Chinese LED packager Honglitronic has been devoted to the development of products for automotive lighting. It lately collaborated with Taiwan-based LED chip giant Epistar to form a strategic alliance, aiming to harness resources from both sides to develop automotive lighting products.
Automotive lighting will be one of the highlights of both companies in the short future. In light of that it requires relatively long time to assess and verificate automotive lighting applications, the two firms have signed a strategic collaboration agreement, soon in effect for four years from November 2017 to October 2021. During the period, Honglitronic will purchase an amount of Epistar’s patented automotive LED chips overall worth RMB 500 million (USD 75.37 million) to produce packages exclusive for automotive lighting.
The partnership aims at raising both companies’ capabilities to develop automotive lighting products and cutting verification time.
The coalition protects Honglitronic’s products from potential patent infringements and offers it substantial quality Epistar chips, enabling to bring down prices of its products and speed up the share expansion of the two companies in this space.