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　　 In September 2011, the signing ceremony of Shanghai Shikete Optoelectronic Industrial Park was held in Luanping County, Henan Province. The Shikete Optoelectronic Industrial Park plans to invest 2 billion yuan and put 500 sapphire crystal growth furnaces. The total output value is expected to be About 5 billion yuan, creating a profit of 2 billion yuan. At the same time, Schcott will work with Pingmei Blue Sky Chemical Co., Ltd. to build a five-kilowatt park supporting power plant.
Today, the investment in sapphire is extremely overheated, and this investment by Schcott has attracted the suspicion of “overcapacityâ€. In this regard, Schott's vice president Wang Xiaoou disapproved: "If you are always in the lead of technological innovation, it means that your products will not be surplus in the industry." How to avoid overcapacity, the technology of sapphire substrate, price cuts Will it continue? With a series of questions, Gaogong LED reporter and Wang Xiaoou conducted an in-depth discussion.
Overtaking in the context of overcapacity
High- tech LED: In September 2011, Schott Photoelectric Industrial Park invested a total of 2 billion yuan in Henan Province and invested in 500 sapphire crystal growth furnaces. I have always been confused. The investment in the sapphire project in 2011 has been overheated. Everyone is saying that there is excess capacity. You are not worried about this problem?
Wang Xiaoou: This depends on what companies are investing, and the capacity is not really surplus. Most of the manufacturers investing in sapphire come from the photovoltaic industry. The photovoltaic industry has had such a phenomenon. The planned project is very large, but it has not been taken up, so it is not excluded that the sapphire industry will also have this situation.
From the perspective of the industry, China is a big country with professionalism, and there are surplus problems in any industry, but only the enterprises related to the door have no closed industries. As long as we have the advantages of technology, cost, management and other aspects, and our advantages are enough to overcome our competitors, we always think that this industry is good.
On the other hand, the surplus of the industry must also be a bad thing. Because they all see the prospects of this industry, they only voted for this industry. If the industry is very unpopular and everyone is afraid to do it, or if it is not worth doing, then we will not do it.
High-tech LED: What do you mean by hoping to make a corner overtaking in this round of chaos? How do you view the needs of the future market?
Wang Xiaoou: We feel that we have the strength of this overtaking. We just want to overtake the corner. Our corner is still super.
Those products of poor quality will be surplus, and good sapphire substrates will not be surplus. Last year, the 2-inch chip market was very good. Basically, it was the degree of buying. Now it is starting to transition to 4 inches. In the first half of 2012, customers basically requested 70% of the products to be pss products. Seizing the opportunity in the innovation process, or you are always in the lead of technological innovation, means that your product will not be surplus in the industry.
For more information, please refer to the January issue of "High-tech LED-Technology and Applications" magazine. 
[Source: "High-tech LED-technology and application" January issue Hu Yanling]