Chip Scale Package (CSP) LED

Global Chip Scale Package (CSP) LED Market to Reach US$7.6 Billion by 2030

The global market for Chip Scale Package (CSP) LED estimated at US$2.4 Billion in the year 2023, is expected to reach US$7.6 Billion by 2030, growing at a CAGR of 17.5% over the analysis period 2023-2030. High Power Range CSP LED, one of the segments analyzed in the report, is expected to record a 17.8% CAGR and reach US$3.7 Billion by the end of the analysis period. Growth in the Mid Power Range CSP LED segment is estimated at 18.1% CAGR over the analysis period.

The U.S. Market is Estimated at US$673.6 Million While China is Forecast to Grow at 16.7% CAGR

The Chip Scale Package (CSP) LED market in the U.S. is estimated at US$673.6 Million in the year 2023. China, the world`s second largest economy, is forecast to reach a projected market size of US$1.1 Billion by the year 2030 trailing a CAGR of 16.7% over the analysis period 2023-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 15.5% and 14.8% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 12.6% CAGR.

Global Chip Scale Package (CSP) LED Market - Key Trends & Drivers Summarized

How Are Miniaturization and Efficiency Trends Boosting the CSP LED Market?

The Chip Scale Package (CSP) LED market is experiencing rapid growth due to the demand for compact, energy-efficient lighting solutions across various industries, particularly automotive, consumer electronics, and general lighting. CSP LEDs, known for their reduced size and enhanced heat dissipation capabilities, have become a favored choice as the industry moves toward miniaturization. Unlike traditional LED packages, CSP LEDs do not have wire bonds or additional packaging, making them significantly smaller, which allows manufacturers to use them in space-constrained applications. The automotive sector, with its emphasis on advanced headlamps, daytime running lights, and interior lighting, has especially benefited from CSP LED technology, as it meets stringent design and efficiency requirements. This miniaturization trend, coupled with the drive for energy-efficient solutions, has positioned CSP LEDs as a pivotal component in the evolution of lighting technology.

What Role Does Innovation Play in CSP LED Development?

Innovation in CSP LED technology is pivotal to its market expansion, with manufacturers focusing on enhancing brightness, thermal management, and color consistency. Advances in materials, such as the use of higher-grade phosphors and improved substrate materials, have led to CSP LEDs with better lumen output and greater color stability. Manufacturers are also investing in better heat dissipation techniques, including advanced thermal pads and copper-based substrates, which improve the lifespan and reliability of CSP LEDs, especially in demanding applications like automotive lighting and high-brightness displays. The development of multi-chip CSP LEDs, which combine multiple light sources within a single package, has expanded the application scope, enabling more complex and versatile lighting solutions. As CSP LED technology continues to evolve, it offers improved performance and flexibility that cater to the high expectations of industries aiming for compact yet powerful lighting options.

Which Sectors Are Fueling Demand for CSP LEDs?

The demand for CSP LEDs is fueled by a diverse range of sectors, notably automotive, consumer electronics, and general lighting, each of which seeks the advantages of compact size, high efficiency, and robust performance. The automotive industry remains a significant consumer, utilizing CSP LEDs in headlights, taillights, and ambient interior lighting, where durability and energy efficiency are critical. In consumer electronics, CSP LEDs are increasingly popular in smartphone backlighting, wearables, and display screens, where space is at a premium, and heat management is essential for device longevity. The general lighting sector also sees strong adoption, particularly in architectural and commercial lighting, where energy efficiency and brightness are prioritized. Additionally, CSP LEDs are finding applications in healthcare and UV sterilization products, expanding their utility beyond conventional lighting. This multi-sectoral demand underscores the versatility of CSP LEDs, positioning them as a valuable component in modern technology applications.

What’s Driving Growth in the CSP LED Market?

The growth in the CSP LED market is driven by several factors, including the demand for miniaturized electronic components, advancements in LED technology, and expanding applications in lighting and display industries. The trend toward miniaturization in electronics has fueled the demand for CSP LEDs, as they offer the compact form factor and high efficiency required for modern applications. Technological advancements in LED materials, such as improved phosphors and better substrate options, have further enhanced CSP LED performance, making them suitable for high-lumen output and long-lasting applications. Expanding use in sectors like automotive, where CSP LEDs are preferred for their durability and precision, also supports market growth. Additionally, rising demand for energy-efficient lighting solutions, particularly in emerging markets, drives CSP LED adoption in general lighting. Together, these factors highlight the CSP LED market’s strong growth potential as industries continue to prioritize compact, efficient lighting solutions.

Select Competitors (Total 36 Featured) -

• Bridgelux
• Cambridge Nanotherm
• Cree
• Epistar
• Everlight Electronics
• Genesis Photonics
• Hongli Zhihui Group (Honglitronic)
• Lextar Electronics
• LG Innotek
• Lumens Co., Ltd.
• Lumileds
• Nichia
• Optoled
• Osram Opto Semiconductors
• Plessey Semiconductors
• Samsung Electronics
• Semileds Corporation
• Seoul Semiconductor
• Shenzhen Dpower Opto-Electronic
• Shenzhen Mtc
• Unistars

Please note: Reports are sold as single-site single-user licenses. Electronic versions require 24-48 hours as each copy is customized to the client with digital controls and custom watermarks. The Publisher uses digital controls protecting against copying and printing is restricted to one full copy to be used at the same location.

The latest version of Adobe Acrobat Reader is required to view the report. Upon ordering an electronic version, the Publisher will provide a link to download the purchased report.

Prior to fulfillment of an order, the client will be required to sign a document detailing the purchase terms for a publication from this publisher.