This content was first published on IGR – Italian Gemological Review no. 13 in 2021. The information provided here is therefore current as of the original publication date.
With a stunning coup de théâtre LightBox, De Beers’ synthetic diamond specialized division, made its grand debut 4 years ago. The primary purpose of the unforeseen move, was to inflict a lethal blow to those that were equating natural and lab-grown diamonds in the marketplace with the result of weakening the perception of real value by end consumers. The strategy focused on the re-legitimization of De Beers’ market leadership as the regulatory agent for natural diamonds, as well as on assuming the lab-grown diamond manufacturing leadership. The blow against the competition was based on the large production capacity of its 60 year old industrial division Element Six (until then engaged only in the production of synthetic diamonds for non-jewelry applications only) and an aggressive price list, 800 US$ per carat for gems of significant weight, good cut and color. In addition, all intermediation would be eliminated as Lightbox lab-growns would only be offered on finished jewelry pieces and reserved for end consumers only.
And now here’s a new move, definitely as well timed and as carefully planned as the previous ones. The new thing is Lightbox Loose, an initiative that will make loose, unmounted lab-browns available for purchase on its website and through authorized retailers at the same old price. Initially they will start with pink, blue and white diamonds, up to 2 carats, round brilliant cut and princess cut squares. What’s next? Should we expect the market to open up more fully to the middle market of jewelry manufacturers and stone dealers eventually?
Many in the industry believe that this scene is well within the horizon. As a matter of fact, the profits from selling loose gemstones to end consumers alone would not be such an attractive segment to justify their inclusion on a list for custom consumer designs. If in November 2020 Lightbox inaugurated a new plant in Oregon that will produce 200,000 carats of lab-grown diamonds, the likely outlook is that De Beers sooner or later is planning to play an important role in all segments of the market.
Gem News published on IGR – Italian Gemological Review #13, Autumn 2021
