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Due to the large market space in China's lighting industry, the entry barriers for low-end products are relatively low. Especially after the rise of LED lighting, a large amount of social capital has poured in, which has formed an industry competition pattern with relatively low industry concentration and fierce market competition. . Although the development of China's LED lighting industry has made great achievements, with the changes in industrial development, technological progress, market demand and other factors, China's LED lighting industry has emerged from pursuing light efficiency to improving quality, focusing on health, from technology-driven to application. New trends such as driving and market penetration acceleration have brought new opportunities and challenges to the development of the LED lighting industry. Due to the large market space in China's lighting industry, the entry barriers for low-end products are relatively low. Especially after the rise of LED lighting, a large amount of social capital has poured in, which has formed an industry competition pattern with relatively low industry concentration and fierce market competition. . Among them, the international first-line brands represented by Philips, Osram and General Electric, and the domestic first-line brands represented by NVC Lighting, Op Lighting, etc., rely on their brand advantages, extensive sales channel network and strong technology. R & D strength and strict and stable product quality occupy the middle and high-end market. In many small and medium-sized lighting manufacturers, the product technology maturity and quality stability are relatively low, the added value of products is relatively low, the product homogenization phenomenon is more serious, and price competition is the main means to participate in the competition in the low-end market. At the same time, in the emerging LED lighting market, due to the strong support of government policies, the entire LED lighting has shown a rapid development trend. In addition to traditional lighting companies using their competitive advantages in the lighting industry to enter the LED lighting market, they also face the LED upstream and downstream industries. Chain companies are leveraging the technology and manufacturing advantages of their LED chips, packaging and applications to gradually extend the competitive pressures of lighting products. According to relevant data analysis, the number of participating companies in the LED industry chain is pyramid-shaped. In 2016, the global LED industry market reached 699.6 billion yuan, an increase of 8.6% compared with 2015, the lowest increase in 4 years. It is expected to continue to decline in the next few years, but the overall upward trend remains unchanged. China's LED industry has steadily expanded, and the structural differentiation within the industry has become increasingly evident. At the beginning of this year, a forecast was made for the LED industry: the downstream market expanded and the LED price rose. Affected by the macro economy, the LED industry as a whole is relatively optimistic, and downstream demand will also carry greater industry pressure. In addition to coping with the dilemma of product homogenization, it also faces the wave of overall price increases in the upstream industry. The acceleration of the upstream is concentrated, and the increase in production capacity has brought demand into a state of steady growth. Therefore, if the industry starts to pick up, the first one that has obvious gains must be the upstream enterprises, which will lead to the development of downstream industries. Listed companies seeing red in the first quarter are not accidental. Just as the industry is optimistic in the beginning of 2017, the LED industry has begun to enter a state of rapid recovery: According to the first quarterly reports of major LED listed companies, LEDs belonging to the same A shares Concept-related listed companies generally performed well in the first quarter of this year. Nearly 90% of the company's performance net profit has increased, and more than 30% of the enterprises have doubled their profits. For example, Ganzhao Optoelectronics' net profit growth in the first quarter of 2017 reached 7598.90%. In fact, we can see some commonalities from the performance analysis of the top listed companies. Thanks to such an amazing growth rate, Ganzhao Optoelectronics obtained a net profit of 41.57 million yuan. According to Ganzhao Optoelectronics, the profit has been greatly improved due to the company's production of blue-green light project has achieved significant results in the improvement of production process and improvement of yield; the output of chips and epitaxial wafers has also improved. . Huacan Optoelectronics, which achieved a net profit of 80.78 million yuan in the first quarter, believes that the increase in the efficiency of some of the company's new production capacity and the efficiency of technological transformation equipment has greatly increased the sales of chips. The newly added sapphire business module has further improved. The overall income level of the company. The company's net profit growth is equally astonishing. Zhou Ming Technology said that it will not only continue to upgrade and optimize its product technology, but also has great confidence in the growth performance in the second quarter. It is not difficult to see that it is no accident that these companies are able to usher in such a huge growth rate. On the contrary, it is a manifestation of accumulation. Through research and development technology to increase production capacity, not only can bring benefits to its own potential business, but also promote the development of existing projects and expand profit margins. The capital market has become a battleground for LED lighting companies. LED listed companies can successfully generate higher profits through effective technology research and development, and ultimately contribute to the capital market. China's LED industry has gradually shifted from the initial technology research and development, policy support and market-driven to capital-driven. More and more companies have taken advantage of the capital express to achieve leapfrog development. As the new listing of this year's Sanxiong Aurora, it also performed well in the first quarter, and obtained a net profit of 22.21 million yuan, an increase of 35%. In order to continue to maintain profit growth, Sanxiong Aurora said that it will continue to increase R&D investment on the one hand, and push project construction based on actual conditions. In the LED industry structure with a value of 10 billion yuan, the continuous growth of enterprises through listed financing seems to have become a visible development. For LED companies that are growing, listing may be a benign ripener. According to the latest news, LED lighting companies such as Jucan Optoelectronics and Huazhong Lighting will also be listed on the list by the CSRC. Smart lighting still has to wait and see As for the intelligent trend that all walks of life have been concerned about, it may enter the bottleneck of development, and the same is true for smart lighting. Although in the past few years, giants in all major fields have poured into the smart lighting market across the border, but in the final analysis, the LED industry is on the way to returning to quality, and there are many functional factors that are limited by the immature technology. Due to the low technical threshold of LEDs, enterprises can easily enter the market, resulting in the LED lighting industry in a low-cost, low-profit era, so the search for new breakthroughs has become the top priority of LED companies. At the national level, for a long time, intelligent lighting has always been an area encouraged by the national industrial policy and energy policy; technically, due to the photoelectric characteristics of LEDs, LEDs are easier to adjust the brightness, color temperature, and color of light, so smart lighting It can only be realized on LEDs; from the perspective of consumers, humanized intelligent lighting is the inevitable result of consumers pursuing the upgrade of family services; from the perspective of market development space, the intelligent lighting market is a blue ocean with innovative technologies and understanding of Internet development. Model companies are more competitive, which is a good time to eliminate low-quality products and return lighting to the family center. From Philips Lighting and Huawei signed a cooperation agreement, Xiaomi signed a joint statement with the lighting company to announce the joint promotion of the intelligent lighting industry. In recent years, giants in various fields such as Haier, ZTE, Jingdong, Baidu, Ali, and Meizu have begun to enter the intelligent lighting market, because nowadays intelligent lighting is no longer a matter of the traditional lighting industry, but a combination of communication technology and control technology. Emerging areas of multiple technologies such as IT technology. Many well-known companies can cross the border and enter the intelligent lighting market. The reason is that only the intelligent lighting system integrated with black technology can realize the humanized control of all lighting equipment in the whole indoor space, such as automatic adjustment, voice control, Scene lighting and other functions. In addition, the lighting equipment with outstanding quantity and distribution has the advantage of obtaining big data and lays a foundation for more high value-added home services. From unmanned to VR/AR, the era of intelligence has entered our life invisibly, and there will be an intelligent subversion in the future. The construction of intelligent lighting system will add new brilliance to the field of intelligent lighting.