Osram Joins Philips and GE, Exiting Luminaires Business
August 13, 2018
Osram Licht AG announced a decision decided to divest its luminaires business. The company noted that LED- and laser-based technologies are oriented to global megatrends and continue to serve growing high-tech markets. Some major LED Lighting makers are switching their focus as the LED lighting technology matures.
Overall, such diversified tech companies with lighting businesses apparently anticipate a profitable future in the IoT realm. Some such as GE and Osram are also now working on horticultural LED lighting. Additionally, these companies are looking to new technologies including autonomous and electric vehicles as well as smartphone 3D identification measures. In the short term, these companies expect reduced profits in general lighting but gradually increased profits in other technology areas. This trend will likely continue, with or without added U.S. trade restrictions and tariffs.
In recent months the Osram started a joint venture with Continental, Osram Continental to provide automotive lighting. The company also acquired startup Vixar, which specializes in the technology for 3D identification. Additionally, Osram took over BAG Electronics, which uses LED lighting to offer IoT applications. In another investment in what Osram believes to be a growing field, the company purchased horticultural LED lighting firm, Fluence Bioengineering.