With the deepening of global information technology and display technology innovation, display has become one of the main channels of information transmission, its downstream applications are very wide, LED display industry is expected to grow to $20.2 billion in 2023. As the core component of LED display, commonly known as “the brain of LED display”, LED control system also in response to the development needs, more and more towards segmentation, has developed into a 500 ~ 600 million U.S. dollars of professional LED display control market.
LED display control system industry status
Among them, Novastar and Colorlight have already submitted their listing applications and have made new progress. In the near future, there will be listed companies with LED display control system as their main business in the securities market.
Novastar, as a leading company in LED display control system later, serves more than 4,000 customers worldwide and plays an important role in promoting the development of the whole LED display control system industry. From January to June 2021, the company’s total revenue was 643 million RMB.
Its introduction of point-by-point correction technology into the control system field can be considered a technological innovation for the industry. On April 15, as the issuer has completed the financial information update, the Shenzhen Stock Exchange resumed the listing audit of Novastar’s issue, with Minsheng Securities as its sponsor, with a proposed fundraising of RMB 1,085.03 million. Previously, Novastar took the initiative to apply for suspension of the issuance and listing review process because of the epidemic.
Since its establishment in 2012, Colorlight has taken display control system as the basis and gradually extended to other fields. Currently, it is building three major product types: LED display control system, video processing equipment and cloud networking player.
In recent years its performance as a whole has maintained steady growth. 2019 to 2021 January-September, Colorlight’s operating revenue for each period was 230 million RMB, 330 million RMB, 390 million RMB and 380 million RMB, respectively, and the net profit attributable to the mother of the family for the same period was 24.14 million RMB, 62.7884 million RMB, 63.7894 million RMB and 64.2089 million RMB, respectively, on March 29 Colorlight entered the GEM to receive the third inquiry.
Segmentation of LED display control system applications
As LED display is becoming more and more segmented, in order to meet the market demand, some control system manufacturers take specialization in segmentation strategy, some focus on small pitch large screen, car screen, intelligent light pole screen, etc., thus gaining recognition in a certain segment of the market and maintaining stable growth.
01 Mini/Micro LED
Among them, Mini/Micro LED As a new display technology, Mini/Micro LED has been very bullish, and the future is expected to usher in trillions of market demand. Because the market prospect of this field is very attractive, so some control system manufacturers have been laid out in advance.
Novastar starts from several dimensions to continuously improve the brightness and color consistency of the display to better meet the demand for ultra-high picture quality effect of Mini/Micro LED display.
Colorlight also has corresponding technology reserves, such as Mini/Micro LED display technology (including multi-layer correction technology, multi-means color mixing capability, high frame rate and high resolution display technology).
Mooncell elaborate commercial display solutions to help commercial brand value enhancement, is the industry’s first to design HDMI OUT prover port, can be used for small screen with large screen use. loop in /loop out design, the main application cascade, convenient for multi-screen synchronous display.
02 5G+8K
The popularity and application of 5G communication technology will provide impetus for the rapid development of ultra-high-definition video technology, which will effectively promote the development of display, new media, video surveillance, telemedicine, video conferencing, industrial control, intelligent transportation, education and entertainment, and AR/VR fields, which largely broadens the downstream application market of video processing equipment, and the popularity and application of 5G+8K will provide a good environment for the development of the video processing equipment industry. The popularity and application of 5G+8K will provide a good environment for the development of video processing equipment industry.
Novastar has actively laid out 8K products and participated in the formulation of the world’s first AVS3 video standard, which is at the front of the industry. Now, Novastar control system has been successfully applied to the Spring Festival Gala, Beijing Daxing Airport, the Fair and other scenes. Facing the development trend of LED display industry, Colorlight also believes that the popularity and application of 5G+8K will provide excellent market opportunities and good development environment for the company’s product expansion and business growth in the future.
Colorlight has developed a series of new products suitable for 5G transmission and 8K video processing, which have been recognized by customers and the market. With the development of computer technology, semiconductor technology, communication transmission technology and video processing technology, the company strives to realize the innovation of new technology, creation of new products and creativity of new business, and continues to explore the application scenarios of video image display and control technology to help the development of new industries and new industrial chains.
03 Smart Light Pole + Car Screen
In the past two years, China has intensively introduced a number of strategies such as “strong transportation” and “new infrastructure”, and vigorously promoted the construction of “smart street light + vehicle-road cooperation” smart road, which has set off a boom of smart light poles nationwide. In 2020, four municipalities and 13 provinces in China have landed smart light pole projects, and relevant data show that the global smart light pole market size will grow to about $21.88 billion from 2020 to 2026, with a compound annual growth rate of about 16.06%.
Huidu is deeply engaged in the smart light pole screen control system market segment, successfully lighting up the smart light poles in Wuhan, Xi’an, Xining and other places, and the vehicle-mounted screen project has also landed in various parts of China.
04 Movie Screen
At present, there are about 30,000 movie theaters in China, the national screen cloth has about 80,000 pieces, is expected to break through 100,000 pieces in 2023, according to the U.S. market per capita indicators estimated that the Chinese market can accommodate at least 130,000 ~ 160,000 pieces, China’s movie screen market reached the level of 100 billion, the control system field is expected to share 5 billion yuan of market share. The global market capacity that is even more huge.
LED control system has made great progress after years of development. In recent years, LED display industry is developing towards segmentation and specialization, LED control system factory business is also catering to the market trend towards specialized market development, and a complete industry chain has been formed. Although affected by the epidemic, LED control system ushered in the most difficult year ever, but with the rise of subdivision markets such as Mini/Micro LED, 5G+8K, movie screen, intelligent light pole, car screen, the future is promising!