Share price for LED driver IC design houses subjec
Date Posted:2008-7-11 16:45:11
Some Taiwan LED driver IC design houses have seen their share price weaken recently because of concerns about a possible oversupply in the second half of 2008.

ĦĦĦĦDespite LED seeing growing penetration in many applications, industry players commented that most Taiwan-based LED driver IC designers focus their products on the low-end of the market, such as for toys, billboards and handsets, instead of for notebook or LCD TV backlight applications. Therefore, the increased penetration of LEDs will not benefit their bottom lines much, the industry players commented.

ĦĦĦĦWhile its true, however, that some LED driver IC design houses have launched products targeting notebook and LCD TV applications, it takes an extended period of time to have such products validated by customers, so the design houses are unlikely to get meaningful orders for higher-end applications in 2008.

ĦĦĦĦIn addition, sources at LED driver IC design houses noted that the potential sales contribution from notebook applications might be exaggerated. LED backlight units (BLU) require less LED drivers than some market watchers estimated in the past, meaning that even these segments will not grow as much as some people predicted.

ĦĦĦĦAmid such conservative analysis, the share price of Macroblock and Silicon Touch Technology have been exposed to downward pressure this year. Both companies, though posting a solid second-quarter performance, saw their share price drop to new lows since March as worries about a weaker-than-expected third quarter performance surface.

Publisher:China Conserves energy lamp net