May 5, 2017: While demand for micro-LED displays and fine pitch display technology increases, many players have penetrated the domain, eroding the profit margin in the market. As a result, fine pitch LED display market scale is expected to increase from US$ 1,141 million in 2017 to 1,770 million in 2021, achieving a CAGR of 23% during 2015-2021.
According to the latest report from LEDinside—Micro LED Next Generation Display Industry Market Report-2Q17 Micro LED Display and Fine Pitch Display Technology, application of fine-pitch LED display covers four fields—studio (15%), security control room (16%), commercial display (40%) and public and retail application (29%).
Sony, a giant in displays, has launched its CLEDIS display, redefining the micro-LED landscape. According to Sony’s CEO, Kaz Hirai, this new display is an ideal replacement of the existing fine-pitch LED video walls, which are usually used in auto showrooms and museums. But micro-LED displays have some advanages. They have wide view angle, high brightness and contrast, superior picture quality, and seamless image.
As far as cost is considered, micro-LEDs have drastically cut down production costs. However, on the other hand, after pitch refinement narrows the pitches between LEDs, the cost of LED packaging consumes a larger proportion of the overall display module production cost. The cost structure of a micro-LED display of the same size and same pitch is much less. However, LED transfer and display driver technology hold the largest proportions of the total production cost.
Micro-LEDs penetration rate has increased, which is determined by how fast its selling price and cost is dropping. Currently, many developer companies have ebtered the micro-LED displays area. It is expected that micro-LED display will enter from the high-end niche market into the mainstream in the next three years.