automotive lighting: technology, industry, and market trends - 2016 report by yole developpement

From Technologies to Market

SAMPLE


Automotive Lighting

Technology, Industry, and Market Trends

2016 Report

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• Executive Summary P12

• Automotive Market Trends P41

• Status of the market

• Automotive and GDP

• 2005 - 2015 vehicle sales

• Overview

• Geographical breakdown

• Vehicle type breakdown

• Top 10 automotive manufacturers and associated brands

• Growth drivers

• Macrotrends

• Introduction

• Vehicle electrification (drivers and deterrents, status…)

• Advanced Driver Assistance Systems (ADAS) (drivers and deterrents,status…)

• Automotive industry and supply - Undergoing transformation

o Light Sources and Associated Functions/Applications P61

• History of light sources

• Overview of light sources

• Halogen

• Xenon/HID

• LED

• Laser

• OLED

• Light source vs. lighting functions/applications

• Conclusion

• Automotive Lighting Market P72

• 2015 automotive lighting market status

• 2015 revenue - Breakdown by application

• 2015 revenue - Breakdown by supplier

• 2015 revenue - Breakdown by region of sale and headquarter location

• 2015-2021 automotive lighting market forecast

• Market revenue forecast

• 2015 vs. 2021 comparison - Breakdown by application

• Focus on interior lighting

• Focus on exterior lighting

• In-depth analysis of headlamp market

• Introduction - Low-level functions vs. high-level functions

• Headlamp system

• Segmentation

• Penetration rate by technology (degree 1)

• LED headlamp system

• Key milestones

• Status

• Penetration rate by system type (degree 2)

• Penetration rate by system type (degree 3)

• Summary of technology trends

• Market size

• Highlights

• Headlamp - Split by technology type

• LED headlamp - Split by system type

• Advanced Front Lighting System (AFLS)

• Introduction

• Penetration rate by system type (LED only)

TABLE OF CONTENTS (1/4)

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• Automotive Lighting Industry P97

• Analysis of Tier-1 competitive landscape

• Market share - 2014 vs. 2015

• Supplier ranking per region (Asia, Europe, North America)

• 2013-2015 revenue trends for top 15 suppliers

• 2015 market share vs. 2014-2015 revenue growth

• Emerging suppliers

• Trends

• Company profiles

• Koito (JP)

• Magneti Marelli (IT)

• Valeo (FR)

• HELLA (DE)

• Stanley (JP)

• ZKW (AT)

• SL Corporation (KR)

• Varroc Lighting Systems (IN)

• Depo Auto Parts Ind. (TW)

• Ichikoh (JP)

• TYC Brother Ind. (TW)

• Grupo Antolin (SP)

• Olsa SpA (IT)

• Insights on the Chinese automotive lighting industry

• Main Chinese automotive players

• Key groups, joint ventures, and sub-brands

• Different business models for local supply chain

• Chinese automotive lighting industry

• Chinese market - Market shares

• Chinese industry (main player revenues, capacity, new entrants..)

• LED for Automotive Lighting P149

• Introduction

• History of LED integration

• Drivers for LED integration

• Challenges for LED integration

• Packaged LED classification and applications

• LED device suppliers

• Listing/Mapping per lighting function

• Leaders, followers and emerging players

• Cost aspects

• Trends

• OLED Panel for Automotive Lighting P163

• Drivers and potential applications

• Challenges for OLED integration

• Technology aspects

• Market and industry aspects

• Recent developments

• OLED rear lamp prototypes from HELLA, Osram, and Stanley Electric

• BMW - From prototype to production (M4 GTS)

• Future trends - from 2D OLED to 3D OLED

• Breakthrough design possibilities

• Focus on R2D2 project

• Manufacturing cost

• Introduction

• Industrial roadmaps

• How to decrease it?

• Conclusion



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• Laser Diode for Automotive Lighting P179

• Introduction and history

• Technology aspects

• The BMW i8 laser headlamp

• The Audi R8 laser headlamp

• Luminance aspects

• Laser vs. LED

• Conclusion

• Interior/Ambient Lighting P188

• LED benefits

• Key milestones

• Functions/uses

• Introduction

• Enhanced communication

• Safety

• Physical & electrical system integration

• Different ways to highlight the interior

• LEDs

• Light guides

• OLEDs and luminous textiles

• Integration model

• Partnership required for success

• Mood Lighting - Impact of colored light

• Trends

• Conclusion

• Exterior Lighting P204

• Introduction

• Small lamps

• Milestones

• Product overview

• Turn indicator in side-view mirror

• Front combination lamps

• CHMSL

• License plate lamps

• Rear Combination Lamps (RCL)

• Milestones

• Technical accentuation

• Latest developments (excluding OLED)

• Front Lighting

• Bi-functional headlamp systems

• Headlamp system typologies

• Automotive lighting functions

• Safety aspects

• Impact on energy consumption

• History of LED DRL and headlamp adoption

• Full LED headlamps - Timeline per manufacturer

• Roadmap - Progression of LED, OLED, and laser technologies

• LED headlamp - From luxury to economy cars



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• Advanced Front Lighting Systems P231

• Overview

• Headlamp leveling

• Static bend lighting

• Dynamic bend lighting

• Non camera-based adaptive front lighting

• Camera-based adaptive front lighting

• Automatic high beams

• Adaptive cut-off line

• Vertical cut-off line

• Glare-free lighting

• Emerging technologies

• Matrix LED

• Systems from HELLA and other suppliers

• New functionalities

• Fully adaptive headlamp system

• System architecture

• Sensing (overview of technology, focus on CMOS imagesensor…)

• Focus on CMOS image sensors

• Roadmap for (front) ADAS cameras

• High-resolution headlamps

• DMD and SLM technologies

• Matrix laser headlamps

• What’s next?

• Targeted illumination

• Eye-tracking adaptive lighting

• AFLS and safety aspects

• Conclusions P267



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THIS OBJECTIVE OF THIS REPORT IS TO PROVIDE A COMPREHENSIVE OVERVIEW OF ALL ASPECTS OF AUTOMOTIVE LIGHTING!

Deep insight into various Automotive Lighting technology and system approaches and their comparison

(LED / OLED / Laser (…) - DRL / Headlamp / Interior Lighting (…) - AFLS (…))

&

Analysis of industry, technology roadmaps and market metrics.

The objectives of this report are:

• To analyze the automotive lighting market / applications’ current status and future trends!

• To review the automotive lighting industry structure and future trends!

• To discuss the main technologies used for automotive lighting, and associated roadmaps!

• To examine the main lighting systems used for automotive applications, and associated roadmaps!

• To provide market insights (2013 - 2021) for automotive lighting applications!

OBJECTIVES OF THE REPORT


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Pars MUKISH (Business Unit Manager - Sapphire, LED / OLED, Display and Lighting Systems -Yole Développement)

• Pars MUKISH holds a master’s degree in Materials Science & Polymers from ITECH in France and a master’s degree in Innovation &Technology Management from EM Lyon, also in France. He works at Yole Développement, the "More than Moore" market researchand strategy consulting company, as Senior Market and Technology Analyst in the fields of LED, OLED, Lighting Technologies andCompound Semiconductors, carrying out technical, economic and marketing analyses. In 2015, Pars has also taken on responsibilityfor developing Sapphire, LED / OLED and display / lighting activities as Business Unit Manager.

• Previously, he worked as Marketing Analyst and Techno-Economic Analyst for several years at the French Research Center CEA.

Pierrick BOULAY (Market &Technology Analyst - LED / OLED and Lighting Systems -Yole Développement)

• Pierrick BOULAY works as a Market and Technology Analyst in the fields of LED, OLED and Lighting Systems, carrying out technical,economic and marketing analysis at Yole Développement, the "More than Moore" market research and strategy consulting company.He has experience in both LED lighting, including general and automotive lighting, and OLED lighting.

• In the past, he mostly worked in R&D departments for LED lighting applications. Pierrick holds a master’s degree in Electronics fromESEO in France.

EricVIREY (Market &Technology Analyst - Sapphire, LED / OLED and Display Systems -Yole Développement)

• EricVIREY holds a Ph-D in Optoelectronics from the National Polytechnic Institute of Grenoble (INPG - France).

• He works as Market and Technology Analyst in the fields of Sapphire, LED / OLED and Display technologies.

• In the last 12 years, he has held various R&D, engineering, manufacturing and marketing positions with Saint-Gobain. Most recently, hewas Market Manager at Saint-Gobain Crystals, in charge of Sapphire and Optoelectronic products.

AUTHORS OF THE REPORT


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AUTOMOTIVE INDUSTRY & SUPPLY UNDERGOING TRANSFORMATION

• The automotive industry as we know it today has evolved organically from that pioneered by Henri Ford and itsmass production philosophy. But in the last few years electronic, optoelectronics, software and various digitaltechnologies along with societal changes are increasingly pressuring automotive makers intransforming its offering and business models faster than ever before.

Automotive OEMs will remain focused on core automotive competencies but have to develop new ones.

Car Maker Traditional Skills

Styling & Powertrains

Emerging New Requirements Batteries,

Electronics, Optoelectronics, Software (…)

Illustration:

Analog DevicesBMW

Illustration: Style, safety, reliability and energy efficiency requirements driven by consumers and increasingly demanding regulatory standards demandremains the key priority for vehicle manufacturers. This translate into a constant focus on their core competencies such as power train and structures.But OEMs also have to develop and implement increasingly complex electronic, optoelectronic, software and communication systems. Most willcollaborate with new suppliers and industries.


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Harsh environment:

• Automotive applications = high electrostatic discharges, stringent quality requirements andtesting (temperature cycling, stress tests…)

Beam shaping:

• Stringent beam shaping requirements for front lamp applications require advanced opticsdesign.

XX:

• XX.

Electrical management (driver):

• To create an efficient drive circuit, several issues need to be considered and a driver thatsupports variable input and output voltage is necessary.

XX:

• XX.

LED reliability and performance:

• OEMs require no perceived drift nor drop in performance with age / time.

Obsolescence:

• LED technology lifecycle is much shorter than those applying to automotive products Sois there a strong incentive for LED manufacturers to maintain obsolete technologies just tosupport a small market?

Main Challenges for LED Integration (1/2)

LED FOR AUTOMOTIVE LIGHTING

Cadillac Escalade SUV Headlamp Module

Source: Hella

Audi R8 headlamp with

54 LEDs from Osram

and Lumileds

Source: Osram and

Lumileds


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Design aspects represent the main driver for OLED integration into automotive lighting.

Drivers & Potential Applications

OLED FOR AUTOMOTIVE LIGHTING

• Main drivers of OLEDs integration are:

• Design flexibility (color rendering, size, thickness, weight, form factor…).

• Major driver for integration of OLEDs in Automotive Lighting.

• Represents the main factor of differentiation with LED technology.

• Long lifetime.

• High efficiency/Low energy consumption.

• Fast response (enhanced safety).

• Health friendly/Eco friendly.

XX

Low and high beam

light

Day Running Light

(DRL)

XX

Turn indicator

(front)XX Side marker

XX

XX

Turn indicator

XX

Reversing light

Interior light (ambiance light, dome light, map light)

Advanced front

lights (dynamic

light…)

Rear light

• OLED is suitable for only some applications in Automotive Lighting:

LEGEND

Highly accessible

Can be accessible

Not accessible

NOTE: Due to the fact that OLED are not point source (but diffuse source), OLED should

never access applications such as Daytime Running Light (DRL), low bean light.

Potential application for OLED in

Automotive Lighting

Illustration: www.drivingfuture.com

April 2016


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The laser headlight of the BMW i8 is more efficient and compact and offers higher luminance than LED systems.

The BMW i8 Laser Headlamp

LASER FOR AUTOMOTIVE LIGHTING

• Laser sources combine the excellent light performance of xenon headlamps with the design possibilities offered byLED technology. Compared to typical LEDs, the luminance (measure of the luminous intensity of an illuminating surface) is tentimes stronger (x10), which increases the efficiency of the optical system and reduces energy consumption.

• The BMW i8 launched in the fall of 2014 was the first commercial vehicle featuring laser high beams with a range up to 600m.

• The low beam function is provided by LEDs.

600m300m

LED low-beam LED high-beamLED high-beam combined with the laser-

based spot (laser booster)


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Light is integrated into overheads and cockpits creating a customable environment.

Functions / Uses

INTERIOR / AMBIENT LIGHTING

LEDs in interior / ambient lighting are used for mood lighting, and to enhance driving experience!

Interior / Ambient lighting is directly controlled by the infotainment system!

Source: Grupo Antolin

Source: Hella - BMW X5Source: Hella - BMW X5


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HEADLAMP SYSTEMS TYPOLOGIES

Multiple types of headlamp combining different sources are available.

Single-

Type Light

Source

SystemT

YP

OL

OG

Y O

F S

YS

TE

M

Multi-Type

Light

Source

System

Full

Halogen

Full LED

Hybrid

“Halogen

/ Xenon”

XX

XX

Hybrid

“LED /

Laser”

Halogen used for all light

functions

LED used for all light

functions

Xenon used for low

beam and / or continuous

high beam light

XX

XX

Laser used for

continuous high beam

light

Basic system - Limited to low grade

segments

Advanced system - Previously limited

to high grade segments but now

starting to spread over middle grade

segments

Advanced system compared to “Full

halogen” with increased performance

for low and high beam lighting

XX

XX

Advanced system compared to “Full

LED” with increased design

possibilities, performance and

functionalities for high beam lighting

HEADLAMP SYSTEM DETAILS

Established

Technology

Emerging

Technology

Established

Technology

XX

XX

Technology

Under

Development

STATUS


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AUTOMOTIVE LIGHTING FUNCTIONS

The adoption of LED and laser light sources allowed new design styling and more complex lighting functions.

XX

Automotive Lighting Functions

Stops/Mechanics

XX

Discr. Matrix-Systems

Progr. Light-Source

Electric Light-Source

Technology

- XX- XX- Adaptive front-lighting system- XX- More Lumen Flux

- Luminous flux / Visibility range- XX

Electronic control of luminous flux

- Multiple optical modules- Freedom of styling

XX

High -power display

Pointlike Light-Source- XX- Styling Freedom (Package)

Source: Yole/BMW


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ADVANCED FRONT LIGHTING SYSTEMS - STATIC BEND LIGHTING

• Static bend lighting consists in activating cornering complementary lights in intersections, narrow corners, entrygateways etc...

• This additional beam can cover angles up to 90° from the axis of the vehicle, lighting crossing areas etc…

• The activation is accomplished by operating a winker or as a function of the speed or steering of the vehicle.

Static bend lighting provides an additional corner beam in certain driving situations.

Illustration of Static Bend Lighting

Source: Hella


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TOWARD GLARE FREE LIGHTING

• Glare Free Lighting also represents an enhancement of Automatic High Beam (AHB) system.

• The function can be realized by installing a special sheath on the rotating cylinder in the projection module.

• Based on image processing functions and intelligent settings in the projection module, critical areas of oncomingtraffic that might face glare are removed from the high beam distribution, but the rest of the high beam field remainsintact for the driver’s convenience,

• However new technologies are being developed to increase functionalities of such system: Matrix LED and DigitalMirror Device.

AFLS can include one or more of the functions described in this section.

Automatic High Beam Adaptive Front Lighting Glare Free Lighting

Automatic switching between low and high beam

Adjustment of lighting beams

Masking of some specific

lighting area

LIGHTING

FUNCTIONS

SYSTEMS

Increasing complexity of the system (light source / module, camera, sensors, software…)


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FULLY ADAPTIVE HEADLAMP SYSTEM - SYSTEM ARCHITECTURE

In this kind of architecture, it is compulsory to have a match between the camera and the software for image processing.

(Stereo)

Caméra

Steering

Wheel-Angle

Vehicule

Speed

XX

LIDAR

XX

Yaw-Rate

XX

Light Sensor

XX

Sensor Fusion

XX

Compute

Optimal light

distribution

XX

Actuation of

Light Module

SENSING ACTUATIONPROCESSING

Source: Yole/Nvidia


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AUTOMOTIVE TECHNOLOGY TRENDTechnology roadmap for (front) ADAS cameras

Probably two different markets for camera in automotive.

Technology roadmap for (front) ADAS cameras

Source: Sensors and Data Management for Autonomous Vehicles Report

Yole Développement (August 2015)

For Display and Assist

camera roadmap

Price depreciation will

be compensated by

volume

$30

$20

$10

2010 2015 2020 2025 2030 2035

1-X Cameras

per car

~$XX to $XX

X-X

Cameras

per car

~$XXto $XX

10+

Cameras

per car

~$200

30x30mm²

10x10mm²

20x20mm²

Forward cameras

for ADAS

technology drive will

keep the price high

1-X Cameras

per car

~$XX

~$10B

market

XXM to XXM

cameras

~$20B

market

1B+ cameras

Module size

& cost


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GLOBAL TRENDS - 2014 VS. 2015

Revenue in automotive lighting systems increased +XX% in 2015 thanks to volume growth and improved product mix.

[1] Excludes replacement bulbs[2] Adjusted to reflect Valeo’s 31.6% ownership.[3] Flex-N-Gate (US), J.W.Speaker (US), Sammoon (CN), Niken (TW), Sirius Light Technology (TW), Reliable Auto Parts (TW), Eagle Eyes (TW), Laster Tech (TW) etc…

• Revenue for automotive lighting systems[1] increased XX%, from US$XX billion in 2014 to US$ 22.4 billion in 2015.

• This growth is to compare to a more moderate 1.2% growth in vehicle production during the same period (from89.7 to 90.8 millions units).

• Growth in lighting systems was driven mostly by:

• Higher lighting system content per vehicle driven by increasingly stringent safety regulations in multiple countries.

• More favorable product mix driven by the strong adoption of Xenon and LED headlamps and high added value of AdvancedFront Lighting Systems, a trend consistent with the record sales figures announced by most premium car manufacturers.

• Strong aftermarket.

[2] [3]


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• Due to sufficient performance for low and high beam, and lower cost, halogen should remain the major technology forheadlamp by 2021.

• LED technology has already started to replace halogen bulbs in most of the vehicle segments and represent XX% in 2016. LEDtechnology should represent XX% by 2021 with cost decrease and implementation of novel functionalities (Advanced FrontLighting Systems).

• Regarding xenon (HID) technology, penetration rate will slowly decrease and remain stable by 2021. This is due to costdecrease of LED technology and enhanced possibilities of design with LEDs.

• Nowadays,Tiers-1 do not have or have low developments with xenon technology.

Penetration Rate by Technology

HEADLAMP SYSTEM MARKET


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SUPPLIER RANKING PER MARKET (ASIA, EUROPE, NORTH AMERICA)

• There are no strong automotive lighting maker headquarter in the US, Canada or Mexico (where anincreasing volume of the vehicles bound for the North American market are manufactured).

• The few local manufacturers such as XX or Flex-N-Gate are small in scale compared to European, Japanese andKorean giants and mostly address the aftermarket or niche vehicle markets with high added value products (e.g.: .2015 Ford F-150 truck full LED headlamp by Fle-N-Gate).

• The North American market is split equally between European (XX%) and Japanese (XX%) companies. Koreanmaker SL Corp has a market share of XX% thanks to an increasing presence at General Motor as well as the localbranch of Hyundai.The balance is owned by XX and XX.

There is no strong local manufacturer in North America.


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COMPANY PROFILE: STANLEY (JP)

CalendarYear Revenue (Local Currency – Millions):

2014 2015Evolution

%

Total

Revenue¥ 348,853 ¥ 401,014 +15%

Automotive

Lighting¥ XX ¥ XX +XX%

Employees:

2015

Total 15,234

R&D NA

Major Customers / Design wins:

Revenue Breakdown

Asia Pacific XX%

North America 23%

Europe XX%

ROW 3%

Global Market Share XX%

2014 Estimated Lighting Revenue Breakdown

Brand Group Model

Mitsubishi Mitsubishi i-MiEV

Honda Honda Accord

Acura Honda RLX, TSX

Mazda Mazda Demio13

Mitsubishi i-MiEV

Mazda Demio 13


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COMPANY PROFILE: STANLEY (JP)

• Stanley was established in 1920. The company developed strong relationship with Honda from the mid 1950’s. In2002 it created a joint venture with Hella in Australia.

• Stanley also granted a royalty-based agreement on certain lighting products to XX and owns a X% stake in theKorean equipment maker. SL Corp also has various JV with XX.

• Stanley Automotive Equipment segment provide Headlamps, RCL, High Mount Stop, Fog Lamps + Bulbs (Automotivebulbs, LED Bulbs, HID related products) for both for 4 wheel and 2 wheel vehicles.

• Stanley was an early adopter and developed the first LED-based CHMSL lamp in 1986. The company signed alicensing agreement with Nichia giving Stanley access to white LED technology. In exchange, the company sourceschips from Nichia that it packages internally.

Full LED Headlamp

Direct Projection Type

Full LED Headlamp

Projection type

XX

2012 XX 2013

• Acura RLX • XX

• XX

• XX

Proprietary LEDs from Stanley Reflector type is Stanley’s low cost solution for

offering XX on entry level vehicles.


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“Seller”: Based in Lyon (France headquarters), Yole Développement is a market research and business development consultancy company, facilitating market access for advanced technology industrial projects. With more than 20 market analysts, Yole works worldwide with the key industrial companies, R&D institutes and investors to help them understand the markets and technology trends.

1. SCOPE 1.1 The Contracting Parties undertake to observe the following

general conditions when agreed by the Buyer and the Seller. ANY ADDITIONAL, DIFFERENT, OR CONFLICTING TERMS AND CONDITIONS IN ANY OTHER DOCUMENTS ISSUED BY THE BUYER AT ANY TIME ARE HEREBY OBJECTED TO BY THE SELLER, SHALL BE WHOLLY INAPPLICABLE TO ANY SALE MADE HEREUNDER AND SHALL NOT BE BINDING IN ANY WAY ON THE SELLER.

1.2 This agreement becomes valid and enforceable between the Contracting Parties after clear and non-equivocal consent by any duly authorized person representing the Buyer. For these purposes, the Buyer accepts these conditions of sales when signing the purchase order which mentions “I hereby accept Yole’s Terms and Conditions of Sale”. This results in acceptance by the Buyer.

1.3 Orders are deemed to be accepted only upon written acceptance and confirmation by the Seller, within [7 days] from the date of order, to be sent either by email or to the Buyer’s address. In the absence of any confirmation in writing, orders shall be deemed to have been accepted.

2. MAILING OF THE PRODUCTS 2.1 Products are sent by email to the Buyer:

• within [1] month from the order for Products already released; or • within a reasonable time for Products ordered prior to their effective release. In this case, the Seller shall use its best endeavours to inform the Buyer of an indicative release date and the evolution of the work in progress.

2.2 Some weeks prior to the release date the Seller can propose a pre-release discount to the Buyer The Seller shall by no means be responsible for any delay in respect of article 2.2 above, and including incases where a new event or access to new contradictory information would require for the analyst extra time to compute or compare the data in order to enable the Seller to deliver a high quality Products.

2.3 The mailing of the Product will occur only upon payment by the Buyer, in accordance with the conditions contained in article 3.

2.4. The mailing is operated through electronic means either by email via the sales department or automatically online via an email/password. If the Product’s electronic delivery format is defective, the Seller undertakes to replace it at no charge to the Buyer provided that it is informed of the defective formatting within 90 days from the date of the original download or receipt of the Product.

2.5 The person receiving the Products on behalf of the Buyer shall immediately verify the quality of the Products and their conformity to the order. Any claim for apparent defects or for non-conformity shall be sent in writing to the Seller within 8 days of receipt of the Products. For this purpose, the Buyer agrees to produce sufficient evidence of such defects. .

2.6 No return of Products shall be accepted without prior information to the Seller, even in case of delayed delivery. Any Product returned to the Seller without providing prior information to the Seller as required under article 2.5 shall remain at the Buyer’s risk.

3. PRICE, INVOICING AND PAYMENT 3.1 Prices are given in the orders corresponding to each Product

sold on a unit basis or corresponding to annual subscriptions. They are expressed to be inclusive of all taxes. The prices may be reevaluated from time to time. The effective price is deemed to be the one applicable at the time of the order.

3.2 Yole may offer a pre release discount for the companies willing to acquire in the future the specific report and agreeing on the fact that the report may be release later than the anticipated release date. In exchange to this uncertainty, the company will get a discount that can vary from 15% to 10%.

3.3 Payments due by the Buyer shall be sent by cheque payable to Yole Développement, credit card or by electronic transfer to the following account: HSBC, 1 place de la Bourse 69002 Lyon France Bank code: 30056 Branch code: 00170 Account n°: 0170 200 1565 87BIC or SWIFT code: CCFRFRPP IBAN: FR76 3005 6001 7001 7020 0156 587

To ensure the payments, the Seller reserves the right to request down payments from the Buyer. In this case, the need of down payments will be mentioned on the order. 3.4 Payment is due by the Buyer to the Seller within 30 days

from invoice date, except in the case of a particular written agreement. If the Buyer fails to pay within this time and fails to contact the Seller, the latter shall be entitled to invoice interest in arrears based on the annual rate Refi of the «BCE» + 7 points, in accordance with article L. 441-6 of the French Commercial Code. Our publications (report, database, tool...) are delivered only after reception of the payment.

3.5 In the event of termination of the contract, or of misconduct, during the contract, the Seller will have the right to invoice at the stage in progress, and to take legal action for damages.

4. LIABILITIES 4.1 The Buyer or any other individual or legal person acting on

its behalf, being a business user buying the Products for its business activities, shall be solely responsible for choosing the Products and for the use and interpretations he makes of the documents it purchases, of the results he obtains, and of the advice and acts it deduces thereof.

4.2 The Seller shall only be liable for (i) direct and (ii) foreseeable pecuniary loss, caused by the Products or arising from a material breach of this agreement

4.3 In no event shall the Seller be liable for: a) damages of any kind, including without limitation, incidental or consequential damages (including, but not limited to, damages for loss of profits, business interruption and loss of programs or information) arising out of the use of or inability to use the Seller’s website or the Products, or any information provided on the website, or in the Products; b) any claim attributable to errors, omissions or other inaccuracies in the Product or interpretations thereof.

4.4 All the information contained in the Products has been obtained from sources believed to be reliable. The Seller does not warrant the accuracy, completeness adequacy or reliability of such information, which cannot be guaranteed to be free from errors.

4.5 All the Products that the Seller sells may, upon prior notice to the Buyer from time to time be modified by or substituted with similar Products meeting the needs of the Buyer. This modification shall not lead to the liability of the Seller, provided that the Seller ensures the substituted Product is similar to the Product initially ordered.

4.6 In the case where, after inspection, it is acknowledged that the Products contain defects, the Seller undertakes to replace the defective products as far as the supplies allow and without indemnities or compensation of any kind for labor costs, delays, loss caused or any other reason. The replacement is guaranteed for a maximum of two months starting from the delivery date. Any replacement is excluded for any event as set out in article 5 below.

4.7 The deadlines that the Seller is asked to state for the mailing of the Products are given for information only and are not guaranteed. If such deadlines are not met, it shall not lead to any damages or cancellation of the orders, except for non acceptable delays exceeding [4] months from the stated deadline, without information from the Seller. In such case only, the Buyer shall be entitled to ask for a reimbursement of its first down payment to the exclusion of any further damages.

4.8 The Seller does not make any warranties, express or implied, including, without limitation, those of sale ability and fitness for a particular purpose, with respect to the Products. Although the Seller shall take reasonable steps to screen Products for infection of viruses, worms, Trojan horses or other codes containing contaminating or destructive properties before making the Products available, the Seller cannot guarantee that any Product will be free from infection.

5. FORCE MAJEURE The Seller shall not be liable for any delay in performance directly or indirectly caused by or resulting from acts of nature, fire, flood, accident, riot, war, government intervention, embargoes, strikes, labor difficulties, equipment failure, late deliveries by suppliers or other difficulties which are beyond the control, and not the fault of the Seller.

6. PROTECTION OF THE SELLER’S IPR 6.1 All the IPR attached to the Products are and remain the

property of the Seller and are protected under French and international copyright law and conventions.

6.2 The Buyer agreed not to disclose, copy, reproduce, redistribute, resell or publish the Product, or any part of it to any other party other than employees of its company. The Buyer shall have the right to use the Products solely for its own internal information purposes. In particular, the Buyer shall therefore not use the Product for purposes such as: • Information storage and retrieval systems; • Recordings and re-transmittals over any network (including

any local area network); • Use in any timesharing, service bureau, bulletin board or

similar arrangement or public display; • Posting any Product to any other online service (including

bulletin boards or the Internet);• Licensing, leasing, selling, offering for sale or assigning the

Product. 6.3 The Buyer shall be solely responsible towards the Seller of

all infringements of this obligation, whether this infringement comes from its employees or any person to whom the Buyer has sent the Products and shall personally take care of any related proceedings, and the Buyer shall bear related financial consequences in their entirety.

6.4 The Buyer shall define within its company point of contact for the needs of the contract. This person will be the recipient of each new report in PDF format. This person shall also be responsible for respect of the copyrights and will guaranty that the Products are not disseminated out of the company.

6.5 In the context of annual subscriptions, the person of contact shall decide who within the Buyer, shall be entitled to access on line the reports on I-micronews.com. In this respect, the Seller will give the Buyer a maximum of 10 password, unless the multiple sites organization of the Buyer requires more passwords. The Seller reserves the right to check from time to time the correct use of this password.

6.6 In the case of a multisite, multi license, only the employee of the buyer can access the report or the employee of the companies in which the buyer have 100% shares. As a matter of fact the investor of a company, the joint venture done with a third party etc..cannot access the report and should pay a full license price.

7. TERMINATION 7.1 If the Buyer cancels the order in whole or in part or postpones

the date of mailing, the Buyer shall indemnify the Seller for the entire costs that have been incurred as at the date of notification by the Buyer of such delay or cancellation. This may also apply for any other direct or indirect consequential loss that may be borne by the Seller, following this decision.

7.2 In the event of breach by one Party under these conditions or the order, the non-breaching Party may send a notification to the other by recorded delivery letter upon which, after a period of thirty (30) days without solving the problem, the non-breaching Party shall be entitled to terminate all the pending orders, without being liable for any compensation.

8. MISCELLANEOUS All the provisions of these Terms and Conditions are for the benefit of the Seller itself, but also for its licensors, employees and agents. Each of them is entitled to assert and enforce those provisions against the Buyer. Any notices under these Terms and Conditions shall be given in writing. They shall be effective upon receipt by the other Party. The Seller may, from time to time, update these Terms and Conditions and the Buyer, is deemed to have accepted the latest version of these terms and conditions, provided they have been communicated to him in due time.

9. GOVERNING LAW AND JURISDICTION 9.1 Any dispute arising out or linked to these Terms and

Conditions or to any contract (orders) entered into in application of these Terms and Conditions shall be settled by the French Commercial Courts of Lyon, which shall have exclusive jurisdiction upon such issues.

9.2 French law shall govern the relation between the Buyer and the Seller, in accordance with these Terms and Conditions.

TERMS AND CONDITIONS OF SALES


Presentation of Yole Développement

With Focus on Sapphire LED, OLED and Display /

Lighting Activities

Corporate Presentation


http://www.yole.fr/

http://www.yole.fr/

http://www.yole.fr/

http://www.yole.fr/

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Yole DéveloppementFromTechnologies to Market


http://www.yole.fr/

http://www.yole.fr/

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Our 30 analysts operate in the following areas.

FIELDS OF EXPERTISE

MEMS &

Sensors

LED &

OLED

Compound

Semi.

Imaging Photonics

MedTech

Manufacturing

Advanced

Packaging

PV

Power

Electronics


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http://www.yole.fr/

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Consulting and Analysis

• Market data & research, marketing analysis

• Technology analysis

• Strategy consulting

• Reverse engineering & costing

• Patent analysis

www.yole.fr

Reports

• Market & Technology reports

• Patent Investigation and patent infringement riskanalysis

• Teardowns & Reverse Costing Analysis

• Cost Simulation Tool

www.i-Micronews.com/reports

Financial services

• M&A (buying and selling)

• Due diligence

• Fundraising

• Maturation of companies

• IP portfolio management & optimization

www.yolefinance.com

Media

• i-Micronews.com website

• @Micronews e-newsletter

• Technology magazines

• Communication & webcast services

• Events

www.i-Micronews.com

4 BUSINESS MODELS


http://www.yole.fr/

http://www.yole.fr/

http://www.yole.fr/

http://www.i-micronews.com/reports

http://www.yolefinance.com/

http://www.i-micronews.com/

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A GROUP OF COMPANIES

Market,

technology and

strategy

consulting

www.yole.fr

M&A operations

Due diligences

www.yolefinance.com

Fundraising

Maturation of companies

IP portfolio management & optimization

www.bmorpho.com

Manufacturing costs analysis

Teardown and reverse engineering

Cost simulation tools

www.systemplus.fr

IP analysis

Patent assessment

www.knowmade.fr


http://www.yole.fr/

http://www.yole.fr/

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OUR GLOBAL ACTIVITY


http://www.yole.fr/

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RESEARCH PRODUCTS - CONTENT COMPARISON

Custom analysis scope is defined with

you to meet your information and

budget needs

Breadth of the analysis

Dep

th o

f th

e a

naly

sis

Custom

Analysis

Workshops

Standard Reports


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Integrators and

end-users

Device

makers

Suppliers: material,

equipment, OSAT,

foundries…

Financial investors,

R&D centers

Our analysts provide market analysis, technology evaluation, and business plan along the entire supply chain.

SERVING THE ENTIRE SUPPLY CHAIN


http://www.yole.fr/

http://www.yole.fr/

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• Consulting and Specific Analysis

• North America: Steve LaFerriere, Director of Northern America Business Development,Yole Inc.

Email: [email protected]

• Japan:Yutaka Katano, General Manager,Yole Japan & President,Yole K.K.


• RoW: Jean-Christophe Eloy, President & CEO,Yole Développement


• Report business

• North America: Steve LaFerriere, Director of Northern America Business Development,Yole Inc.


• Europe: Fayçal El Khamassi, Headquarter Sales Coordination & Customer Service


• Japan & Asia:Takashi Onozawa, Sales Asia & General Manager,Yole K.K.


• Korea: Hailey Yang, Business Development Manager, Korean Office


• Financial services

• Jean-Christophe Eloy, CEO & President


• General

• Email: [email protected]

CONTACT INFORMATION

Follow us on


http://www.yole.fr/

http://www.yole.fr/

http://www.linkedin.com/company/yole-d-veloppement?trk=top_nav_home

http://www.linkedin.com/company/yole-d-veloppement?trk=top_nav_home

https://twitter.com/Yole_Dev

https://twitter.com/Yole_Dev

http://fr.slideshare.net/Yole_Developpement

http://fr.slideshare.net/Yole_Developpement

https://www.youtube.com/channel/UCxcAmfnGJgYXZn46VFs6ozQ

https://www.youtube.com/channel/UCxcAmfnGJgYXZn46VFs6ozQ

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About Sapphire, LED / OLED and Display / Lighting Activities


http://www.yole.fr/

http://www.yole.fr/

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We are active throughout the value chain: from substrates to systems! And we interact with industrial / R&D players from each level!

Yole is active throughout the value chain (Example of LED and Sapphire activities)

FOCUS ON SAPPHIRE, LED / OLED AND DISPLAY / LIGHTING ACTIVITIES

Substrate

SiC / Sapphire / Silicon /

Bulk GaN / Engineered

substrates

LED epi-

wafer

Mesa LED, Flip Chip LED,

Vertical LED structures

LED dies-

on-wafer

LED dies

Front-end Level 0 - Epitaxy• Nucleation layer

• n-type layer

• Active layers (MQW)

• p-type layer

Back-End Level 0 - Packaging• Substrate separation & Bonding

• Die singulation

• Testing & Binning

LED systems and applications

Front-end Level 1 - Device Production• Inspection

• Masking / Lithography

• Etching

• Metallization / Contacts / Mirrors

Back-End level 1 - Packaging• Die Attach & Interconnections

• Phosphors

• Encapsulation & Optics


Packaged LEDs

Module Packaging• Substrates (PCB)

• Encapsulation & Optics

• Heatsink


LED modules


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http://www.yole.fr/

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Insights on Forecast Methodology

“What’s Behind the Crystal Ball?”

Only analysts that follow the industry on a daily basis (trough interviews and developed market modeling tools based on discussions with key players of the industry.

APPLICATION

Forecast of standard

product market volume

(unit)Ex.: Smartphone, TVs, lamps (…)

Definition of functions using

LEDsEx.: “Flash vs. Keypad” for

smartphone (…)

Definition of technical

requirementsEx.: Efficacy, size (…)

Definition of LED

penetration rate and

competitiveness with

alternative technologiesEx.: “OLED vs. LED” in smartphone

(…)

Forecast of LED market volume (unit)Split by application, power type (low vs. medium vs. high

power), package type (single vs. multi-die…) (… )

Definition of LED

ASPPer power type, packaged

type (…)

Forecast of LED market size ($)Split by application, power type, package type

(… )

Definition of manufacturing flows for

front-end and packaging (process,

technologies, materials, yields…)Split by application, power type, package type (…)

Forecast of LED manufacturing

equipment and material markets

(unit and $)Ex.: Phosphors, encapsulant, dicing equipment

Definition of LED die

surface (mm²)

Definition of substrate die surface (mm²)

and epiwafer volume (unit)Split by type of substrate (…)

Forecast of LED substrate

markets (unit and $)Split by type of substrate (…)

Definition of sale

levels of key

manufacturers ($)Ex: LED, packaging

materials, epitaxy

materials, manufacturing

equipment, MOCVD

reactor, substrate (…)

System Plus Consulting

expertise in reverse

costing / reverse

engineering


http://www.yole.fr/

http://www.yole.fr/

http://www.systemplus.fr/

http://www.systemplus.fr/

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A team based on persons having complementary skills and expertise.

About Yole’s Analyst Team


Pierrick BOULAY - Market & Technology Analyst

Pierrick BOULAY holds a master degree in Electronics from ESEO (France). He works as Market and Technology Analyst

in the fields of LED, OLED and Lighting Systems to carry out technical, economic and marketing analysis. He has experience

in both LED lighting (general lighting, automotive lighting…) and OLED lighting. In the past, he has mostly worked in R&D

department for LED lighting applications.

Pars MUKISH - Business Unit Manager

Pars MUKISH holds a master degree in Materials Science & Polymers (ITECH - France) and a master degree in Innovation

& Technology Management (EM Lyon - France). Since 2015, Pars MUKISH has taken on responsibility for developing LED,

OLED and Sapphire activities as Business Unit Manager at Yole Développement. Previously, he has worked as Marketing

Analyst and Techno-Economic Analyst for several years at the CEA (French Research Center).

Dr. Eric VIREY - Senior Market & Technology Analyst

Eric VIREY holds a Ph-D in Optoelectronics from the National Polytechnic Institute of Grenoble (INPG - France). He

works as Market and Technology Analyst in the fields of Sapphire, LED / OLED and Display. In the last 12 years, he has held

various R&D, engineering, manufacturing and marketing positions with Saint-Gobain. Most recently, he was Market Manager at

Saint-Gobain Crystals, in charge of Sapphire and Optoelectronic products.

Dr. Milan ROSINA - Senior Market & Technology Analyst

Milan ROSINA holds a Ph-D in Optoelectronics from the National Polytechnic Institute of Grenoble (INPG - France). He

works as Market and Technology Analyst in the fields of Energy Conversion, LED / OLED and Emerging Materials. Before

joining Yole Développement, he has worked as research scientist and project manager in PV, microelectronics and LED

industries. He has more than 15 year experience with prominent research institutions and a utility company.


http://www.yole.fr/

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A collection of more than 15 reports on Sapphire, LED, OLED, Display and Lighting.

Report collection


Already published -Yole Développement:

• Status of the LED Industry

• LED in Road and Street Lighting

• LED Front End ManufacturingTrends

• LED Front End Equipment Market trends

• GaN-on-SiTechnology and Market

• Phosphors & QDs - Market and Technology Landscape

• LED Module Market,Technology and Industry

• Phosphors & QDs - IP Landscape

From System Plus Consulting:

• LED CoSim+ & Reverse Engineering / Reverse Costing reports

2016 Publication -To be published -Yole Développement :

• OLED For Lighting - Published in February 2016

• Automotive Lighting - Published in April 2016

• UV LED (Q2 - 2016)

• Sapphire (Q2 / Q3 - 2016)

• LED Packaging (Q3 - 2016)

• MicroDisplays and MicroLEDs (Q3 - 2016)

Our reports are unmatched in quality and technology depth and typically include:

• Technology trends and evolution: costs, barriers, roadmaps (…).

• Supply & value chain analysis: business models, relationships, value flows (…).

• In-depth analysis of applications and market drivers: challenges, inflection points (…).

• Market data ($, units, wafer starts…)©2016 | www.yole.fr | Automotive Lighting 2016 - Sample

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