The global landscape of SSL

Prof. Guoqi (Kouchi) Zhang &

Dr. Henk van Zeijl

Outline

SSL Tech & business trends

China SSL status

International SSL Alliance

Sino-NL cooperation

Aggressive increase of efficiency and

cost reduction

• Not scarify lighting quality and comfort

• Nearly zero cent per lumen strategy

Form & fixture revolution

“The Liberation of Light” -Simplicity and Standards

Lighting is the essential pre-condition for the existence

of nearly all living lives on earth.

Lighting’s functions are much more than just “to see”

and “to be seen”

E-society Energy & environment

Security & safety Health & wellbeing Transport & mobility

Horticulture/food

•Developing and combining advanced

lighting tech with other tech to

create new functions, new applications

and new markets beyond traditional lighting

applications

•Light interaction with and impact on

people (eye, skin and psychological),

plants, animals, insects and bacteria, etc

More than illumination

Health & wellness

Healing: Patient care

Patient room Treatment Emergency & Operations

Sleep management

Sleep-related accidents comprise 15-20% of all motor vehicle crashes

7

Horticulture/food Green house Animal breeding

Horticulture/food

City farm

•Increasing population & fast urbanization

•Scarce in agriculture land; water; energy

•Food quality, safety and security

Digitalise Lighting: towards a smart society

We live in a smart world

smart card

smart home

smart phone

smart Lighting

http://www.sensimed.ch

Smart medical devices & hospital

smart grid

People’s

needs

So

cio

log

ica

l

Ps

yc

ho

log

ica

l

Bio

log

ical

Controllers/

Drivers/Power

/Passives

Sensor

Actuator

Light Source

Optics

Network

Media

Data

Objectives:

High efficacy; Multi-functions; Controlled reliability;

Low cost; Miniaturized; Green; etc

LED product/system: More than LED light sources

10

Software technology Hardware technology

Control+ Seamless integration of hardware and software (co-development and co-utilization)

Beyond LED

New Industrial / Technology Landscape of Lighting

More than Illumination: Function Enrichment

Mobility & safety

Emotion& Perception

Health & Wellbeing

Horticulture & food

Intelligence

Interacting with other systems,

people and environment Non-illumination function

Multi-level and Multi-functional System Integration

Efficiency Cost reduction Miniaturization Retrofit Form & fixture revolution

New

business

potential

€ M

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• Current LED manufacturing strongly alike

Semiconductors in earlier of 1980s

• Highly proprietary processes

• Smaller wafers

• Low throughput and yield

• Low equipment utilization

• Advanced LED manufacturing will become

a commodity (big foundries), consolidation

will come in some years

LED’s landscape evolution

• LED technologies enable more dedicated market segments to address

the specific needs of people: lighting on demnads

LED’s landscape evolution

• Needs for system integration and optimization: system knowledge will

continue to provide differentiation

LED’s landscape evolution

Passive

LED

Sensor

Passive

LED

Sensor

Function layer optics

Function layer electronics

Function layer communication

Function layer optics

Function layer electronics

Function layer communication

•Stack optics and electronics layers:

…LED+driver electronics

•Stack electronics and communication:

…Wireless nodes

•Stack electronics and communication:

…Wireless nodes

•Stack sensor, electronics and

communication layers:

…Wireless sensor nodes

•Stack sensor, electronics and

communication layers:

…Wireless sensor nodes

•Stack optics, electronics and

communication layers:

…Compact LED system

2D mono-function layer2D mono-function layer

2D multi-function layer2D multi-function layer

2D wafer integration 3D wafer integration

15

Value exploration: move up the value chain

Material

equipment

LED chip

maker

Software

System

mgmt

Modules&

Sub-systems

Application

Content

protection

Infrastructure

System

integrator

Service

provider

Content

provider

Delivery

network

Gateway

mgmt

Legislator

regulations

From the hardware supply side

into the solution and services

Lighting’s landscape changes

Much more than

Miniaturization

multi-functionality

multi-discipline

multi-technology

multi-variability

multi-material

multi-interface

multi-process

multi-scale

multi-damage and failure mode

multi-testing targets

multi-application / market

multi-million investment

multi-innovation complexity

multi-talent

multi-supply chain

multi-business models

multi-infrastructure

multi-competition

Much more than

Technology

General Challenges

Outline

SSL Tech & business trends

China SSL status

International SSL Alliance

Sino-NL cooperation

Ling Wu

Secretary General of Chinese SSL Alliance (CSA)

President of International SSL Alliance (ISA)

China’s SSL Development

≥60%

≥50%

≥40%

≥30%

<30%

China Perspectives

Estimated GDP of ~€5 trillion in 2015

Urbanization rate of 50%+ in 2015,10m/per year • 2 billion square meters of new buildings per year

10% middle-class households now, 40% in

2020

Over 10% of population aged 65+ 2015 • Quickly aging society, will reach 16%+ by 2030

More than 50% global infrastructure projects •2009, 70 railway project started, 2000km

•By 2015, tram/metro reach >2000 km

Urbanization rate (2015) • Reduction of energy consumption per GDP;

• Substantial reduction of pollutions;

• Food security;

• Climate changes;

• Resource (Energy/water/food/material) scarcity;

• Pandemics;

Energy-saving &

Environment Strategy By 2015 LED luminaire efficacy 120 lm/W; assuming

30% market penetration; saving electricity 100B KWh

annually; reducing emission by 150M tons;

mercury-free, flicker-free.

Sustainable

Economic Growth Lower energy consumption in full

lifecycle than conventional products

Cultivating Emerging

Strategic Industries Large scale & driving effects

Upgrade traditional industries

High employment opportunities

SSL

Importance of SSL for China

New Chinese government

stated that "We must give high

priority to making ecological progress,

and work hard to

build a beautiful China"

192 B RMB in 2012, growth rate about 24%

Epi&chip Output value 6.5 B RMB, growth rate 30%

Packaging Output value 28.5 B RMB, growth rate 14%

Applications output value121B RMB, growth rate 34%

Number of companies above 6000

Source: CSA Consulting

Industrial Output

Source：《China LED Industry Development Report Focusing on General Lighting Market 2012》,CSA

Substrate, Wafer, Chip Package, Module

Application, system

More than illumination Indicator

Backlight

Lighting

A large number of packaging companies, with the largest manufacturing and export capacity

Products are moving to SMD, mid and highpower LED package

Companies' business are extending to cover downstream

A large number of enterprises

Low barrier, low focus, and lack

of brand

Advantages on part of

functional lighting applications

Innovative applications, such

as agriculture and medical, are

booming

SSL industry has long industrial chain, broad applications and diversified

development.

Domestic LED chip companies

are over 60 until 2011

Over 900 MOCVD are

maintained in China Mainland

The first 48-piece 2-inch type

industrial MOCVD prototype

Still a tech gap compared to

international advanced level

Complete SSL industry chain

• Efficacy of HP chip in mass production > 120 lm/W

• Si substrate GaN chip > 100 lm/W

• Some of applications are leading

• White LED package level efficacy > 130 lm/W

• OLED > higher than 40 lm/W

• Prototype of home-made 48 wafer MOCVD

Technology progress

2011 68%

Source: CSA Consulting

Goals • To cultivate SSL market and increase social awareness

• To enhance system integration, identify bottlenecks and weak links on entire industrial chain

• To establish the public platform on testing, standardization and certification

• To explore new business models: EMC (Energy Management Contract) & others

National showcase: “10k and 10 cities”

Showcases

室内照明

21%

其他

1% 景观照明

29%

室外照明

49%

Outdoor

lighting:

49%

Indoor

lighting:

21%

Architectural

lighting:29%

Others:

1%

Energy saving of different applications

40%

50%

80%

60%

0%

20%

40%

60%

80%

100%

路灯 隧道灯 景观 室内Street Tunnel Architectural Indoor

40% 50%

70%

60%

14 industrial bases——

Xiamen, Shanghai, Dalian,

Nanchang, Shenzhen,

Yangzhou, Shijiazhuang and

etc.

珠三角

长三角

闽三角

环渤海

Yangtzi river delta

Is the most industrialization

area of SSL in China with

investment on whole

industry chain

Fuzhou,Xiamen,and

NanChang

There is large scale

investment in upstream for

epi and chip

Shenzhen,Foshan,and

Guangzhou

Own large scale LED

industry of packaging

with the most active

economy activities

Beijing,Hebei,Shandong,

and Dongbei

Leading the research,

focus on epitaxial & chip

4 industrial regions——

More than 85% SSL enterprises

have gathered in :

•Pearl River Delta

•Yangtze River Delta

•Area of annulus Bohai Sea

•Jiangxi and Fujian

Large scale industrial eco-system

Challenges

Challenge I

Lack of core

technology and

IPs for LED chip

Challenge II

SSL development challenges

Challenge IV Challenge III

SSL products

quality varies

Business environment

to be optimized Industry

resources to be

consolidated

“I-A-R” Collaboration

Basic

Research Core Tech

Research

Product

Development Industrialization

Standardization & Development

Support

sustainable SSL

Industry dev.

973 Plan

SSL Basic Research (Next

Generation)

863 Plan

LED fabrication key

breakthrough

National Key Technology

R&D Program application products development,

system integration and innovation

Enhance innovation chain

International Open Innovation Center for SSL

- State Key Lab for SSL (SKL-SSL)

Objective: Build a globally open and sustainable SSL innovation platform for

• Key technologies

• Specifications and standards

• Top talents development

• Industrialization and valorization

by collaborating with world-wide leading industries and academia covering the whole

SSL value chain, to solve both middle and long term technologic challenges.

联盟

共享机制

Company X: Entry fee +

Research cost

Company Y: Entry fee + Research

cost

Sharing Mechanism

Joint

investment

Open Sustainability Share

Pro

ject s

co

pe

s, p

artia

l bud

ge

t

and

sta

ff from

co

mp

an

ies

Organization Contract

Ce

ntra

lize

d m

ana

ge

me

nt o

f

Sta

ff, bud

ge

t &fa

cility

ensure ensure

Optimise value chain

• Avoid low end overheating

• Broaden application path to address wide society needs

• Explore new business models

Strengthen service chain • Standards and testing methods

• Quality control via CSA channel management

• Market surveillance

• New government regulations

• Public awareness and media

Outline

SSL Tech & business trends

China SSL status

International SSL Alliance

Sino-NL cooperation

International Solid State

Lighting Alliance

Mission: International

cooperation using global

initiatives, effort and

resources to:

•accelerate and foster the

development of global SSL

technology, industry and

applications

•enhance people’s life and create

green and sustainable society.

Objective: not-for-profit

NGO, to serve

•SSL Industry

•SSL R&D community

•Global society at large

Uniqueness

• ISA industrial members cover whole value chain

- Material, equipment, devices, modules, products, systems, designer, manufacturer, testing.

- Covering nearly all global leading players

• Teaming industries with academia

- Leading universities and institutes

(research and testing)

• ISA association and society members represent more than 3500 members

Scope of Activities

2. Initiate, promote and coordinate global

showcases

1. Develop Global Strategic Research

Agenda (SRA)& Global SSL Outlook (GSO)

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2012

2022

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2012

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3. Strengthen global eco-system (Multi-level

curriculum, education & training, talent

development, etc.)

4. Facilitate dialogue and cooperation on

standardization & testing methods

5. PR and promotion (Conferences, Seminars,

public awareness, media, global contests)

2012 ISA results

ISA Global SSL Student Contest ISA Global SSL Showcase Top 100

ISA Global SSL Events of the Year 2012

ISA Global SSL Outlook (GSO)

ISA Strategic

Research Agenda

(SRA)

ISA 2012 BRICS E3 SSL Summit

• “ISA 2012 BRICS E3 Summit” (Emerging Economies, Emerging Market & Emerging Technology) was held from November 6-7, 2012 in Guangzhou, China.

• Five delegation leaders from corresponding BRICS countries gave presentations consented on BRICS SSL Network (BSNet)

ISA 2012 Seminar (Frankfurt, Germany)

Outline

SSL Tech & business trends

China SSL status

International SSL Alliance

Sino-NL cooperation

38

Sino - Dutch cooperation on SSL 2012

1. Joint innovation forum

2. Matching making

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Sino - Dutch cooperation on SSL 2012

3. Short course for Chinese CEOs of SMEs

4. Joint int. summer school

Sino - Dutch cooperation on SSL 2012

5. Seven PhDs started in BRC 6. MOU to set up Delft Research Centre

(DRC)

7. NWO/MOST cooperation project

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Sino - Dutch cooperation ideas for 2013

1. DRC starts operation Our great appreciation for the support from NL ministry of Economy

Affaires and TUD

2. Extend BRC’s PhD portfolio – new PhD projects

3. Willing to cooperate with TNO and NL Lighting program

4. More NWO/MOST LED projects

5. Further promote bilateral business cooperation

6. Other MOST/NL bilateral government projects

7. More ……………..