June 14, 2024
Micro-LED Market

The Micro-LED Market drives trends towards miniaturization by 6.6% CAGR

Micro-LEDs are semiconductor devices that emit light and produce high-quality images without the need for backlighting. They are capable of creating brighter and more power-efficient displays compared to OLED and LCD technologies. With lower manufacturing costs, wider color gamuts, and longer operational lifespans, Micro-LEDs are being adopted for various applications ranging from AR/VR headsets to smartphones, smartwatches, and large commercial displays.

The Global Micro-LED Market is estimated to be valued at US$ 314.67 Mn in 2024 and is expected to exhibit a CAGR of 6.6% over the forecast period 2024 To 2031.

Key Takeaways

Key players operating in the Micro-LED market are Albéa S.A., AptarGroup, Inc., Axilone USA, ShyaHsin Packaging (China) Co., Ltd., Lumson SpA, Toly Group, Cosmopak Corp., Yoshida Industries Co., Ltd., Mitani Valve Co Ltd., HCP Packaging (Shanghai) Co. Ltd., Quadpack Industries, S.A., Kolmar Laboratories, Inc., and others. Growing demand for high-resolution displays in consumer electronics, automotive, and commercial sectors is a major factor fueling the growth of the Micro-LED market. Key players are expanding their Micro-LED manufacturing facilities globally to cater to the rising demand.

The Micro-LED Market Demand is witnessing high growth owing to increasing demand for brighter and more power-efficient displays. Consumer demand for sharper images on devices is driving the adoption of Micro-LED screens in smartphones, smartwatches, VR headsets, and digital appliances. Furthermore, Macro-LED displays are gaining popularity as an alternative to conventional billboards and commercial signage due to their long operational lifespans without degradation of image quality over time.

Market key trends

One of the major trends in the Micro-LED market is the shift towards miniaturization of display modules. Micro-LED technology enables manufacturers to develop self-emissive displays with pixel sizes between 1-100 microns. This allows the creation of very thin, flexible screens that can be integrated across various device form factors. Ongoing technological advances aim to bring down Micro-LED pixel sizes below 5 microns to resemble LCD/OLED display resolutions. This will encourage widespread adoption across consumer and medical display applications going forward.

Porter’s Analysis

Threat of new entrants: The Micro-LED market faces low threat from new entrants due to high start up costs of manufacturing Micro LED panels and long lead times for developing Micro LED technologies.

Bargaining power of buyers: The bargaining power of buyers in the Micro-LED market is moderate as key end use applications like smartphones have established suppliers of display technologies. However, buyers can negotiate on price and quality requirements.

Bargaining power of suppliers: The bargaining power of suppliers is moderate as key materials used in Micro LEDs like gallium nitride substrates have few large suppliers globally leading to pricing pressures at times of high demand.

Threat of new substitutes: The threat of substitutes is low for Micro-LEDs as established display technologies like OLED and LCD have significant investments in production and lack brightness levels offered by Micro LEDs.

Competitive rivalry: The competitive rivalry in the market is high due to global technology companies investing in Micro LED R&D to gain first mover advantage.

Geographical regions with market concentration: Currently North America and Asia Pacific hold majority of the market with major companies developing and testing Micro LED displays. Countries like the US, China, South Korea and Taiwan account for over 70% of the global market value currently.

Fastest growing region: The Asia Pacific region especially China, South Korea and Taiwan is expected to be the fastest growing region during the forecast period supported by huge technology investments and presence of display panel manufacturing hubs in these countries. The regional market is expected to grow at a CAGR of over 10% during 2024-2031.

1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it