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It's not an individual firm that will decrease the supply, but the market as a whole. Largely this will occur as companies go out of business or shut down their
by pc2g4d 10y ago
It's not an individual firm that will decrease the supply, but the market as a whole. Largely this will occur as companies go out of business or shut down their LED operations because they're not profitable. Eventually when few enough firms are competing, the remaining firms involved in the market will be able to turn a profit and the market will stabilize. At least that's what I would expect.
Other sectors have experienced dramatic drops in demand, and the world doesn't end, even though some companies might. I expect the few companies that keep selling long-lived LEDs will outlast their more gimmicky counterparts.
- wlesieutre 10y agoI don't expect people to find much money in LED lightbulbs. You buy the LEDs from one of the big LED producers, and then the rest is commodity electronics. If there starts being money in it, new companies will jump in. Which I suppose can get prices down to the point where someone can make a company that stays in business, but it won't get them to a point where there are significant profits to be found. EDIT: The area where this is likely wrong is the locked-in home automation silos where you can get people into an ecosystem and then screw them as much as you like. I'm hoping we can avoid that being the dominant strategy.