the technology, a risk that the industry is aware off and trying to control by working on performance standard (make sure you get products meeting or exceeding the Energy star criteria for solid state lighting). In Japan, the largest electronic manufacturers are making a strong push with quality products. Toshiba Lighting and Technology introduced a 60W equivalent replacement LED bulb for JPY9,000 in late 2008. The same product now goes for less than JPY4,000. Sharp launched similar offers and the price is now expected to reach  JPY2,000 in 2010. At this pace, most now expect the cost of LED replacement bulbs to reach the $10 for 1000 lumen target commonly accepted as the “magic” number that will trigger massive adoption by 2012. In the US, Philips released the first LED bulb to participate to LPrize contest organized by the US Department Of Energy to reward the first 60W replacement LED bulb to meet aggressive performance targets.  A lot of credible light bulb replacements could be seen at the recent Strategies In Light conference exhibition floor and CREE is planning to release a retail version of its award winning LR6. The price point at which it will be released will send a strong signal to the industry.
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