Philips enters into intelligent road lighting venture in China
Dutch multinational Royal Philips (NYSE: PHG, AEX: PHIA) and China Electronics Corporation (CEC) have announced the signing of a joint venture agreement to become a leading player in the intelligent road lighting market in China.
The joint venture
The new company will be 70% owned by SED, part of the CEC group of companies, and 30% by Philips. The joint venture will focus on intelligent controls, software and LED fixtures for road lighting. The cooperation combines Philips’ strong innovation capabilities in road lighting with SED’s knowledge of local market requirements. The Chinese government is promoting the development of more energy-efficient cities, including the upgrade to LED technology and intelligent lighting management systems. The joint venture’s offering will include Philips CityTouch, an innovative web-based intelligent management system for street and road lighting in a city. It enables online, dynamic and flexible control of lighting on a city-wide scale, allowing cities to use light only when and where it is needed, maximising efficiency while ensuring visibility and road safety. Combined with LED lighting, it delivers energy and maintenance savings of up to 70%.