This past week, Cree introduced a brand new 40W LED light bulb that will be available at Home Depot for less than $10. The $10 mark is very important. As we mentioned in the blog before, the $10 mark is the tipping point where many analysts and vendors believe mass adoption will occur. According to analysts at IMS, “It’s not just the psychological impact (i.e. $9.99 vs. $10.00); it also just happens that this is around the point where the payback arguments make sense.”
Cree agrees. “The Cree LED light bulb was designed to offer consumers a no-compromise lighting experience at a compelling price,” said Chuck Swoboda, Cree chairman and CEO. “Over the last couple of years we recognized that the consumer is instrumental in the adoption of LED lighting, but we needed to give them a reason to switch. We believe this breakthrough LED bulb will, for the first time, give consumers a reason to upgrade the billions of energy-wasting light bulbs.”
According to Cree, Cree LED bulbs save 84 percent of energy compared to traditional incandescent light bulbs. They have calculated that consumers can save $61 per year on electric bills by replacing incandescent bulbs with Cree LED bulbs in a home’s five most frequently used light fixtures. Their calculations are based on Cree LED bulb 60W replacements at 9.5 watt, $0.11 per kilowatt-hour, 25,000 hour lifetime and average usage of 6 hours per day.
In addition to the new $10 LED light bulb, Cree will have two other light bulbs available exclusively at The Home Depot. Here are details about all three:
- $9.97, a “warm white” 40-watt equivalent, with 450 lumens of light for 6W of electricity
- $12.97, a “warm white” 60-watt equivalent, providing 800 lumens of light for 9.5W of electricity
- $13.97, a “day light” 60-watt equivalent, with 800 lumens of light at a cost of 9W of electricity
Consumer Reports announced that they’ll be putting Cree’s LED light bulbs through the test. We’ll keep you posted on their testing in Clearlysapphire.com.
Cree, Cree Introduces The Biggest Thing Since the Light Bulb™, http://www.cree.com/news-and-events/cree-news/press-releases/2013/march/bulbs
Consumer Reports, LED prices drop as competition heats up, http://news.consumerreports.org/home/2013/03/led-prices-drop-as-competition-suddenly-heats-up.html
MIT Technology Review, Once-Pricey LED Bulbs to Dip Under $10, http://www.technologyreview.com/view/512236/once-pricey-led-bulbs-to-dip-under-10/
The Verge, Cree’s $13 LED light bulb is the best yet, looks and feels incandescent (hands-on), http://www.theverge.com/2013/3/5/4068174/cree-10-dollar-led-light-bulb-incandescent
Clearlysapphire.com, Tipping Point: Earth Day, 100W Light Bulb Reprieve and Alexander Hamilton, http://blog.clearlysapphire.com/?p=169
IMS Research, DOES LED LIGHTING HAVE A TIPPING POINT?, http://www.ledmarketresearch.com/blog/Does_LED_Lighting_Have_A_Tipping_Point_270