China announced today that they will phase out incandescent light bulbs within five year..... banning imports and sales of 100 watt bulbs starting October 2012. This will act as another push for the lighting industry towards LED bulbs (US and EU are already set to ban sales incandescent bulbs around 2012). While fluorescent bulbs will certainly be the replacement for much of this.... it will also drive additional LED sales.... and drive GTAT's sapphire business.
GTAT is seeing a lift from this today (albeit with a late reaction compared to some of the more obvious LED plays like CREE and VECO).
GTAT reports its quarter Monday.
Disclosure: I am long GTAT, CREE.
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China Phasing out Incandescents Should be Great for GTAT
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