The global COB LED market to grow at a CAGR of 35.51% during the period 2016-2020
COB is a bare chip technology for LED lighting. A COB LED lighting module is made by placing multiple LED chips in a small area. It is a comparatively new technology for LED packaging. This technology involves multiple LED chips, mounted directly on the substrate to produce an LED array, further packed together in one lighting module. COB LEDs help reduce costs by eliminating the complicated solder reflow assembly process.
The increase in demand for smartphones will create demand for more LEDs to be used in the backlighting unit (BLU) of FPDs, positively impacting the demand for COB LEDs. The development of LED filament lamps and the development of smart lighting will boost the demand for LED lighting.
According to a new report, the declining average selling price (ASP) of LEDs has been a major driving factor of the demand for COB LEDs in the global lighting industry. Economies of scale and the transition in the wafer size used to make LED chips are some of the reasons for this. The small size of LED chips achieved by COB technology supports miniaturization of the devices and provides high efficiency.
Further, the report states that the fluctuating global economy of influential countries such as China, Russia, and Brazil is posing a challenge to global COB LED manufacturers, as it impacts the international trade of LED components and products across borders.