Q&A

Osram In­dia, the wholly owned sub­sidiary of Osram GmbH of Ger­many is one of the lead­ing lamp man­u­fac­tur­ers in the coun­try, is ready with fu­ture prod­ucts. Re­cently Osram In­dia has launched a new range of high per­for­mance au­to­mo­tive light­ing prod­uct range c

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Osram In­dia is ready for au­to­mo­tive light­ing tran­si­tion to LEDs: Avinder Singh

Q: LEDs are pick­ing up fast against halo­gen light­ing. How is Osram balanc­ing the equa­tion be­tween both for growth?

Singh:

If you look at our global ap­proach, Osram is the num­ber one au­to­mo­tive light­ing com­pany in the world. One of the things that we do is pro­tec­tect­ing our tra­di­tional tech­nolo­gies. We are not shy­ing away from them and recog­nise that they will con­tinue to rep­re­sent a sig­nif­i­cant share of global au­to­mo­tive mar­ket for sev­eral years. But to en­sure that the lead­er­ship po­si­tion re­mains in­tact, we are look­ing into new tech­nolo­gies like LEDs. It is some­thing where we are very ac­tive at both our dis­creet level, with our own pro­duc­tion and divi­sion of semi­con­duc­tors but also in the sys­tem so­lu­tions where we re­ally work with cus­tomers on dif­fer­ent lev­els to develop a fin­ished so­lu­tion for the ve­hi­cle.

We also have a pre­cise fo­cus on other tech­nolo­gies as well like OLED where we see ap­pli­ca­tion in de­sign and sig­nal func­tions. As far as for­ward light­ing is con­cerned in ad­di­tion to LED, there is a laser tech­nol­ogy which is some­thing Osram was the first one to in­tro­duce in the mar­ket 2 years ago for pas­sen­ger cars. As a sup­ple­ment to high beams, we see them in the po­ten­tially niche mar­ket, where LEDs are com­ing up faster in the main­stream. But there is op­por­tu­nity for laser with some tech­ni­cal ad­vance­ments to come more into mass op­por­tu­ni­ties as well which is also un­der in­ves­ti­ga­tion as of now. This is what hap­pen­ing glob­ally. How­ever, we also take re­gional views as mar­ket pen­e­tra­tion dif­fers among the re­gions.

Q: In­dia is a mar­ket that is yet to grad­u­ate fully into LEDs; it is still be­ing dom­i­nated by halo­gens.

Singh:

Osram is a dom­i­nant player in the In­dian au­to­mo­tive mar­ket. In In­dia, we cater to all seg­ments in­clud­ing OEMs and af­ter­mar­ket. If we talk about split up, 70% of our rev­enue is from OEMS and the rest from the af­ter­mar­ket. How­ever, both are in the grow­ing phase and are in double dig­its. In­dia is a halo­gen-dom­i­nated mar­ket. This is specif­i­cally for the ex­te­rior light­ing; but things are chang­ing fast. If to­day it is less than 5% on the LED side, by 2020, we ex­pect this to reach 30% in two-wheel­ers, 25% in four-wheel­ers. It is not that we are not pre­pared for it, the only thing is we still like to be­lieve that In­dia is a mar­ket which will take its own time to grad­u­ate to LEDs.

Tra­di­tional light­ing will con­tinue to be an im­por­tant mar­ket for us and we are sup­port­ing and safe­guard­ing that. For CVs it is more to do with cost. In the pas­sen­ger ve­hi­cles, grad­u­ally but surely, the dis­pos­able in­come of the peo­ple is ris­ing. Be­cause of the cost con­scious­ness and com­pet­i­tive­ness, CV play­ers are still fo­cus­ing on the tra­di­tional light­ing. This mix will change only over a pe­riod. When we see that the mar­ket is pick­ing up steam, we will shift our gears.

Q: You said cost is a big fac­tor, is it the same for both pas­sen­ger cars and CVs?

For pas­sen­ger cars, things

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