AUSTIN, USA: According to its latest Quarterly LCD Glass Substrate Report, DisplaySearch reports that glass substrate demand for 2010 is forecast to grow to 278 million square meters, up 15 percent from 242 million square meters shipped in 2009.
After a steep fall in demand in Q4’08, demand increased sequentially each quarter in 2009, and has returned to a more typical seasonal pattern.
Fig. 1: Glass Substrate Area and GrowthSource: Quarterly LCD Glass Substrate Report.
“Glass manufacturers have learned from the recession in Q4’08 and Q1’09, and as a result, have adjusted their business models to minimize new tank investment. They are now concentrating on increasing capacity of existing tanks and demand,” noted Tadashi Uno, Director of Materials and Components Market Research at DisplaySearch and author of the report.
Glass substrate supply has been tight or in shortage since Q2’09. “With strong glass substrate demand, DisplaySearch doesn’t foresee any significant price reductions in the near future, making the TFT LCD glass substrate business a profitable sector in the future.” Uno added.
On an area basis, Samsung Corning Precision (SCP) had a 33 percent market share in Q4’09, followed by AGC (25 percent), Corning (19 percent), and NEG (18 percent). SCP’s lead is entirely due to the strength of Korean TFT LCD producers, whereas AGC and Corning are closely matched in Japan and Taiwan.
Table 1: Q4’09 Substrate Supplier Area Share by TFT Manufacturer CountrySource: Quarterly LCD Glass Substrate Report.