A price war for light bulbs is brewing.

Big lighting companies like Philips are scrambling to develop new technology as a price war for LED bulbs threatens to eat up profits and begin a period of slower growth as people have to buy bulbs less often.

The LED market is growing as companies, hotels and stores switch from incandescent bulbs, which are being banned in countries around the world.

But the home market, which initially saw high growth, is leveling off because the bulbs have to be replaced less often.

Economic analysts see the overall lighting market starting to shrink in 2017, when LED bulbs will account for more than half of the market.

--Rob Archer