LED packaging service provider Everlight Electronics plans to increase its monthly packaging capacity from 4.5 billion LED chips to 5.5 billion units, according to a Digitimes article. The company intends to use the additional capacity in particular for infrared devices, fine pixel pitch displays, and automotive lighting, according to the article which cited industry sources. The company expects the new capacity to go into operation in third-quarter 2017.
The packaging capacity expansion comes amid growing demand in the China market in which revenues from fine pixel pitch LED displays are projected to rise 30-40% during 2017 compared to 2016. Additionally, many smartphone producers will launch new models in the third quarter of 2017. These new models will need LEDs for cell phone camera flashes, according to the article.
Everlight forecasts that in 2017, the revenue proportion of infrared LED devices will rise to 20% and that for LED automotive lighting to increase to 6%.