LED and Traditional Lighting in the Lighting Industry Foster New Business Models

The lighting industry continues to innovate, with much to learn from both new and traditional technology domains. With the rapid development of the LED industry in the lighting field, traditional lighting giants hope to make lighting products more innovative by introducing designs based on new light sources. Traditional lighting giants are introducing LED new light sources, accelerating the formation of new business models. The two fields of LED lighting and traditional lighting are gradually merging into one, accelerating the formation of a new lighting business model, which is highly conducive to the rapid promotion and use of LED lighting.

Since global lighting electricity consumption accounts for as much as 20% of total annual electricity consumption, and up to 90% of that electrical energy is converted into heat and wasted, it is highly uneconomical. With environmental protection and energy conservation in mind, LED lighting has quickly become a technology and industry of great focus. Governments around the world are actively formulating environmental regulations, and driven by both market and regulatory incentives, the global LED industry is expanding rapidly. The advantages of LED lighting are self-evident. LED lamps have very high luminous efficiency and a long lifespan; their luminous efficiency can reach 2.5 times that of fluorescent lamps and 13 times that of incandescent lamps. Incandescent lamps have very low luminous efficiency—only 5% of electrical energy is converted into light, while 95% is wasted as heat. Fluorescent lamps are somewhat better than incandescent lamps, with 20%–25% of electrical energy converted into light, but 75%–80% is still wasted. Therefore, from the perspective of energy utilization efficiency, both of these light sources have very low utilization rates. Consequently, the benefits brought by LED lighting are obvious.