Philips 2008 Annual Report Download - page 86

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In short, our lighting business spans the entire lighting
value chain – from lighting sources, electronics and
controls to full applications and solutions via the
following businesses:
Lamps: incandescent, halogen, (compact) uorescent,
high-intensity discharge
Consumer Luminaires: functional, decorative,
lifestyle, scene-setting
Professional Luminaires: city beautication,
road lighting, sports lighting, ofce lighting,
shop/hospitality lighting, industry lighting
Lighting Electronics and Controls: electronic gear,
electromagnetic gear, controls
Automotive Lighting: car headlights, car signaling,
interior
Special Lighting Applications: projection,
entertainment, purication, comfort heating,
light & health
Solid-State Lighting components: LUXEON,
SnapLED, SuperFlux
Solid-State Lighting modules: modules, retrots,
new applications
Our customers are mainly in the professional market.
The Lamps business conducts its sales and marketing
activities through the wholesale, OEM and consumer
channels, the latter also being used by our Consumer
Luminaires business. Professional Luminaires is organized
in a Trade business (commodity products) and a Project
solutions business (project luminaires and solutions).
For the latter, the main focus is on speciers, lighting
designers, architects and urban planners. Automotive
Lighting is organized in two businesses: OEM and After-
market. Lighting Electronics and Controls, Special Lighting
Applications and Solid-State Lighting components and
modules conduct their sales and marketing through both
the OEM and wholesale channels.
Regarding competition, our current global structure
is centered on our Lamps and Luminaires businesses.
The lamps industry is highly consolidated, with GE and
Siemens/Osram as key competitors. The luminaires
industry is more fragmented. Our competition varies
per region and per segment. Our lighting electronics
business and our automotive lighting business are again
more consolidated businesses. Chinese companies are
entering Western markets with energy-saving solutions,
and there are a range of companies active in the transition
to solid-state lighting as well as in the transition to
applications and solutions.
Win-win in Lesotho
In 2008 Philips announced plans to participate in
a joint venture to set up a manufacturing facility, as
well as a recycling plant, for energy-saving Compact
Fluorescent Lamp integrated (CFLi) light bulbs in
Lesotho, Southern Africa. The facility will be set
up jointly with CEF, a company that focuses on
opportunities in the energy sector in the region,
and Karebo Systems, a company specialized in energy
efciency programs in the lighting and energy sectors.
With this joint venture Philips will be able to help
stimulate economic growth while accelerating the
uptake of energy-efcient light bulbs in general.
In our efforts to signicantly reduce energy
consumption in South Africa, switching to energy-
efcient lighting is the quickest and easiest way
to make a signicant contribution. With Philips’
expertise in this eld, we bring the high-quality
energy-saving light bulbs this country desperately
needs, says Peter Kgame, managing director of
Karebo Systems.
Philips Annual Report 200886
42
Our group performance
18
We care about...
8
Message from
the President
6
Performance highlights
14
Who we are