In the first half of 2014, the overall performance of LED upstream chip companies performed well. Since the second half of 2013, the market demand for LED chips has maintained a growth momentum. Since the fourth quarter, the price of chips has fallen by three quarters, and the profitability of related companies has rebounded remarkably. Since 2012, the growth of the display market has slowed down, and the LED lighting market has gradually improved. Lighting applications have replaced display applications as the driving force for the demand of the chip market. By looking at the industry's semi-annual report, it is foreseeable that there are three types of companies that are expected to continue to rise in the future, and increase revenues in the fierce market competition. First of all, the driving effect of LED lighting on the industry will become more and more obvious. The profitability of enterprises that fully benefit from the LED lighting boom is expected to increase. Secondly, the trend of replacing small-screen LED TVs with traditional large-screen wall has been established; in addition, the competition is intensifying, the industry Under the trend of increasing concentration, leading enterprises in the industrial chain will fully benefit from the competition pattern of the larger Evergrande. In 2014, the demand for the LED display market will continue to grow compared to previous years, but the price war is an indescribable fate, and the company will face a more brutal knockout. In the end, the industry will be the king. With the survival of the fittest in the market competition, LED display company PK will not stay at the price, but combine the comprehensive strength of software and hardware. In the display market in the first half of 2014, the small-pitch HD screen is undoubtedly the mainstream of the market. Several large-scale backbone enterprises in the industry are grabbing this blue ocean market in real time. For a long time, an important reason why LED displays cannot compete with commercial large-screen products represented by liquid crystals is the difference in display effects. With the introduction of high-density small-pitch LED products, this short board has been largely compensated. It is precisely because of this that the LED display began to have a high-profile atmosphere.