Overview of the global light emitting diode (LED) packaging equipment market

Market research analysts at Technavio have predicted that the global light emitting diode (LED) packaging equipment market will grow steadily at a CAGR of almost 2% by 2020. Features such as energy efficiency, light weight, high power, and small size have induced automobile manufacturers to replace halogen lights with LEDs. Due to the long lifespan, less amount of energy consumption, and the comparatively low light temperature of LED headlamps, automobile manufacturers have started using LEDs in both interior and exterior lighting applications. Technological advances in automobiles and the increase in production capacity of automobile manufacturers will drive the automotive lighting market in the coming years, which in turn will aid in the growth of the LED packaging equipment market.

This market research and analysis considers the emergence of COB (chip on board) technology as one of the major trends that will gain traction in this market during the forecast period. Benefits such as the capability to spread light across a large area, effective thermal management, homogenous luminosity, energy efficiency, and compactness will ensure the increased adoption of the COB LEDs will require the adoption of new and advanced LED packaging processes, which will demand the replacement of older packaging equipment.

Competitive landscape and key vendors

The market is characterized by the presence of large and small scale LED packaging equipment manufacturers. The market is dominated by a few major players and vendor competition in the market is moderate. Vendors have the need to comply with constant technological advances and usually compete on the basis of price, reputation, distribution, and global brand presence. The emergence of diversified regional and local vendors will intensify vendor competition in the market in the next four years.

The leading vendors in the market are -

• ASM Pacific Tech
• BESi
• Kulicke & Soffa
• Palomar
• TOWA

The other prominent vendors in the market are Daitron, DISCO, Nordson ASYMTEK, and SUSS MicroTec.

Segmentation by process and analysis of the LED packaging equipment market

• Die singulation
• Die attached
• LED testing
• Permanent bonding
• Substrate separation

During 2015, the LED testing segment accounted for about 60% of the total share and dominated the LED packaging equipment market. LED testing is required throughout the LED packaging process, and the testing equipment is used for the inspection and qualification of incoming materials, process monitoring and control, and testing end-of-line product. The estimated increase in the demand for LEDs will subsequently increase the demand for this market segment in the coming years.

Geographical segmentation and analysis of the LED packaging equipment market

• Americas
• APAC
• EMEA

This market study estimates that APAC will account for about 88% of the LED packaging equipment market by 2020 and dominate this market throughout the during the forecast period. The exponential rise in demand for consumer electronics coupled with the rollout of long-term evolution (LTE) bandwidths in APAC countries such as India and China, has led to the expansion of LTE base station infrastructure. This will drive the market for display panels that use LEDs as the backlighting source of the screen. Additionally, the presence of major LED display lighting panel manufacturers in this region will also contribute to the growth of the market in the next four years.

Key questions answered in the report include

• What will the market size and the growth rate be in 2020?
• What are the key factors driving the LED packaging equipment market?
• What are the key market trends impacting the growth of the LED packaging equipment market?
• What are the challenges to market growth?
• Who are the key vendors in the LED packaging equipment market?
• What are the market opportunities and threats faced by the vendors in the LED packaging equipment market?
• Trending factors influencing the market shares of the Americas, APAC, and EMEA.
• What are the key outcomes of the five forces analysis of the LED packaging equipment market?

Technavio also offers customization on reports based on specific client requirement.

Related reports

• Global Automotive LED Lighting Market 2016-2020
• Global LED Industrial Lighting Market 2016-2020
• Global LED Production Equipment Market 2015-2019