Amsterdam – Royal Philips Electronics (NYSE:PHG, AEX:PHI) announced today it
will invest in the setting up of a high power LED production facility in Singapore. Initial
production is expected to start in Q1 2007, ramping up to double Philips’ total power
LED production capacity by the end of 2007.
This investment is part of Philips Lighting’s strategy to strengthen its leadership position
in the fast growing and rapidly emerging power LED market. The plant will be a high
volume production facility for the LUXEON® range of LEDs, employing about 900
people at full capacity. The LEDs are used in city beautification lighting, LCD displays,
camera flash for mobile phones, automotive applications and various other applications.
Theo van Deursen, CEO of Philips Lighting and member of Philips’ Board of
Management, comments: “This investment will not only double the production capacity
of our power LEDs in the next year and strengthen our number one position in this
field, it will also significantly increase efficiency, supporting our aim for profitable
Philips Lighting is focusing on the power LED market, which has an expected annual
growth of 25% over the coming years. The long-lasting LUXEON® range of power
LEDs matches the brightness of conventional light sources and for the first time, makes
it possible to replace incandescent, halogen and fluorescent bulbs in many products with
smaller, longer-lasting and more energy efficient LEDs.
Solid-state lighting is seen as the biggest revolution in lighting technology since Thomas
Edison invented the incandescent bulb. Although it has been a niche solution for general
lighting markets in the past, the creation of white-light LEDs a few years ago has
transformed its potential. Over time, solid-state lighting is expected to revolutionize
lighting in homes, cars, shops and cities.