ALT: A Newcomer in the LED Industry with Core Advantages 2009-11-02
In the current LED market, there are two main production outputs: one being the LED backlighting sector, which is widely adopted by international giants, and the other, the LED lighting market, which is predicted to bring significant business opportunities but is still in its infancy. LEDinside recently interviewed James Liang, General Manager of ALT (Aeon Lighting Technology), which focuses on the lighting field, to analyze the potential developments and trends in the LED lighting market in 2010 from the perspective of High Power LED expertise.
ALT: A Newcomer in the LED Industry with Core Advantages
General Manager James Liang noted that ALT is a new player in the LED industry. Since its establishment in 2007, the company has dedicated itself to the development of High Power LED products and acquiring related safety certifications. According to LEDinside’s observations, ALT, while not a major player at the start, is a High Power LED company funded by SuperMicro, a server manufacturer. One of its advantages lies in leveraging server-related heat dissipation and driver technologies in LED products. This expertise in product design, mold development, and system integration helps improve the stability, lifespan, and cost efficiency of High Power LED products.
Global Giants See 2012 as the Turning Point for High Power LEDs
James Liang explained that ALT has been developing High Power LED primary lighting products for some time, continuously addressing challenges related to stability, heat dissipation, and lifespan. While LED technology has advanced from secondary lighting, increasing brightness, the ultimate goal is to achieve primary lighting applications. However, due to current technological limitations, High Power LEDs are not yet ready for primary lighting. Liang pointed out that major global manufacturers agree that High Power LEDs will only mature enough for primary lighting applications by 2012. He emphasized that the LED market is a niche field, where companies without sufficient R&D capabilities can easily incur losses. Even industry leaders like Cree and Lumileds have limited revenue in the LED lighting domain, with only a few companies generating substantial earnings.
Liang believes that High Power LEDs face instability issues, such as heat dissipation, light decay, and lifespan, which require time to resolve. Observing the current lighting market demand, LED lighting products are not yet ready for mass sales due to significant cost and quality disparities among manufacturers. While LED products for secondary lighting have made considerable progress, their adoption in primary lighting remains in the early stages.
ALT’s LED Lighting Products and Innovations
ALT has developed indoor LED primary lighting products, including BR30, BR40, recessed lights, AR111, and T8 LED tubes. For example, the BR30 (15W) achieves 800 lumens, and the BR40 (20W) achieves 1100 lumens, capable of replacing conventional energy-saving and incandescent bulbs. These products are suitable for various indoor lighting applications, such as chandeliers, wall lights, downlights, and spotlights. ALT’s newly launched T8 LED tube can replace traditional T8 fluorescent tubes, widely used in offices, shopping malls, and other indoor spaces. Compared to international competitors, ALT has taken a relatively fast pace in developing primary LED lighting.
Focus on Dimmable Primary Lighting Products in 2010
In 2010, ALT’s strategy is to focus on primary lighting products for both indoor and outdoor applications, with a particular emphasis on dimmable indoor products. Liang highlighted the energy-saving potential of dimmable lighting, such as reducing illumination in unused parking lots or basements through intelligent power control systems.
ALT’s MR16 LED bulb, for instance, features DC dimming technology, addressing common issues like flickering and stability found in AC dimming products. This technology has been patented in the U.S., Europe, Japan, and Taiwan. ALT’s dimmable products also include E27 bulbs for residential use. The company plans to introduce PWM power management systems by mid-2010, integrating solar energy and dimming systems for outdoor lighting.
Liang stressed that while ALT developed DC dimming technology two years ago, the market was not ready for its introduction. He emphasized the importance of launching products at the right time, backed by robust patent protection to prevent imitation. ALT holds patents for heat dissipation fin designs in Taiwan, Germany, the U.S., Japan, and China, ensuring superior performance compared to competitors.
Comprehensive Safety Certifications and Market Expansion
To date, ALT has obtained safety certifications for 1,188 product models, including UL, ETL, CE, RoHS, and others. Only 50% of its products have been publicly released, with more under development. ALT is now focusing on market expansion and is actively seeking strategic marketing partners to promote mutual growth and create win-win opportunities.
Challenges in the LED Market: Price Wars and Quality Concerns
Liang observed that most Taiwanese and Chinese manufacturers are engaged in price competition, ignoring the importance of technology, quality, stability, and lifespan in the early stages of LED adoption. For example, while international brands like Philips sell MR16 LED bulbs for around $30, cheaper alternatives are priced at $7–14, often sacrificing quality. ALT avoids price wars, prioritizing product quality and after-sales service to establish brand loyalty and market share.
A Global Market Presence
ALT’s products are sold in over 80 countries, including the U.S., Canada, Germany, France, the U.K., South Africa, and others. The company promotes green energy and LED lighting applications worldwide, striving to contribute positively to the environment.
LEDinside’s Perspective
ALT’s strategic planning, technological expertise, and comprehensive safety certifications have given it a competitive edge. Its focus on high-quality products and market positioning allows it to carve out a sustainable niche between international giants and low-cost manufacturers. Strengthening dimming technology and tapping into the commercial lighting market will further accelerate its growth.