Taipei, Nov. 27, 2009 (CENS)--Epistar Corp., a large-sized Taiwanese LED (light emitting diode) maker, has reportedly signed a contract with Samsung of Korea to supply more LED chips to the client as backlights for LCD (liquid crystal display) TVs in 2010, according to industry sources.

Lee Biing-jye, chairman of Epistar, opines that demand for LED backlights will grow strongly from 2011 to 2013, mainly because LCD TVs ( including LED-backlit models), which have been replacing CRT (cathode ray tube) TVs, will fuel the growth. After securing the supply contract with Samsung, the firm will still supply over 50% of needed LED chips for LED-backlit LCD TVs produced worldwide in 2010.

However, with LED-backlit LCD TVs and LED lightings increasingly popular with consumers, the LED supply is very likely to lag behind demand significantly starting 2011, Epistar noted, considering that an LED-backlit LCD TV consumes LED chips 30 times those for an LED-backlit notebook PC.

Intense demand for LED chips has also made Epistar`s production lines of blue LED chips fully booked. Enjoying the current shipment booms, the firm has effectively pushed up its gross profit rate to over 30% in October and is expected to maintain sales revenue at a plateau in both November and December.

In addition to Samsung, the firm has enjoy floods of contract orders for LED applications in monitors from AU Optronics Corp., Innolux Display Corp. and TPV Technology Ltd. But, the firm can`t fill these new orders at present until 2010.

(by Steve Chuang)