Samsung LED will continue vertical industry integration strategy


LED industry ushered in the era of lighting, LED factories have gradually shifted from the past horizontal division of labor to vertical integration development, Samsung LED's original development strategy is based on vertical integration mode, Samsung LED China General Manager Tang Guoqing pointed out that will continue vertical The industry integration strategy, its products focus on the medium and high power market, and choose the dealer model to cut into the highly fragmented market.
The vertical integration development of the LED industry has become a trend. Tang Guoqing, general manager of Samsung LED China, talked about the layout of China's LED market in the LED Process Exhibition Forum. He pointed out that Samsung's vertical industry integration includes mastering of core materials such as phosphor powder and epitaxial wafers. And process capabilities, to help product quality assurance, and to benefit product technology upgrades.
Tang Guoqing also mentioned that Samsung LED is currently focusing on 1W-5W high power and 0.2W to 1.2W medium power LED. In addition to medium and high power LED, 6W-56W COB products and 2W-4.5W AC LED products are also the same. It is the development focus of Samsung LED.
In terms of channel construction, Tang Guoqing pointed out that compared with the high manpower and cost invested by the direct sales team of the manufacturer, the cost of operating the dealer system will be relatively low, especially in the engineering project and commercial lighting market, the dealer system is more With a geographical advantage, it can also conduct a more complete credit risk assessment for emerging markets. In addition, compared with the direct sales team, the dealer system has the advantages of flexible supply, numerous outlets and convenient service.

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