You've likely heard that LED lighting is a good thing. I'd go so far as to say it has the potential to help make history and change the world. The latest research data indicates that a decade from now, nearly half of the commercial lighting business will be owned by LED lighting. Here are five illuminating truths:
- It's a massive $100 billion market that already exists.
- The lighting market will increasingly look, feel and operate like the information technology industry. Light bulbs represent the world's last vacuum technology.
- The traditional lighting business fosters long-accepted rules, particularly around innovation. Traditional manufacturers take 16 months to two years to innovate--far too long to bring today's customers the changes they want and need. So startups are breaking the rules, compressing innovation cycles into as little as three months.
- The lighting industry must start to view the world as a commercial whole, creating a global supply chain. By conducting LED research in the U.S. and diversifying manufacturing across the globe, it's possible to be an asset-light company that doesn't invest a lot of precious capital in fixed production costs, resulting in a significant, positive impact on product cost.
- LED prices will continue to decline until there's a thriving, global mass market. At a $10 price point, the payback will be one year and the residential market will explode.
8/18 Forbes http://www.forbes.com/2010/08/18/led-bridgelux-lighting-technology-watkins.html