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In 2013, Hongqi improved its product portfolio and actively cut into the display product supply chain with better gross profit performance. It is optimistic about the display market that is constantly pursuing saturation, resolution and small pitch. At present, Hongqi's RGB LED package specifications are 2020, 1010 and 0606, the 0606 RGB LED package specification released in July 2013 has also entered the mass production stage, but in terms of customer's willingness, RGB LED products with package size 1010 still account for a large number.
It is reported that the effectiveness of Hongqi into the display supply chain began to appear in the third quarter of 2013. The contribution of revenue in the fourth quarter continued to increase. At present, the customers are mainly mainland display manufacturers, and their RGB LED products accounted for the overall revenue in 2013. Not high, but with the RGB LED package specifications shrinking, coupled with the new Driver IC, Hong Qi expected, revenue from the display market will continue to grow in 2014, accounting for the overall revenue share of Hong Qi is also expected from 2013 Within 5% of the year, it has risen sharply to 15%.
In addition to continuing research and development of RGB LED products in 2013, Hongqi expects the next-generation RGB LED package specifications to be advanced to 0404. In addition, Hongqi believes that in addition to LED package components, the control system is also the display color. The key to showing good and bad, therefore, Hong Qi also joined the driving IC factory to build a new joint venture company, the new precision company, using the advantages of both LED and driver IC to deepen the display market.
With the improvement of RGB LED packaging technology, the resolution of the display market has increased, and with the demand of international sports events, LED factories have been targeting the display market. Taiwan's LED packaging factory Hongqi actively launched RGB LED products in 2013. The package specifications will be advanced from 2020 to 0606. The current monthly production capacity of RGB LED is about 50KK. In 2014, the target will increase the monthly capacity of RGB LED to 100KK.