Firms vying for LED market

A growing number of domestic and overseas lighting manufacturers are turning to smart solutions like light-emitting diode products to sustain growth in China's rapidly growing lighting market, the top executive of a global lighting major said.

"LEDs are increasingly being used for commercial and home purposes in China and this has ensured sustained business growth for companies. However, the industry will soon have to brace for changes, as smart lighting solutions that can be integrated with the Internet will drive demand in the future, said Eric Rondolat, chief executive officer of Philips Lighting.

"We are leading the way for a lighting market that will depend on smart Internet solutions for business growth," Rondolat said.

Philips, a global leader in lighting, displayed its latest products that highlight state-of-the-art Internet connected lighting systems available for home and outdoor applications during the Guangzhou International Lighting Exhibition, which opened on Monday in Guangzhou, the capital city of Guangdong province.

Comprehensive smart lighting management software can deliver targeted, intelligent illumination, and help reduce costs by providing the right light at the right place and at the right time, as well as enable users to tailor lighting systems according to their preferences via mobile apps, Rondolat said.

"Smart solutions, which enhance the lighting experiences of users at home, or in offices and other public places, will be the next big trend for the LED industry," he said.

Philips and Alibaba Group Holding Ltd, the Chinese e-commerce giant, have signed a memorandum of understanding, under which Alibaba will provide Philips with a cloud computing service and also provide smart lighting products to Chinese customers, according to Tommy Leong, president of Philips Lighting (Greater China).

According to Leong, the two companies also intend to collaborate on big-data exchanges and analysis to provide smart lighting solutions to Chinese customers.

"The future for the LED industry relies on an integration of intelligent management, Internet, terminals and online applications.. It will greatly improve people's lives and create new business values," Leong said.

The annual lighting event in Guangzhou saw increased participation of nearly 3,000 domestic and foreign manufacturers.

The expansion of the exhibition floor this year represented the booming development of the lighting industry, which is characterized by smart illumination, sustainable lighting solutions and technology integration of the LED lighting, according to the organizers.

Another international lighting giant GE Lighting said it is working with visual light communications startup Byte-Light to create networked light fixtures that can communicate with smartphones using light and Bluetooth.

Chinese manufacturers are also looking for new technology to boost their presence in the market.

Zhao Nengxiang, assistant general manager of Guangdong SOK Electrical Appliance Co Ltd, said the company's new solutions for the LED management system would help boost business.

"We are promoting a new way for the lighting industry. We believe the future business growth will depend on smart solutions for LED products," Zhao told China Daily.

In a move to promote efficient and clean use of energy, China has banned the use of 650 million incandescent light bulbs annually in the past five years, sources with the National Development and Reform Commission, the nation's top planner, said.

The country also decided not to allow the import and sale of 60-watt or above bulbs as of October this year.

By the end of 2015, China expects LED products to account for 30 percent of the domestic lighting, three times more than the present level, the NDRC sources said.