Strong demand for medium-to-high power SMD components has become the main driver of growth in the backlight and automotive lighting markets.

The rise of mid-to-high power SMD (1-5W) displays stems from the upgraded demands of backlighting and automotive lighting applications. Previously, traditional low-power SMDs suffered from insufficient brightness and poor stability, making them unsuitable for high-end backlighting and automotive-grade lighting requirements; while high-power COB technology was too expensive for large-scale application. Against this backdrop, mid-to-high power SMDs, through process improvements, achieved a balance between performance and cost, rapidly filling market gaps and experiencing explosive demand growth, becoming a growth engine for both markets.

Currently, mid-to-high power SMDs are widely used in various backlighting scenarios, with a penetration rate exceeding 60% in high-end TV and laptop backlighting. Especially in Mini LED backlighting products, they have become a core component, helping display products achieve high contrast and wide color gamut visual effects, driving the upgrade of backlight displays towards ultra-high definition. Leading backlighting companies continue to expand production, further driving up the demand for mid-to-high power SMDs, becoming the core driver of growth in the backlighting market.

In the automotive lighting sector, medium-to-high power SMD (Surface Mount Device) is not only used in interior ambient lighting and dashboard backlighting, but is also gradually being applied to high-end scenarios such as ADB (Adaptive Beam Control) modules, enabling adaptive high-beam pattern switching and ensuring driving safety. Data shows that in 2025, the demand for automotive medium-to-high power SMD increased by over 25% year-on-year, becoming a core driver of growth in the automotive lighting market. Many automakers have adopted it as standard equipment, driving the continuous increase in the penetration rate of automotive LED lighting.

In the future, as backlight displays upgrade towards larger screens and higher resolutions, and automotive lighting transforms towards intelligence and energy efficiency, the demand for medium-to-high power SMD will continue to grow. Processes will be further optimized, power density and stability will continue to improve, and it will expand to more high-end scenarios. This robust demand not only demonstrates its core competitiveness but will also drive the LED industry towards high quality and high added value, injecting sustained growth momentum into the backlighting and automotive lighting markets.