Micro-LED is a display technology comprising arrays of microscopic light-emitting diodes that act as pixels for digital displays. Micro-LED displays offer wide viewing angles, high contrast ratios, local dimming, wide color gamuts, and no need for backlighting. They also create sharper images and are more durable than traditional LED and OLED displays. The rising demand for brighter, more energy-efficient displays across consumer electronics, advertising & automotive industries is driving the growth of micro-LED technology.
The global Micro-Led Market is estimated to be valued at US$ 314.67 Million in 2024 and is expected to exhibit a CAGR Of 6.6% over the forecast period 2024 To 2031, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
The increasing demand for energy efficient displays across consumer electronics and other industries presents a major opportunity for the growth of micro-LED market. Micro-LED displays consume 70-80% less power than traditional LCD displays. They are thinner, durable, brighter and also provide better contrast ratio and colors compared to LCD and OLED displays. With the rising environmental concerns about energy usage, micro-LED technology is well- positioned to gain adoption as it offers significant energy saving benefits over other display technologies. The superior power efficiency of micro-LED displays will continue to drive their demand across diverse end use industries going forward.
Porter's Analysis
Threat of new entrants: Low capital requirement and technology barrier will allow new companies in the industry. However, established players have scale of operations and strong distribution channels.
Bargaining power of buyers: Buyers have high bargaining power due to the availability of substitutes. They can negotiate on price and demand high quality products.
Bargaining power of suppliers: Few chip manufacturers and material suppliers dominate the market. This gives them strong bargaining power over pricing and supply contracts.
Threat of new substitutes: OLED and LCD remain major substitutes. However, micro-LED has superior properties that can reduce substitution threat in future.
Competitive rivalry: Intense competition exists among global manufacturers. They compete on technology innovation, miniaturization, and pricing.
SWOT Analysis
Strength: Superior brightness, contrast, response time, durability and energy efficiency compared to OLEDs. Growing demand for larger display sizes and miniature LEDs.
Weakness: High initial production cost. Difficulty in mass transferring micro-LEDs due to tiny size. Requirement of high-volume manufacturing.
Opportunity: Scope in applications like smartphones, laptops, smartwatches, AR/VR and digital signage. Supportive government policies and investments in South Korea, China and Taiwan.
Threats: Slow adoption rate and pricing challenges limiting mass consumption. Dependence on few chip suppliers can affect supply chain. Intense competition from incumbent display technologies.
Key Takeaways
The Global Micro-LED Market Demand is expected to witness high growth. In 2024, the market size is projected to reach US$ 314.67 Mn and grow at a CAGR of 6.6% during the forecast period of 2024 to 2031.
Regional analysis:
Asia Pacific dominates currently due to strong manufacturing base in China, South Korea and Taiwan. Many players are establishing micro-LED production facilities in these counties. The region is estimated to account for around 65-70% share of the global market by 2031. North America is second largest region driven by early technology adoption in the US.
Key players:
Key players operating in the micro-LED market are Samsung, Apple, Sony, LG Display, eLux, Inc., Oculus VR (Infiniled Ltd.), Verlase Technologies LLC, Aledia, and X-Celeprint Ltd. Samsung has shown aggressive approach in technology development and commercialization. It aims to introduce micro-LED TVs and monitors by 2023.
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