Report: Optical Storage Applications Will Drive Market for GaN Laser Diodes

Standardization of violet-DVD platform essential for growth, says Strategy Analytics

London -- The market for gallium nitride (GaN) laser diodes will grow at a CAAGR of 195% through 2008, according to a new study from Strategy Analytics, the global research and consulting company. "Gallium Nitride Laser Diodes: Markets and Applications" describes the established markets for GaN-based laser diodes, which include printing, spectroscopy, biological agent detection, and laser projectors.

Strategy Analytics believes, however, that these markets will not provide substantial growth moving forward. Instead, growth will be driven by optical storage applications with the emergence of violet-DVD players, accounting for over 97% of unit shipments by 2008.

"Despite the impressive growth, the existence of two competing standards for violet-DVD -- namely Blu-ray and HD-DVD -- will mean that the GaN laser diode market will still be at an early stage of development in 2008," cautions Asif Anwar, analyst, Strategy Analytics Strategic Technologies Practice. "The influence of movie studios and the IT industry will be crucial in deciding which violet-DVD format becomes the accepted standard, and when next-generation DVD begins to have mass appeal."

The proliferation of violet-DVD will also depend heavily on the development of HDTV content and displays. Furthermore, while violet-DVD players will be recordable from the outset, they will face competition from the growing popularity of existing recordable DVD technology.

The study provides an overview of the technology involved in manufacturing GaN-based laser diodes, focusing in particular on substrate issues. It highlights the key manufacturers and developers of laser diode chips, as well as suppliers of laser diode modules and materials suppliers.

Source: Strategy Analytics