June 25, 2024

Micro-LED Market is Estimated to Witness High Growth Owing to Increased Adoption in Smart Displays

Micro-LEDs are next generation displays that use inorganic light emitting diodes as pixel elements. They provide advantages over traditional LED and LCD displays such as higher brightness, better contrast, wider viewing angles and longer lifespan. Micro-LED displays can be made in small, medium or large sizes for various applications. They are increasingly being adopted in premium smartphones, smartwatches, tablets and large format 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 2030.

Key Takeaways

Key players operating in The Micro-LED Market are 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. The key opportunities in the market include growing demand for energy efficient and high resolution displays, increasing adoption of wearable devices and miniLED backlit LCDs. Technological advancements such as transfer printing, mass production and development of mini and micro LEDs will further drive the market growth.

Market drivers: Increasing demand for high resolution and energy efficient displays from consumer electronics and automotive industries is a key factor driving the Micro-LED market growth. Miniaturization of display sizes and increasing popularity of wearable devices such as smartwatches and AR/VR headsets are also augmenting the market expansion. Advancements in Micro-LED production and transfer printing technologies have improved manufacturing feasibility and reduced costs which is encouraging adoption across various end use industries. Rapid replacement of conventional LED and LCD displays with superior Micro-LED variants will continue to propel the market over the forecast period.

Current challenges in Micro-LED Market

The Micro-LED market is still in its nascent stage with many technological and manufacturing challenges that need to be addressed by the players. High infrastructure investment and setup cost, limited LED sources and mass transfer problems are some of the key issues hindering the large scale production of Micro LEDs. The demand supply gap is very high currently. Scaling up Micro LEDs from small prototype sizes to larger display sizes require new production techniques. Lack of standardization in Micro LED technology is also restricting its adoption. Micro LED yields are very low making the technology expensive. Significant research needs to be done to improve the efficiency and bring down the costs.

SWOT Analysis

Strength: Micro-LED displays are thinner, brighter and more power efficient than OLED/LCD displays. They have long operational lifetimes without image retention or degradation issues.

Weakness: High production costs. Manufacturing Micro LEDs at scale poses technical challenges. Only a few companies have the capability currently.

Opportunity: Growing demand for brighter, efficient and lag-free displays in smartphones, laptops, VR/AR devices and large displays provides growth opportunities. Micro-LED is considered the display technology of future.

Threats: Stiff competition from incumbent display technologies like OLED. Currently OLED enjoys economies of scale advantage over Micro-LED. Dependence on limited raw material sources can be a threat.

Geographical regions with market concentration

Currently North America holds the major share of the global Micro-LED market followed by Asia Pacific region. The USA and China are two major countries concentrating on the research and development of Micro-LED displays. Several startups and large technology companies based in Silicon Valley and other parts of USA are investing heavily in Micro-LED display technology. In Asia, companies from China, South Korea, Taiwan are actively working to commercialize Micro-LEDs and capture the future market.

Fastest growing region

The Asia Pacific region is expected to witness the highest growth in the Micro-LED market during the forecast period. This is due to presence of LCD/LED display manufacturing hubs and consumer electronics companies in countries like China, Taiwan, South Korea and Japan. These companies are aggressively testing and adopting Micro-LED technology to gain competitive advantage over others. The availability of manufacturing infrastructure, resources and large domestic market makes Asia Pacific region the fastest growing region for Micro-LEDs.

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