CREE provides the market with solutions of led lights29-11-2013
CREE is a LED integral manufacturer for LED chip, packaging, and LED lighting solution. Initiated itself from global strategic perspective, CREE has, in sequence, established chip and packaging plant in China. As a global and well-noted LED manufacturer, CREE has always adhered to the facilitation of LED light revolution, the promotion of green energy-conservation and environmental-friendly LED lights and elimination of low-efficiency halogen lighting source. In such a way, what are the planning and viewpoint of CREE in light of future technology and product development with the company? And how Cree has so accurately discovered its position so as to quickly realize its development for lighting marketing? During LED forum Taipei 2012, Mr. Mark McClear, VP from product application department of component business division of CREE, received the interview of LEDinside, and shared with us the ways of development by CREE.
Service of lighting industry, offering quality product and high-service spirit
CREE has acquired LED Lighting Fixtures Inc. (LLF) and Ruud Lighting respectively in 2007 and 2011 as it unveiled its technological development of lighting products. With the acquisition of these two lighting companies, CREE cannot only have obtained patents for lighting products, but also visibility and strength of channels for brand popularity. Most of all, it has, on marketing development of light, obtained the inevitable patents and brand strength. For if it is to start from the beginning, it can be most time-consuming. Besides, these two lighting companies have helped to expanded sales channels for Cree in terms of its lighting products, and realized its vertical integration. All and all, the involvement of Cree with terminal-end lighting domain can be, as well, inductive conducive to its further penetration to appreciate the needs of lighting manufacturers at terminal, so that it can carry out better cooperation with them as it provides more well-cut products that suit the terminal-end market. The development of Cree at down-stream lighting market has then further slanted to those more advanced and efficient lamps for interior decoration, and released them to the market and clients so as to promote the innovation and development of lighting market. For the time being, commercial lighting is found with rather favorable development for sales in northern America.
In view of development for component business, Cree will, in the future, continue to make effort on the application of novel technology on lighting products. Aside from putting forwards forth with high-quality and high cost-effective products, such as those released XB-D、XT-E、XP-G2 released this year, it will further develop new-generation product platform. In addition, it will, in 2013, set up design centers in locations around the world to provide solutions for led lights manufacturers.
As of Asian components manufactures regard US market with promising development, they have, all and all, devoted themselves into LM80 certification. Besides, Cree considers that US lighting manufacturers will, under favorable competition, become aggressive as they shift into LED lights so that lighting market in the northern America can be enhanced in more swift terms. Meanwhile, Cree finds much recognition to market reputation and competence of technological development with its own products, for it does possess significant advantage both in terms of directional and non-directional products, whether if it is of cost-effective and thermal management, or product reliability.
As indicated from the latest financial statement of 3Q in 2012, the gross profit rate of Cree has increased to 36.8%, while the gross profit rate of its LED component products can reach as high as 40.2%. As for the gross profit rate of LED lights, it reaches 31.6%, showing the fact that Cree will not only provide the market with quality products, it has conduct rather strict management with its cost management. Furthermore, Cree remains quite optimistic for market prospect next year, whereas the lighting market has, in 2012, been benefited from the increase of LED lighting products from several major plants. In 2013, the trend should uphold, especially the development of commercial lighting will, under the context of increased supply for LED lighting products, find easier access to the market as of high power fee. In the future, Cree will work to provide residential and vehicular led lights manufacturers LED lighting solutions based on more accurate products and service spirit as it persists with continuous breakthrough and innovation. As such, it can expand its market, and assist all of its clients and users with energy and money conservation.