Digitimes Research remains conservative about the prospects for the period, with half-year shipments projected to reach 49.18 million units and whole-year shipments being revised downward to 88.69 million units.

In addition to strong potential video content demand in China, the market has developed rapidly due to government intervention and delays in establishing copyright protections.

Asia is playing an ever more important role in upstream LED chip manufacturing. The region accounted for 80% of MOCVD demand in 2011 and will account for 90% in 2012, largely because Taiwan, Japan, South Korea and China are the major global centers for LED chip production.