Sapphire substrates are set to benefit from the rapid growth of the LED lighting market. With the continuous drop in LED prices, the global ban on incandescent bulbs, and a growing emphasis on energy efficiency and environmental protection, the LED lighting sector is expected to thrive in 2014. We estimate that sapphire substrate demand from LED lighting will reach 537 million in 2013, 906 million in 2014, and 1.16 billion in 2015—showing year-over-year increases of 102%, 69%, and 28% respectively. The 2014 demand is already three times that of 2012, signaling a significant shift in market dynamics.
In addition, the iPhone has become a major driver for sapphire’s emerging applications. The iPhone 5S features a sapphire-based home button and camera cover, which significantly boosted sapphire consumption. According to our estimates, smartphone-related sapphire demand reached 1,079 million in 2013, 2,547 million in 2014, and is projected to hit 4.44 billion in 2015—rising by 406%, 136%, and 70% respectively. In 2014, smartphone demand accounted for nearly half of total sapphire usage, making it a core application area. Looking ahead, if Apple introduces sapphire screen protectors in future models, this could create a major imbalance between supply and demand in the industry.
On the supply side, the sapphire market is becoming more rational and consolidated. Following the sharp price drops in 2011 and 2012, many companies merged or exited the market, leading to increased concentration of global production capacity. Competition is no longer about aggressive market capture but rather about maintaining profitability through controlled output. As a result, the overall supply situation is stabilizing, and the industry is showing signs of sustainable growth.
The global sapphire substrate market is also showing positive momentum. Demand is expected to rise by 67% in 2014 and 44% in 2015. On the supply side, only a few Apple suppliers are expanding significantly, while most others are keeping production stable. This suggests that the supply-demand gap is narrowing, and the industry is approaching a turning point. We believe the worst is behind us, and the sapphire market is now on a path toward healthier development.
LED Panel Light
Led Panel Light,Led Square Panel Light,Led Round Iron Panel Light,Adjustable Led Panel Light
Foshan Extrlux Co., Ltd. , https://www.extrlux.com