Product Code: 64280
The LED Driver Market is expected to register a CAGR of 18.1% during the forecast period (2020 - 2025). LED drivers have become the bottleneck of LED lighting, both in terms of size and reliability. They provide fundamental advantages for LED lighting with smaller form factor, higher reliability, and improved efficiency over the dimming curve. The increasing energy efficient policies by federal government and councils across nations have deliberately motivated the investments in energy-efficient practices and technologies. The display devices, such as smartphones, tablets, laptops, and television have widely adopted LED backlighting systems due to their low power consumption, small and thin packing ability. Despite their wide adoption, the manufacturers are continuing to invest in backlighting systems to enhance the user experience.
- The favorable government policies and energy-saving capabilities of the LED drivers is driving the growth of the market. For instance, IEA advised the governments to phase-out inefficient lighting products and adopt lighting quality, reliability, and minimum energy performance standards for new and existing products.
- The increasing penetration of LEDs, due to their energy-efficient and cost-saving nature, is impacting the growth of the market, as the LEDs are highly controllable, when integrated with a driver and their intensity can be varied based on requirement.
- LED is one of the primary components of new digital signage system, which delivers high quality image. The increasing expenditure on advertising is likely to boost the utilization of digital signage; thus, fueling the requirement for LED driver.
- Lack of awareness about the benefits of the technology and the high replacement cost in case of failure is restraining the growth of the market.
- The increasing industrial development and population growth have led to a surge in global demand for energy in recent years. The decreasing amount of resources and increasing demand for energy led to the energy crisis over the world. To overcome this crisis, the governments of various countries have passed regulations on energy consumption, which state the use of energy saving consumer electronics.
Scope of the Report
LED Driver is an electrical device that delivers power to a string of LEDs in a regulated manner. LED driver maintains the constant power supply for LED as the electrical properties change throughout the temperature which will increase or decrease for LED. LED driver is adopted by many outdoor applications such as roadway lightning, highway and tunnel lightning and street lightning. These drivers have become more innovative and offer increased flexibility for the lighting solutions.
Key Market Trends
Automotive Lighting Segment is Expected to Have Significant Growth
The demand for automotive lighting market was driven by increased lighting system content per vehicle and a more favorable product mix driven by strong adoption of LED-based front lighting systems. Low power consumption and lesser weight make LEDs ideal for electric vehicles. Most of the luxury car manufacturers, such as Audi, BMW, Mercedes, Jaguar, Nissan, Porsche, and Volvo have adopted LEDs for exterior lighting.
For instance, HELLA has developed its MULTIBEAM LED Headlamp in the Mercedes-Benz E-Class, consisting of 84 controllable LED lights per headlamp. These can be individually controlled to adjust light distribution depending on traffic, weather, and road conditions. The integrated adaptive 'High Beam Assistant Plus' also ensures that high beam is used more frequently, offering greater safety and comfort.
- In automotive industry, the LED technology has been limited to high-end vehicles and has to compete with traditional light sources, namely, halogen and high-intensity discharge lamps. The drop in the prices has helped the LED technology spread to various categories of vehicles. The exterior lighting of vehicles drives more than two third of the automotive lighting.
- The companies are launching new products for automotive application to mitigate power consumption. For instance, in October 2018, Allegro MicroSystems expanded its LED drivers for lighting product line for several automotive application, such as DRL, side mirror, backup, fog, and other lighting applications.
Asia Pacific Region is Expected to Witness Fastest Growth Rate
Asia-Pacific has seen a significant growth in the LED driver market and is expected to witness a highest growth over the forecast period.The economic development and government policies, due to rapid urbanization in developing countries, such as India, China, and Japan, has spurred the demand for LEDs in the region.
- The fall in LED prices due to increase in investments by companies in expanding production facilities has resulted in a significant growth of the LED driver market in Asia-Pacific.
- The rapid urbanization and changing life styles of people have also resulted in increase in the penetration of Led lighting in automotive, building, and construction industries. The compatible size and aesthetic look has drawn attention of people with high standards, which resulted in a significant growth in the adoption of LED drivers.
- For instance, the Indian government has launched UJALA program, with a target to distribute 770 million LEDs by March 2019. The program aims to rectify India's high-cost of electrification and the increased emissions from inefficient lighting, amidst the backdrop of electricity demand witnessing a five-fold increase over the coming years.
- The consumption of passenger vehicles in the region, especially in China, has grown rapidly, whereas the penetration of LED in Chinese automotive market has also seen a significant rise, leading to the rapid development of the automotive lighting industry.
- Notably, in China, the production capacity has been increasing since past few years leading to excess supply in the market. This has led to the price decline in the overall market, which may negatively affect the profit margins and price decline of the LED driver.
The LED Driver Market is a fragmented market. It is a highly competitive market with number of players in the market and there is no dominant player present.
For instance, In April 2018 Tridonic and Enlighted have continued to push the IoT-ready Alliance encouraging solid-state lighting (SSL) manufacturers to future proof their products, and Tridonic has added such support in a new driver. Helvar introduced LED drivers with filtered hybrid dimming, a technology that results in stabilized, extremely high-quality light at the lowest dimming levels for even the most demanding applications, such as flicker-free camera recording.
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Table of Contents
- 1.1 Study Deliverables
- 1.2 Study Assumptions
- 1.3 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET INSIGHTS
- 4.1 Market Overview
- 4.2 Value Chain / Supply Chain Analysis
- 4.3 Industry Attractiveness - Porter's Five Force Analysis
- 4.3.1 Bargaining Power of Suppliers
- 4.3.2 Bargaining Power of Buyers/Consumers
- 4.3.3 Threat of New Entrants
- 4.3.4 Threat of Substitute Products
- 4.3.5 Intensity of Competitive Rivalry
5 MARKET DYNAMICS
- 5.1 Market Drivers
- 5.1.1 Favorable Government Policies for Energy Efficiency
- 5.1.2 Cost-effectiveness and Energy-saving Capabilities
- 5.2 Market Restraints
- 5.2.1 Lack of Awareness about the benefits of the technology
- 5.2.2 High Replacement Cost in Case of Failure
6 MARKET SEGMENTATION
- 6.1 By Supply Type
- 6.1.1 Constant Current
- 6.1.2 Constant Voltage
- 6.2 By Application
- 6.2.1 General Lighting
- 6.2.2 Automotive Lighting
- 6.2.3 Backlighting
- 6.2.4 Other Applications
- 6.3 By End Users
- 6.3.1 Residential
- 6.3.2 Commercial
- 6.3.3 Industrial
- 6.4 Geography
- 6.4.1 North America
- 188.8.131.52 US
- 184.108.40.206 Canada
- 6.4.2 Europe
- 220.127.116.11 France
- 18.104.22.168 UK
- 22.214.171.124 Germany
- 126.96.36.199 Rest of Europe
- 6.4.3 Asia Pacific
- 188.8.131.52 China
- 184.108.40.206 Japan
- 220.127.116.11 India
- 18.104.22.168 Rest of Asia-Pacific
- 6.4.4 Middle East and Africa
- 6.4.5 Latin America
7 COMPETITIVE LANDSCAPE
- 7.1 Company Profiles
- 7.1.1 Texas Instruments Incorporated
- 7.1.2 Maxim Integrated Inc.
- 7.1.3 ROHM Semiconductor
- 7.1.4 ON Semiconductor
- 7.1.5 Osram GmbH
- 7.1.6 Toshiba Corporation
- 7.1.7 Power Integration
- 7.1.8 STMicroelectronics
- 7.1.9 Microchip Technology
- 7.1.10 Taiwan Semiconductor Manufacturing Company Limited
- 7.1.11 Infineon Technologies
- 7.1.12 Cree Inc.
8 MARKET OPPORTUNITIES AND FUTURE TRENDS
9 INVESTMENT ANALYSIS
10 FUTURE OUTLOOK