Summary of the Sapphire Industry Chain Seminar: Unclear Costs Are Key

Summary sapphire downstream demand: sapphire application areas: 1, LED chip substrate material, 2, consumer electronics: camera, fingerprint identification cover, cover glass; 3, military; which in the LED and consumer electronics applications occupy the industry Most of the demand.
Sapphire downstream demand situation:

Application areas of sapphire: 1, LED chip substrate material, 2, consumer electronics: camera, fingerprint identification cover, cover glass; 3, military; among them LED and consumer electronics applications occupy the vast majority of the industry's needs.

LED chip substrate material: The future global demand is 60-80 million pieces (2 inch piece), the demand remains stable. Consumer electronics: Currently mainly used in mobile phone camera and fingerprint recognition, if the demand for sapphire cover glass can be opened, the industry is still expected There is 2 times more room for growth.

According to industry research institutes, smartphones will grow at an average rate of 11.5% in the future. In 2018, shipments will reach 1.8 billion units, and the penetration rate of cover plates will reach over 20%, with demand exceeding 400 million pieces. If calculated at the price of 10 US dollars / piece, the industry size will reach 4 billion US dollars.

Advantages and disadvantages of sapphire as a cover glass for mobile phones: advantages 1) high hardness (close to diamonds) 2) ultraviolet and infrared sapphire have advantages (for military use) 3) dielectric constant, crystal, superior to amorphous. Disadvantages, light transmittance, and high density.

Progress in sapphire production process

Sapphire mainly has four production processes: 1) KY bubble method, 2, guide mode method 3, heat exchange method, 4, Ches method. With the GTAT application for bankruptcy protection using the heat exchange method, the KY bubble method has become the mainstream process of the industry, and the domestic Lansi, Tiantong, and Luxiao technologies all adopt this process. At present, in the quality of the ingot, the 90 kg technology has been perfected, and the 150 kg and 250 kg long crystal technicians are in the process of research and development. The higher the quality of the ingot, the more the cover glass can be pulled out, and the lower the unit cost. The 90 kg crowbar rate is 35%, and the 250 kg crowbar rate is over 80%.

key problem:

Cost, the current price of sapphire cover glass (6-inch film) is about 400 yuan, and the current market expects to drop to about 10 dollars to have the possibility of large-scale use, which requires the preparation of 250 kg of crystal rods Make a breakthrough.

Tiantong situation

1. Tiantong's layout: At present, there are 148 manufacturers of sapphire in the world, 74 in China, 39 with actual manufacturing capacity, and no more than 5 mobile phone screens. Tiantong has a full industrial chain, which can be produced from ingots, crystals and wafers.

2, Tiantong's advantages 1) Technical advantages: from the long crystal, cutting and polishing, the technology is at a relatively advanced level 2) Cost: electricity is the main cost of long crystal, energy consumption, the west; furnace self-made, optimize energy consumption Level 3) High-volume supply: sapphire screen, lens cover, fingerprint recognition 4) Whole industry chain: Changjing is the most difficult place for technical difficulties, Tiantong masters the independent manufacturing capability of key equipment

3. The progress of the company's sapphire project is 85%, and the pass rate of the cover is 50%. In 2015, the yield of the mobile phone cover is raised to the level of the LED sapphire substrate; the investment of 560 million yuan is accelerated, the company expects The ability to form large-scale shipments in the first half of 2015. The three major Taiwanese sapphire companies are in a state of loss this year. Tiantong will become an industry integrator in the future and become a leader in the industry.

Conclusion: Neutral view of the sapphire industry

1, 250 kg crystal growth technology is still immature, the large-scale production of cover glass is doubtful: according to the opinions of industry experts, successfully break through the 250 kg grade crystal growth technology and solve the yield problem, it is possible to cover the 6-inch sapphire cover The cost of sheet glass is reduced to about $10, which in turn enables mass production. However, from the current situation, the 250 kg technology is not sure enough to make a breakthrough.

2, the original sapphire substrate has the risk of technical replacement: At present, Cree's silicon carbide substrate has achieved a brightness of 300 lumens / watt, far exceeding the current sapphire substrate, if SiC technology successfully formed sapphire substrate technology Alternative, it will be a major impact for sapphire manufacturers.

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