Market for LEDs in Lighting to Grow 27% through 2018

18 April 2014—A new report from Strategies Unlimited (Mountain View, Calif., U.S.A.), “The Worldwide Market for LEDs: Market Review and Forecast 2014,” predicts that the global market for high-brightness LEDs will nearly double from $14.2 billion in 2013 to more than $26 billion by 2018. The global packaged LED industry was valued at only $1.2 billion in 2000. Total market revenue for packaged LEDs will grow 12.9 percent from 2013 to 2018, due in part to a 27 percent compound annual growth rate in LEDs for lighting applications. The report says that LED lighting revenues have doubled since 2012, and now account for 30 percent of the global LED market.

According to the report, this growth is primarily due to increased consumer confidence and increasing sales of replacement lighting in lamps, downlights, industrial, commercial and outdoor products. Only 10 companies account for more than 68 percent of the market. One of the biggest challenges to packaged LED companies is finding their identity in the fast-changing environment of the industry, which is becoming more complex. The report, which covers Japan, South Korea, Taiwan, China, the United States and Europe, predicts market consolidation in the coming years.