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Power market intensifies as LED market dims

Posted: 04 May 2016     Print Version  Bookmark and Share

Keywords:IHS  LED  power supply  MCU 

The power semiconductor market for LED lighting is predicted to grow from 7.3 million units in 2015 to 24.3 million units in 2020. Power semiconductor design for LED luminaires varies with application requirements. In low-power luminaires, the solutions are typically integrated. The FET, PFC controller, and the gate driver can all be integrated into an AC-DC controller. Many of the medium-power applications contain two strings of LEDs in parallel, which requires an additional DC-DC controller. High-power applications, the power supply design and semiconductors depend on the demands of the application.

Although they accounted for less than 1% of total unit shipments in 2015, MCUs, a self-contained system with a processor, memory and peripherals used as an embedded system, are set to grow the fastest over the next four years. IHS forecasts that the market for MCUs will grow at a CAGR of nearly 44% from 2015-2020. In LED lighting applications, MCUs are used for advanced functions including red-green-blue (RGB) for colour changing LEDs and for peripheral communications via wireless technologies.


The global ASP for LED lighting is predicted fall at a CAGR of 8% from 2015-2020, despite dimming functionality and other value innovations in LED lighting products. This decline is mainly due to competitive factors, and many suppliers, particularly those from China, are sacrificing margins to gain market share.

However, the revenue decrease for the LED lighting end market is not expected to have a strong effect on revenue for power components. The mix for merchant power solutions has shifted to higher-end products with higher ASPs, which will help providers of power solutions for LED lighting maintain margins and revenue.

- Victoria Fodale
  IHS Technology

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