BLUGLASS (ASX:BLG) A MAJOR HURDLE PASSED
BluGlass (ASX:BLG) passed a major commercialisation milestone, demonstrating feasible reliability of its gallium nitride (GaN) laser diodes. The lasers have passed 500 hours of continuous operation with stable optical and electrical performance. The lasers maintained good performance and light-output, demonstrating less than 20% degradation – a key commercial standard for laser diodes. Testing will be ongoing but reaching this point is an important technical demonstration for the company.
Why feasible reliability is important
Feasible reliability of greater than 500 hours significantly de-risks the company’s technical and commercialisation roadmaps and demonstrates that BLG lasers are suitable for use in a number of applications. This achievement is critical for beta production and commercial product launches, and validates the company’s laser diode designs for potential customers. Customers have significant unmet needs in the market. Pleasingly, this milestone was achieved with older iterations made by BLG’s contract manufacturers. The company expects newer iterations with further improvements to the epitaxy, metals and facets, that are currently progressing through BluGlass’ supply chain, will perform even better.
A lot to look forward to in 2023
BluGlass has made steady progress towards commercialisation. We believe it will make further strides in the new year. BluGlass intends to launch beta products, commence pilot production, and complete lifetime testing over the coming year.
As one of only a handful of end-to-end GaN laser diode manufacturers globally, the company is timing its run to market alongside significant growth, with the GaN laser segment forecast to be a US$2.5bn market by 2025. BluGlass is specifically target the industrial, scientific and biotech verticals, which alone are expected to grow to US$735m in 2025. These verticals focus on high-growth applications including electric vehicles, renewable energy battery storage and chip manufacturing.
All the building blocks are now in place
As outlined in our initiation report dated 27 September, we believe all the building blocks that should enable the company to make a successful entry into the laser diode market are now in place.
Download the full report here: Pitt Street Research BluGlass Update 08 Dec 22