India remains bright spot for flat panel TV market growth

AUSTIN, USA: According to results from the DisplaySearch India's TV Market: The Final Frontier of FPD, the India flat panel TV market outlook is promising, with the region accounting for more than 30 percent of forecast Asia Pacific flat panel TV shipments in 2013.

FPD TV shipment growth in India slowed to 80 percent from 100 percent growth in the last four years, but in comparison to other regions, the slowed growth is still impressive, with the exception of the China flat panel TV market.

Fig. 1: India's FPD TV Share in Asian Pacific RegionSource: DisplaySearch’s India's TV Market: The Final Frontier of FPD

A growing middle class, coupled with a low penetration of flat panel TVs, will fuel the transition from CRT to LCD TVs with LCD TVs overtaking CRTs in 2012. India has 230 million households and only 115 million of them have TVs—mainly CRT TVs—providing significant opportunities for market expansion.

“With a booming economy, rising discretionary income and government purchase incentives, the India flat panel TV market remains a bright spot for continued flat panel TV growth over the next five years,” noted Indrajit Ghosh, DisplaySearch Director of India and South Asia Research.

"In a global economy where some regions are saturated, India represents one of the biggest populations with the biggest potential for ensuring continued growth in the flat panel TV industry.”

India aims to position itself as the next TV assembly and manufacturing destination. The India government also has reduced panel import duty by 50 percent in an effort to help attract TV manufacturing and assembly within the country. As a result, large global OEMs are already considering this region, based on success stories in mobile handset manufacturing in India.

Mini-note PC (netbook) shipments grow at twice the rate of notebooks in Q2’09

AUSTIN, USA: In Q2’09, the total notebook PC market posted strong Q/Q and Y/Y growth as units surged past the 38 million mark, as reported in the DisplaySearch Q3’09 Quarterly Notebook PC Shipment and Forecast Report.

The mini-note PC (netbook) market was particularly strong, growing 40 percent Q/Q, which was twice the impressive 22 percent Q/Q growth rate of larger notebook PCs. The strong growth of mini-note PCs drove their share of the portable computer markets to 22.2 percent in Q2’09, as shown in Table 1.

Asus, the pioneer in mini-note PCs, has been steadily losing share because Tier 1 brands like Acer, HP, Dell, Lenovo and Toshiba have become increasingly aggressive in this segment.

Table 1: Notebook and Mini-Note Share of Portable Computer ShipmentsSource: DisplaySearch Q3’09 Quarterly Notebook PC Shipment and Forecast Report.

Mini-note penetration in Latin America and Greater China is higher than notebook PC penetration, as shown in Table 2. The low prices of mini-note PCs make these products more affordable for these emerging markets, and these regions have many first-time PC buyers, who are less likely to require all the bells and whistles available on a larger mainstream notebook PC.

Table 2: Q2’09 Notebook and Mini-Note Shipment Share and Y/Y Growth by RegionSource: DisplaySearch Q3’09 Quarterly Notebook PC Shipment and Forecast Report.

In many regions, telecom providers have been offering subsidized mini-notes for several quarters, which helped propel growth. In Western European countries, a number of telecoms are subsidizing 100 percent of the price of the mini-note when the customer signs a two-year data plan contract.

In North America, telecom providers are aggressively marketing mini-notes with a two-year data plan contract, while some cable providers are offering heavily discounted mini-notes as an incentive to sign a contract for cable TV, Internet and phone service. The incentives have been quite successful in Europe.

In North America, these promotions were only test marketed in Q2’09, so there is insufficient data to determine if they will achieve the same measure of success.
Mini-notes have been a significant contributor to the growth in the portable PC market as their very attractive price points make owning a secondary computer viable for many consumers.

“Mini-note PC screen sizes have increased steadily, from 7.0" to 8.9” and then to 10.2". Some panel makers and brands are promoting 11.6" mini-note displays, leading to an overlap with ultraportable notebooks. However, the higher prices of these larger netbooks diminish their cost advantage.

In addition to many other key players in the supply chain, Microsoft indicated it is their desire to increase the ASP of mini-notes. A significant increase to the ASP of mini-notes may deter consumers that are predominantly using mini-notes as secondary PCs,” said John F. Jacobs, Director of Notebook Market Research.

E-Paper display revenues forecast to reach $9.6 billion by 2018

AUSTIN, USA: In its recently released E-Paper Displays Report, DisplaySearch forecasts that the total e-paper display market will grow to 1.8 billion units and $9.6 billion in revenues in 2018, from 22 million units and $431 million in revenues in 2009, for a CAGR of 41 percent for revenues and 64 percent for units.

The market for e-paper displays — which are found in e-books, e-textbooks, e-newspapers, e-magazines, mobile phones, electronic shelf labels, point–of-purchase and public signage displays, displays in smart and credit cards, clothes and other wearable items, and other applications—has taken off this past year, becoming one of the few shining stars in the economic downturn.

“E-paper displays are taking off with consumers due to their low power consumption and ease of reading, especially in sunlight,” noted Jennifer Colegrove, Director of Display Technologies at DisplaySearch.“In addition, e-paper displays are 'green' because they reduce paper consumption, and electronic shelf labels can save time and labor costs by enabling dynamic pricing in stores.”

Fig. 1: E-Paper Display Forecast
Source: DisplaySearch E-Paper Displays Report

E-book displays currently account for the majority of e-paper revenues. Nearly all e-book devices currently in the market use E Ink’s electrophoretic display technology, with a small number—such as Fujitsu’s FLEPia—using cholesteric LCD (liquid crystal display) technology. Other electrophoretic display suppliers SiPix and Bridgestone have announced that they will also commercialize e-book displays.

Additional findings from the DisplaySearch E-Paper Displays Report:
* The number of e-book/e-text books (5-9.x”) models went from one model in 2003-2004 to three in 2006, to about five in 2007. In 2009, the number of models jumped to about 20. The e-paper display market for e-books and e-textbooks (5-10”) is forecast to grow from about 1 million units in 2008 to 77 million units in 2018.
* Color e-book displays recently entered the market with Fujitsu’s 8” FLEPia e-book. Due to the high price and technical challenges, DisplaySearch forecasts color e-books will not reach high volumes before 2011.
* Electrophoretic was the leading technology in 2008, and DisplaySearch forecasts that the technology will continue to lead the e-paper display market growth for this forecast period, and reach $5.8 billion by 2018.
* Bi-stable LCD was the second largest e-paper display technology by revenues in 2008; DisplaySearch forecasts this segment will reach $2.5 billion by 2018.
* MEMS (micro-electro mechanical system) display technology will expand from small size mobile phone displays to color and medium size e-book displays over the next few years.
* Electrochromic displays are targeting low-cost, high-volume smart label and card display applications. DisplaySearch forecasts that electrochromic will become the leading technology in terms of unit volume for e-paper displays by 2013.

Table 1: Comparison of E-Book Display Technologies
Source: DisplaySearch E-Paper Displays Report

Global LCD TV unit shipments stronger than expected

AUSTIN, TEXAS: In a nearly mirror image of Q1’09 results, global TV revenues fell 12 percent Y/Y to $23.7 billion while shipments declined slightly less, down 8 percent Y/Y to 44.6 million units according to the latest results from the DisplaySearch Quarterly Global TV Shipment and Forecast Report.

Not all technologies fared equally though as LCD TVs continued to post remarkably strong unit growth, while all other technologies showed Y/Y declines in units. However in revenue terms, all technologies were down Y/Y as the marketplace remains impacted by frugal consumers looking for the lowest prices amid the global economic downturn.

Globally, flat panel TV share jumped from 68 percent in Q1’09 to 74 percent in Q2’09 as LCD TV price erosion continued at the same annual pace as Q1’09, falling 22 percent Y/Y on average. LCD TV market share increased as a result from 62 percent to 67 percent, acquiring nearly all that market share in a rapid shift from CRT to LCD in China as well as a big increase in North America market share from better than expected sell-through.

Despite tight supply conditions for LCD panels in Q2’09, LCD TV shipment growth managed to maintain the same pace as Q1’09, rising 27 percent Y/Y to 30 million units although revenues fell 1 percent Y/Y. Plasma market share increased about half a percent to 7 percent, while CRT share plummeted from 32 percent to 26 percent on a unit basis. Both North America and China reached record shipment levels.

“LCD TV market growth remains impressive, gaining market share from incumbent technologies like CRT at a quickening pace despite higher prices and a tight supply situation in Q2’09” noted Paul Gagnon, Director of TV North America TV Market Research at DisplaySearch. “Advanced technologies like high frame-rate LCDs and 1080p resolutions also continued to increase in market share as the price premium narrows, even in these tough economic times.”

North America dramatically took back the top position among global regions for TV shipments on a unit basis while reaching more than 10 million units shipped for the quarter. North America reclaimed the crown from China where unit shipments fell 10 percent Q/Q and 14 percent Y/Y, mostly on a large decline in CRT TV unit volume that wasn’t entirely made up by surging LCD growth.

Western Europe continued to experience weakness with total units declining 3 percent Y/Y and was overtaken for the #3 market position by Asia Pacific. A review of global TV shipment performance by technology can be seen in Table 1:

Table 1: Q2‘09 Worldwide TV Shipments by Technology (000s)Source: DisplaySearch Quarterly Global TV Shipment and Forecast Report

On a brand basis, Samsung remained the global brand share leader in revenues for the 14th straight quarter, rising to a record revenue share of 23 percent and also hitting a record unit share of 18.2 percent. LGE remained #2 after surpassing Sony in Q1’09, slightly increasing their revenue share to 13.7 percent with small share gains in both LCD and plasma offsetting a decline in CRT share. Sony held the #3 brand position worldwide in revenues, although losing a little more than a point of share.

Samsung reclaimed the top LCD unit share position from Vizio in the highly competitive North America market. Vizio fell to #2 on a unit basis in LCD TV for North America, but continued to see strong growth from a year ago with distribution in the growing discount channels like Walmart.

Funai, which includes the Philips and Magnavox brand in North America, surpassed Sony and rose to #3, having the strongest Q/Q unit growth among the top five North America LCD TV brands. Funai is prospering from close strategy alignment with discount channels and more frugal consumers.

China remains a very competitive market as well, one dominated by domestic brands. The top five LCD TV brands in China on a unit basis are all Chinese and collectively account for nearly three-quarters of all units shipped to the region in Q2’09. Skyworth was the top LCD TV brand at nearly 20 percent unit share, but was followed closely by Hisense at #2. TCL rounded out the top three with 15 percent unit share.

Many foreign brands are eager to gain a foothold in China’s rapidly growing market, but must compete with lower-cost Chinese brands to do so. Chinese consumer demand is currently being boosted by several government stimulus programs and TV brands are eager to participate, especially domestic brands. A complete review of the top five global TV brands can be seen in Table 2:

Table 2: Q2‘09 Worldwide TV Brand Rankings by Revenue ShareSource: DisplaySearch Quarterly Global TV Shipment and Forecast Report

Large-area TFT LCD shipments grow by 42pc Q/Q in Q2’09

AUSTIN, USA: Results of the DisplaySearch large-area (10" and larger) TFT LCD survey for Q2'09, as reported in its Quarterly Large-Area TFT LCD Shipment Report, indicate that shipments reached 130 million units, strong growth of 42 percent Q/Q and 10 percent Y/Y (see Table 1).

Due to the increase in prices, large-area TFT LCD revenues grew 51 percent Q/Q, but were still down 29 percent Y/Y, to $15 billion. Strong market demand in Q2’09 led to a recovery in capacity utilization across all applications.

Table 1: Q2’09 Large-Area TFT LCD Shipments by Original Specification and Application (Millions)Source: DisplaySearch Quarterly Large-Area TFT LCD Shipment Report.
* Original specification indicates the panel specification at the time of shipment. Some panels specified for LCD monitors are used for LCD TVs.
** Includes 10.x”, 11.x” and some 12.0” panels used in mini-notes (also called netbooks)

DisplaySearch also revealed details of its survey of panel makers’ shipment targets for Q3’09 through Q2’10. Panel makers are increasing capacity utilization to respond to growing demand and targeting Q3’09 shipments of large-area TFT LCD panels of 152.8 million, up 18 percent from Q2’09 (see Table 2).

If panel makers reach their unit shipment targets, revenue growth is expected to be 32 percent Q/Q.

Table 2: Large-Area TFT LCD Shipment Targets by Original Specification and Applications (Millions)Source: DisplaySearch Quarterly Large-Area TFT LCD Shipment Report.
* Original specification indicates the panel specification at the time of shipment. Some panels specified for LCD monitors are used for LCD TVs.
** Includes 10.x”, 11.x” and some 12.0” panels used in mini-notes.

In Q2’09, Samsung Electronics led in large-area TFT LCD panel revenues, with sales of $4.2 billion, a 27.8 percent revenue share, according to DisplaySearch findings. LG Display was second, with $3.7 billion in revenues and a 25 percent sales share. AUO was third at $2.3 billion with a 15.7 percent share, with CMO closely behind at 15.3 percent share.

In Q2’09, LG Display took first place in unit shipments, but Samsung shipped the most by area. On a unit basis, Korea was the largest supplier of large-area TFT LCD panels in Q2’09 with a 49.8 percent share, but was down from 52.2 percent in Q1’09 due to strong shipment growth of Taiwanese panel suppliers.

Taiwan’s share increased from 38.4 percent in Q1’09 to 41.2 percent in Q2’09.

Table 3 shows the Q2’09 shipment ranking of large-area TFT LCD panels by original specification and application.

Table 3: Top Three Unit Suppliers for Each Application in Q2’09
Source: DisplaySearch
* Includes <26” LCD monitor panels used for LCD TV
** Includes 10.x”, 11.x” and some 12.0” panels used in mini-notes
*** Excludes <26” LCD monitor panels used in LCD TVs

According to David Hsieh, Vice President of DisplaySearch, “We are forecasting that industry utilization will be 87 percent in Q3’09 due to growing orders. In Q2’09 the industry experienced a strong recovery, and shipments reached record highs.

"We expect that strong demand will push panel shipments to another record high in Q3’09. However, strong panel shipments in some cases are due to downstream players piling up inventory, so we believe it will be necessary to watch the supply chain inventory situation closely at the end of Q3’09.”

Large-area TFT LCD shipments reach record levels in June

AUSTIN, USA: June 2009 shipments of large-area TFT LCD panels reached 46.7 million units, up 8 percent M/M and 24 percent Y/Y, according to the most recent DisplaySearch Monthly TFT LCD Shipment Database. This sets a new record for the highest monthly large-area TFT LCD shipments.

On a unit basis, LG Display was the leader with 24.5 percent market share, followed by Samsung with 24.1 percent and AUO with 16.6 percent. Large-area TFT LCD revenues reached $5.3 billion, up 14 percent M/M, but 17 percent lower than June 2008.

In terms of shipment volume, June’s shipment results indicate a continuation of the large-area TFT LCD industry’s recovery. DisplaySearch forecasts that shipments will increase again in July, but at a slower rate because the glass substrate shortage is limiting panel makers’ production. The panel supply situation will continue to tighten in July and August, which will result in higher revenues.

All three major applications—notebook PC, monitor and TV—showed M/M growth. DisplaySearch’s research found that LCD TV panels had the highest Y/Y growth at 57 percent, followed by notebook panels at 19 percent, and monitor panels at 12 percent (Table 1).

Also noteworthy, notebook PC and LCD TV panel shipments both reached monthly record highs, with 14.7 and 13.1 million units, respectively. The 18 million LCD monitor panels shipped is the most since May 2008.

Table 1: Monthly Large-Area TFT LCD Panel Shipments and Growth (Millions)Source: DisplaySearch June 2009 Monthly TFT LCD Shipment Database

In terms of area, large-area TFT LCD shipments reached 7.1 million square meters in June, up 7 percent M/M and 32 percent Y/Y, the largest amount yet. The growth in shipment area was mainly driven by TV panels. Samsung led in area shipments with a 27.2 percent market share, followed by LG Display at 24.9 percent, CMO at 16.5 percent, and AUO with 15.6 percent.

In addition to large-area TFT LCDs, the Monthly TFT LCD Shipment Database also tracks 5.0” to 11.6” mini-note (netbook) panel shipments. Mini-note panel shipments were 3.5 million in June, also an all-time high.

HannStar took back the lead from AUO with 956 thousand units, passing AUO’s 920 thousand. HannStar started shipping 11.0” mini-note panels.

The Premium Version of the Monthly TFT LCD Shipment Database includes shipment data by suppliers for each application and screen size. Penetration of 16:9 aspect ratio panels in LCD monitors reached 49 percent in June, a big leap from 42 percent in May.

The penetration of 16:9 in notebook PCs reached 41 percent, also a big leap from 36 percent in May.

According to David Hsieh, Vice President of DisplaySearch: “June results broke many monthly records, such as total large-area shipments, notebook PC and LCD TV panel shipments, shipment area, and mini-note shipments. This is representative of the strong recovery in end-market demand, which is not limited to TV, but also includes notebook PCs and desktop monitors.”

Hsieh added: “We expect the limited supply of glass substrates will limit the shipment growth in July, and given end-market demand, we expect that shortage conditions will continue. However, this will encourage OEMs and brands to aggressively build inventories for the holiday season. As panel customers build inventories in Q3’09 after shortages in July and August, we believe it will be very important to scrutiny the supply chain inventory in September.”

Mini-note (netbook) shipments to double Y/Y to over 30mn units in 2009

AUSTIN, USA: DisplaySearch expects shipments of almost 33 million mini-notes (netbooks) in 2009 as penetration of these products into the notebook PC market grows to 20 percent worldwide, according to its Quarterly Notebook PC Shipment and Forecast Report.

At the same time, DisplaySearch expects the market for “traditional” notebooks (those with displays 12.1” and larger) to be flat Y/Y for the first time (see Table 1).

Table 1: Mini-Note and Notebook Shipments and Growth by RegionSource: DisplaySearch Q2’09 Quarterly Notebook PC Shipment and Forecast Report

Penetration rates for mini-notes are forecast to exceed 26 percent in Latin America, and 22 percent in EMEA (Europe, the Middle East, and Africa), with the lowest penetration rates in Asia-Pacific, North America and China.

In emerging markets like Latin America, the low prices of mini-notes offer a more affordable product. In 2008, 45 percent of all mini-notes were shipped into EMEA markets. While this figure is forecast to drop to 40 percent in 2009, this share is well in excess of the region’s total share of the notebook PC market.

In many regions, telecom providers have been offering subsidized mini-notes for several quarters, which helped propel growth. In North America, the three largest telecom providers (AT&T, Sprint and Verizon) are aggressively marketing mini-notes.

As smartphone penetration continues to increase in North America (and a number of other regions), it will become increasingly necessary for telecoms to find their next revenue stream as the incremental revenue increase from smart phone subscribers slows.

Penetration of mini-notes is one of the primary factors behind DisplaySearch’s expectations of flat Y/Y demand for notebook PCs. The other factor is a dramatic reduction in demand from enterprise customers. Businesses responded quickly to the economic downturn by cutting purchasing, especially of expensive IT-related products.

DisplaySearch believes that there is significant pent-up demand in the B2B market as many enterprises did not upgrade from Windows XP to Vista.

The launch of Windows 7 in late October this year, if combined with economic recovery, could lead to a rapid recovery in enterprise notebook PC demand; however, DisplaySearch does not expect this to occur until 2010.

In its Q2’09 Quarterly Notebook PC Shipment and Forecast Report, DisplaySearch analyzes the breadth and depth of mini-note and notebook PCs demand in the major geographic regions, and identifies the key variables influencing changing demand patterns in these markets.

“Mini-notes are forecast to continue to be a significant portion of the market. However, as display sizes of these devices have quickly moved from 7.0” to 8.9” to 10.1”, and now with the emergence of 11.6” and 12.0” mini-note products, it is clear that buyers want a light-weight device, but that they also want a bigger display.

“While these devices have certainly created a new market, our research indicates that they are predominantly used as secondary PCs by consumers, and are not replacing notebooks,” said John F. Jacobs, Director of Notebook Market Research and author of the report.

May large area TFT LCD shipments -- Samsung leads with 27.5pc

AUSTIN, USA: May 2009 shipments of large-area TFT LCD panels 43.3 million units, up 8 percent M/M and 6 percent Y/Y, according to the most recent DisplaySearch Monthly TFT LCD Shipment Database. The 43.3 million units also represent the highest on record for the past 12 months.

On a unit basis, LG Display was the leader with 25.2 percent market share, followed by Samsung with 24.6 percent, and AUO with 17.9 percent. Large area TFT LCD revenues reached $4.7 billion, showing 15 percent M/M growth, but 35 percent lower than May 2008, an indication of how far prices declined in Q4’08 and Q1’09.

In terms of shipment volume, May’s shipment results indicate a continuation of the large-area TFT LCD industry’s recovery. DisplaySearch forecasts that shipments will increase again in June, and that the panel supply situation will continue to tighten in June and July, which will result in higher revenues.

All three major applications — notebook PC, monitor and TV — showed M/M growth. DisplaySearch’s research found that LCD TV panels had the highest M/M growth at 14 percent, followed by notebook panels at 7 percent, and monitor panels at 5 percent. The Premium Version of the Monthly TFT LCD Shipment Database includes shipment data by suppliers for each application and screen size.

Table 1: Monthly Large-Area TFT LCD Panel Shipments and Growth (millions)Source: DisplaySearch May 2009 Monthly TFT LCD Shipment Database

Large-area TFT LCD shipments reached 6.6 million square meters in May, up 10 percent M/M and 12 percent Y/Y, and the highest level in more than a year. The growth in shipment area was mainly driven by TV panels. Samsung led in area shipments with a 27.5 percent market share, followed by LG Display at 25.6 percent, CMO at 16 percent, and AUO with 15.9 percent.

In addition to large-area TFT LCDs, the Monthly TFT LCD Shipment Database also tracks 5.0” to 11.6” mini-note PC (netbook) panel shipments. Mini-note panel shipments were 3.1 million in May, almost flat from April. AUO led in shipments, passing HannStar, which had been the leader in mini-note panel shipments since January.

Several panel makers have entered the mini-note market since May, including Innolux in Taiwan and InfoVision in China. At the same time, panel makers such as CMO, AUO, LG Display and Samsung have started to ship 11.6” panels for mini-note PCs.

According to David Hsieh, Vice President of DisplaySearch, “May results are encouraging for panel makers, as they reflect a healthy recovery in demand.” He added: “Considering the current end-market demand and the limited supply of glass substrates, as well as the low panel inventories, we expect that shortage conditions will continue. In June, both panel shipments and prices continue to increase, and we expect to see additional price increases in July.”

Top five makers to produce 89.2pc of global large-area TFT LCDs by area in 2009

AUSTIN, USA: Production of TFT LCD panels is continuously evolving, as different panels of different sizes and applications are made on the most appropriate generation fabs based on utilization and cost efficiency.

In unit terms, 34.3 percent of large-area (10”+) TFT LCD panels were made on Gen 7 lines in Q1’09, up from 32.5 percent in Q4’08, according to the latest DisplaySearch Quarterly Large-Area Production Strategy Report. DisplaySearch defines Gen 7 to include 1870 × 2200 mm and 1950 × 2250 mm (defined by some as Gen 7.5) substrate sizes.

In Q1’09, 2.3 percent of all panels were produced on Gen 4 and below, 24.4 percent on Gen 5, 4.4 percent on Gen 5.5, 23.9 percent on Gen 6, 34.3 percent on Gen 7, and 10.8 percent on Gen 8, in unit terms (see Table 1).

TFT LCD makers are shifting more production to larger fabs. In Q1’10, the share of large-area TFT LCD panels produced on Gen 8 lines (which DisplaySearch defines to include 2160 × 2460 mm and 2200 × 2500 mm sizes) will increase to 19.4 percent, and 2.8 percent will be produced on Gen 10 lines.

Table 1: Large Area TFT LCD Production Unit Share by Fab GenerationSource: DisplaySearch Quarterly Large-Area Production Strategy Report

By application in Q1’09, 77.6 percent of mini-note PC (netbook) panels and 82.8 percent of notebook PC panels were made on Gen 5 lines. Since Gen 5 glass substrates are in shortage, the supply of notebook PC panels is expected to be tight in the next few months. About 3.4 percent of notebook panels were made in Gen 6, mainly by LG Display and CPT.

In Q1’09, 43.2 percent of monitor panels were made on Gen 5 lines, the first time Gen 5 production of monitor panels fell below 50 percent. DisplaySearch forecasts that in Q4’09, 55.7 percent of LCD monitor panels will be made in Gen 6 and larger fabs. Interestingly, 4.4 percent of LCD monitor panels were made on Gen 8 lines in Q1’09, solely due to Samsung 18.5”W and 21.5”W monitor panels.

In terms of TV, Gen 7 has a 47.7 percent share of TV panels; 29.8 percent were made on Gen 6 lines and 16.4 percent on Gen 8. In Q4’09, DisplaySearch forecasts that 28.4 percent of TV panels will be made on Gen 8 lines, compared to 23.3 percent on Gen 6.

The DisplaySearch Quarterly Large-Area Production Strategy Report discloses TFT LCD suppliers’ production plans, by size, application and generation. The top five TFT LCD makers are expected to account for 89.2 percent of panel production by area in 2009, a big leap from the 74.8 percent in 2008.

In total, TFT LCD makers are planning to input 105 million square meters of glass substrate for large-area panels in 2009, which represents 15.5 percent growth from the 90.9 million square meters in 2008.

Samsung is expected to lead TFT LCD production with 28.9 million square meters input in 2009, or 27.5 percent of the total, followed by LG Display at 25 million square meters, or 23.8 percent share. AUO is expected to rank third with 17 million square meters and 16.2 percent share, followed by CMO at 16.8 million square meters and 16 percent share, and Sharp will be fifth with 6 million square meters input and 5.7 percent share.

“DisplaySearch expects that TFT LCD production will experience another new wave of changes as Gen 8 production is increasing, and Gen 10 is expected to come on line by Q4’09. Production of smaller size panels in large fabs will increase, as it enables flexibility, and this will change the product mix,” said David Hsieh, vice president of DisplaySearch and leader of large-area TFT LCD research.

Hsieh continued: “Many monitor and TV panels are produced on the same generation lines, so when TV panels are in shortage, the monitor panel market becomes tight as well. On the other hand, the high production share of the top five large-area TFT LCD panel suppliers indicates that the large-area TFT LCD market is moving to new level of concentration.”

DisplaySearch revises worldwide TV forecasts

AUSTIN, USA: Better than expected results in Q1’09 for developed markets, especially for LCD TVs, together with increased stimulus spending by governments, particularly in China, have improved the outlook for TV demand in 2009.

Although total TV shipments are still projected to decline slightly to near 200M units worldwide, LCD TV is still poised for unit growth. DisplaySearch has raised the forecast for 2009 worldwide LCD TV sales from 120 million to 127 million units, as LCD takes share from CRT at a faster pace and the global TV market hurries along in the transition to flat panel technologies.

Despite this, LCD TV revenues are still projected to decline about 6 percent in 2009 due to price erosion and the strong shift in volume to discount retail channels, such as Walmart in the US. This is a much shallower decline than previously forecast due to faster growth of advanced technologies like 120/240 Hz and LED backlight models.

Several key findings from the DisplaySearch Q2’09 Quarterly Advanced Global TV Shipment and Forecast Report have been revised:

LCD TVs
Developed markets are starting 2009 with strong growth and emerging markets are transitioning from CRT to LCD faster than expected. DisplaySearch’s 2009 LCD TV unit forecast is increased from 120 million units to 127 million units, a 21 percent growth over 2008 and a 63 percent share of global TV shipments.

The 2009 revenue outlook was increased from $66 billion to $76 billion, primarily based on rising LCD panel costs since April that will drive slower ASP erosion in the second half of 2009.

“This is good news for global LCD TV revenues overall, but could have a negative impact on demand in developed markets, like North America where consumers are more sensitive to sale promotions and prices” noted Paul Gagnon, Director of North America TV Research. “Still, emerging markets offer tremendous growth opportunity, even at current price levels, and the slower ASP declines shouldn’t have a strong impact on rising demand.”

The 2009 LCD TV forecast for China was increased from 18.8 million units to 23.6 million units as the Chinese government fortified their rural home appliance purchase subsidy program and introduced additional incentives to consumers trading up from CRT to LCD in urban areas.

After the disastrous impact of the recession on global TV demand in Q4’08, DisplaySearch reduced its forecasts to account for uncertainty in the future economic outlook, as shown in Fig. 1 below. The revised forecast reflects the signs of life returning to the TV market.Source: Quarterly Advanced Global TV Shipment and Forecast Report

DisplaySearch is also now tracking shipments of 120 Hz and 240 Hz frame rate LCD TVs in 2009.

According to Vice President of TV Market Research Hisakazu Torii, “The shift to higher frame rates is critical to LCD TV manufacturers for increasing both performance and profitability, especially considering the rapid pace of commoditization in the category.”

"The 120 Hz frame rate models will account for 29 percent of LCD TV revenues worldwide in 2009, while 240 Hz will grab about 5 percent of revenues. By 2013, 120 Hz will account for 31 percent of LCD TV revenues, while 240 Hz accounts for more than 20 percent."Source: Quarterly Advanced Global TV Shipment and Forecast Report

Plasma TVs
Plasma (PDP) TV is expected to fall about 2 percent Y/Y to 14.1 million in 2009 after strong 28 percent growth in 2008. This outlook is down slightly from DisplaySearch’s previous forecast as a result of increased consumer preference overall for sub-40” screen sizes amid heightened price sensitivity during the recession.

The 1080p penetration continues to rise, accounting for 32 percent of plasma TV shipments in 2009, but quickly accelerating to more than 50 percent in 2010 and 80 percent by 2013.

DisplaySearch’s total global TV forecast is 200.4 million units in 2009, down 3 percent Y/Y, the first decline in total shipments in recent memory as the global recession and rising unemployment continue to take a toll on demand.

However, the slowdown will be temporary as the worldwide economy emerges from recession and new markets enter the initial stages of the flat panel and digital TV transition.

Large-area LED backlit LCD panel shipments pass 10mn units in Q1’09

AUSTIN, TEXAS: LED backlights are growing rapidly in large-area (10”+) TFT LCD displays. Panels with LED backlights reached 10.6 million units in Q1’09, up 63 percent Q/Q and 780 percent Y/Y, according to the latest DisplaySearch Quarterly LED Backlight Panel Shipment & Forecast Report.

According to the shipment plans of large-area TFT LCD makers, LED backlight panel shipments are likely to reach 104.5 million units in 2009. In Q4’09, penetration of LED backlight panels will be as high as 25 percent.
.
Currently, portable computers are the leading application for LED backlights, with 4.2 million LED backlit panels shipped for mini-note PCs (netbooks), or 100 percent LED penetration, and 5.9 million for notebook PCs, or 26 percent penetration, in Q1’09.

All mini-note PCs used wedge type LED backlight design, but it is expected that slim type backlights will be used starting in Q2’09. In Q1’09, 76 percent of notebook LED backlit panels used wedge-type light guide plates. HannStar led in shipments LED backlight panels for mini-note PCs, while LG Display was the leading supplier of LED backlit panels for notebook PCs.

In desktop monitors, LED backlit panels shipments were only 0.1 million in Q1’09, representing less than 0.5 percent of LCD monitor panels shipped in Q1’09. The value of LED backlights for LCD monitors is still not clear to end users, therefore the adoption is limited. For TVs, shipments of LED backlit LCD panels were 0.4 million in Q1’09, concentrated in 40”, 46” and 55” as Samsung launched side-lit LED TV models. Table 1 shows the top five LED backlit LCD panel makers in Q1’09.

Table 1: Q1’09 Top Five LED Backlight Panels Makers and Shares by ApplicationSource: DisplaySearch Q2’09 Quarterly LED Backlight Panel Shipment & Forecast Report

Mini-note panels will remain 100 percent LED in 2009, and the LED backlight supply chain and panel suppliers are focused on increasing LED backlight penetration in other applications this year.

In Q3’09, LED backlights will exceed CCFL backlights in notebook LCD panels, reaching 53 percent penetration. LCD TV panel makers are planning to ship 4.3 million panels with LED backlights in 2009, 68 percent side-light type and 32 percent direct. Table 2 shows the forecast of the top five LED backlight panel maker shares by application.

Table 2: Forecast of 2009 LED Backlight Panel Maker SharesSource: DisplaySearch Q2’09 Quarterly LED Backlight Panel Shipment & Forecast Report

According to David Hsieh, Vice President of DisplaySearch: “The driving factors for the fast growth of LED backlights are slim and lightweight form factor, lower power consumption, market differentiation, dimming backlight capability, wide color gamut, and the trend towards green displays. However, there are many challenges in LED backlight design, components availability and cost, and panel makers are working closely with LED backlight supply chain participants to increase shipments.”

Hsieh added: “The growing LED penetration in TFT LCD will raise new issues such as LED cost management, LED chip availability, and changes in backlight structure. As LED production shares the same capacity with the lighting market and many LED companies are evaluating the strategy for backlights, the market has some concerns over LED availability. We believe LED supply chain management will be a key success factor for panel makers and will reshuffle the competition landscape from now to 2010.”

Larger format LCDs for commercial use and digital signage up 67pc Y/Y

AUSTIN, TEXAS: While “flat is the new up” for many technologies as the global recession continues, current results show that the flat-panel digital signage market continues to grow with larger-size commercial LCD products outpacing shipments of commercial plasma products 2-to-1 in Q1’09.

Results from the recent DisplaySearch Quarterly FPD Public Display Shipment and Forecast Report revealed that Q1’09 worldwide shipments of larger size (26”+) flat panel displays used in commercial applications for out-of-home environments grew 2 percent Y/Y, but dropped 10 percent Q/Q showing that this market may not be completely impervious to the effects of the global recession. Further analysis revealed that this market segment is still healthy, however.

Sequential declines seen in the period came more as a result of fewer plasma shipments in the quarter due to some production transitions in that sector rather than falling demand. Conversely, LCD-based commercial displays saw a 3 percent sequential growth for the period and an astounding 67 percent growth when compared to the same period as last year.

Fig. 1: Q1’09 Worldwide LCD and PDP Share of 26”+ Large-Format FPDs for Commercial Public Display Applications for Leading BrandsSource: DisplaySearch Quarterly FPD Public Display Shipment and Forecast Report

While LCDs continued to gain momentum as an acceptable Out-of-Home (OoH) flat panel display technology with phenomenal Y/Y growth of 67 percent, plasma-based technologies were unable to take advantage of their price/size advantage in 50”+ sizes, thus shipments fell 37 percent in the same period,” noted Chris Connery, Vice President of PC and Large Format Commercial Displays.

“Looking ahead, plasma looks to re-gain its strong foothold on the commercial FPD space as more production capacity—allowing for larger size displays to be produced even more efficiently start to come on board potentially even butting-up against other OoH technologies such as direct view LEDs and Rear and Front Projection systems in indoor venues.”

Some major brands stopped promoting plasma as a technology for commercial applications in 2008 and such movements no doubt hurt public perception of the technology. Major players such as Panasonic are still quite focused on the technology and are preparing for an annual refresh of their professional line of products as well as expanded capacity, which indicates that this technology is far from being out of contention as a strong competitor in this space.

DisplaySearch’s results indicate that in spite of the drop off in Q1’09 WW total shipments for FPD technologies for commercial environments, Panasonic was the #2 brand for the quarter for large format commercial displays, behind #1 Samsung in total FPD commercial market share.

Table 1: Q1’09 Worldwide Market Share Brand Leaders and Technology Splits for 26”+ Large-Format FPDs for Commercial Public Display ApplicationsSource: DisplaySearch Quarterly FPD Public Display Shipment and Forecast Report
* NEC and Sony announced in 2008 that they would focus on LCD technologies with Q1’09 PDP sales representing sell-out of existing inventory.

Looking forward, the display market will help drive market momentum around digital signage. Fabrication plants for larger LCDs and plasma products are will come on-line in 2009 and 2010 with sizes and technologies geared more towards Out-of-Home environments than traditional in-home TV display sizes.

Other technologies such as various forms of front and rear projection are still prepared to combat the continued onslaught of FPD technologies as well (especially tiled LCD and PDP solutions) with new innovations on the horizon.

Large-area TFT LCD shipments grew 6pc M/M to 40mn in April

AUSTIN, USA: April 2009 shipments of large-area TFT LCD panels reached 40.1 million units, showing strong M/M growth of 6 percent, according to the most recent DisplaySearch Monthly TFT LCD Shipment Database.

The 3 percent Y/Y increase in shipments marked the first time in seven months that there was positive Y/Y growth in monthly shipments. However, revenues were 39 percent lower than April 2008, indicating the magnitude of price declines over the past year.

Large-area TFT LCD revenues did increase 6 percent M/M, reaching $4.2 billion. As DisplaySearch reported previously, the February shipment results indicated the TFT LCD industry had reached the bottom of the cycle, and then March results showed some recovery. April shipment results indicate a continuation of the large area TFT LCD industry’s recovery.

All three major applications — notebook PC, monitor and TV — showed M/M growth. DisplaySearch’s research found that notebook PC panels had the highest M/M growth at 9 percent, followed by TV panels at 8 percent and monitor panels at 3 percent. However, monitor panel shipments are still lower than the same month last year. Notebook panel shipments were 9 percent higher than the same month last year and TV panels were 8% higher than April 2008. Table 1 shows monthly shipments by application.

Table 1: Monthly Large-Area TFT LCD Panel Shipments and Growth (Millions)Source: DisplaySearch May 2009 Monthly TFT LCD Shipment Database

For the notebook PC application, shipments of 16:9 aspect ratio panels reached 3.6 million, 28 percent of the 12.7 million notebook panels shipped, up from 24 percent in March. Meanwhile, shipments of 15.6” (16:9) notebook panels reached the same level as 15.4” (16:10) panels.

In monitors, 16:9 panels reached 6.1 million units, a 38 percent share of the 15.8 million monitor panels shipped, up from 28 percent in March. Meanwhile, 32” TV panel shipments reached 4 million units in April, and 42” TV panel shipments passed 1 million units for the first time since last October.

In addition to large-area TFT LCDs, the Monthly TFT LCD Shipment Database also tracks 5.0” to 11.6” mini-note (netbook) panel shipments. Mini-note panel shipments were 3.1 million in April 2009, up 14% M/M; HannStar continued to be the leader in mini-note panel shipments in April. The Premium Version of the Monthly TFT LCD Shipment Database includes shipment data by suppliers for each application and screen size.

According to David Hsieh, Vice President of DisplaySearch, “April results are encouraging for panel makers, as they reflect a healthy recovery in demand.” Looking forward, Hsieh added, “Considering the current end-market demand and the low panel inventories, we expect that shipments will continue to grow in Q2’09, and we forecast that panel makers will reach 80 percent capacity utilization in Q2’09.”

For information on the DisplaySearch Monthly TFT LCD Shipment Database, contact Charles Camaroto at 1.888.436.7673 or 1.516.625.2452 or contact@displaysearch.com

Global TV revenues decline 12pc Y/Y in Q1’09

AUSTIN, USA: With a lingering global recession continuing to place pressure on discretionary spending, global TV shipments declined 6 percent Y/Y in Q1’09 to 43.3M units according to the latest Quarterly Global TV Shipment and Forecast Report from DisplaySearch. This was a decline of 25 percent from Q4’08 on seasonal trends.

Revenues fell even more, down 12 percent Y/Y to $22.1 billion with ASPs falling 6 percent Y/Y as both retailers and brands sought to keep consumers shopping. The resulting shipments were very close to projections, but the mix was weighted more heavily towards LCD TVs than expected on strong demand in China as well as North America.

Globally, flat panel TV shares grew from 66 percent in Q4’08 to 68 percent in Q1’09 as LCD TV prices fell even more in Q1’09 on an annual basis than they did during the Q4’08 holiday season, an indication of the pressure to maintain consumer demand.

LCD TVs were the only technology to gain share during the quarter, rising from 58 percent to 62 percent, as Y/Y shipments grew 27 percent to 26.7M units, but revenues posted the first ever Y/Y decline on a worldwide basis, down 1 percent Y/Y, highlighting the pressure on prices.

Plasma TV unit shipments increased 1 percent Y/Y by comparison to 2.8M with revenues falling by 26 percent Y/Y, representing 6 percent of unit shipments and 11 percent of global TV revenues.

China remained the #1 region for TV shipments, increasing unit share from 19.1 percent to 21.3 percent, with strong growth in LCD TV shipments, posting the only sequential increase in LCD TV unit volume from Q4’08 to Q1’09 of any region, as the rural subsidy program gained momentum and helped to partially offset a sharp decline in demand for CRT TVs. North America was the dominant region for TV revenues, accounting for more than 27 percent of global dollars due to a greater mix of large size LCD and plasma TVs than other regions.

Given the pressure on consumer spending, it’s not surprising that demand remained strong for modest screen sizes, where pricing was more attractive. 32” was still the most popular screen size, accounting for almost 38% of unit shipments, but the share of total TV shipments above 40” declined about half a percent from record levels in Q4’08. The unit share of higher resolution 1080p models increased by more than a point to a record 21.7%.

A review of global TV shipment performance by technology can be seen in Table 1.

Table 1: Q1‘09 Worldwide TV Shipments by Technology (000s)Source: DisplaySearch Quarterly Global TV Shipment and Forecast Report

On a brand basis, Samsung remained the global brand share leader in revenues for the thirteenth straight quarter, holding their revenue share around 22 percent, and also leading in global TV unit share. LGE overtook Sony for the #2 share position in global TV revenues, rising almost 2 points to 13.3 percent and posting the only Y/Y revenue growth among the top five brands with a 14 percent Y/Y growth in unit volume.

Sony fell to #3 on a revenue basis as a result, with Sharp and Panasonic rounding out the top five. It’s interesting to note that in LCD TV on a revenue basis, Philips fell out of the top five for the first time, replaced by Toshiba who was #2 in Japan and #5 in North America and Western Europe.

A complete review of the top five brands can be seen in Table 2.

Table 2: Q1‘09 Worldwide TV Brand Rankings by Revenue ShareSource: DisplaySearch Quarterly Global TV Shipment and Forecast Report

Large-area TFT LCD shipments fell 3pc Q/Q in Q1’09 to 91.5M units

AUSTIN, USA: Results of the DisplaySearch large-area (10” and larger) TFT LCD survey for Q1'09, as reported in its Quarterly Large-Area TFT LCD Shipment Report, indicate that shipments reached 91.5 million units, a decline of 3 percent Q/Q and 18% Y/Y (see Table 1).

Due to the decline in shipments, large-area TFT LCD revenues fell 17 percent Q/Q and 52 percent Y/Y, to $10 billion. Slow market demand in Q1’09 led to reductions in capacity utilization across all applications.

Table 1: Q1’09 Large-Area TFT LCD Shipments by Original Specification and Application (Millions)
Source: DisplaySearch Quarterly Large-Area TFT LCD Shipment Report
* Original specification indicates the panel specification at the time of shipment. Some panels specified for LCD monitors are used for LCD TVs.
** Includes 10.x”, 11.x” and some 12.0” panels used in mini-notes (also called netbooks)

DisplaySearch also revealed details of its survey of panel makers’ shipment targets for Q2’09 through Q1’10. Panel makers are increasing capacity utilization to respond to growing demand and targeting Q2’09 shipments of large-area TFT LCD panels of 125 million, up 37 percent from Q1’09 (see Table 2). If panel makers reach their unit shipment targets, revenue growth is expected to be 47 percent Q/Q.

Table 2: Large-Area TFT LCD Shipments by Original Specification and Applications in Q2’09 (Millions)Source: DisplaySearch Quarterly Large-Area TFT LCD Shipment Report
* Original specification indicates the panel specification at the time of shipment. Some panels specified for LCD monitors are used for LCD TVs.
** Mini-note (also called netbook) PC panels are indicating the 10.x”, 11.x” and some 12.0” panels for Mini-Note

In Q1’09, Samsung Electronics ranked #1 in large-area TFT LCD panel revenues, with sales of $2.9 billion, a 28.7 percent revenue share, according to DisplaySearch findings. LG Display was #2, with $2.5 billion in revenues and a 25.4 percent sales share. CMO was ranked #3 at $1.4 billion with a 14.4 percent share.

In Q1’09, Samsung also took first place in units and area shipments. LG Display and CMO were second and third, respectively. Korea was the largest supplier of large-area TFT LCD panels in Q1’09 with 52.2 percent, while Taiwan’s share remained unchanged from Q4’08, at 38 percent. Table 3 shows the Q1’09 shipment ranking of large-area TFT LCD panels by original specification and application.

Table 3: Top Three Unit Suppliers for Each Application in Q1’09Includes <26” LCD monitor panels used for LCD TV
** Includes 10.x”, 11.x” and some 12.0” panels used in mini-notes
*** Excludes <26” LCD monitor panels used in LCD TVs

According to David Hsieh, Vice President of DisplaySearch: “We are forecasting that industry utilization will be 80 percent in Q2’09 due to growing orders. We expect that Q1’09 represented the worst of this cycle as revenues and shipments reached recent lows. But just as spring has replaced winter, the outlook is improving and we will definitely see shipment and revenues grow by double digits in Q2’09.”

Plasma panel shipments fall Y/Y for second quarter in a row, down 22 percent to 2.8mn units

AUSTIN, USA: As global demand remains weak due to poor economic conditions, plasma panel shipments from panel makers to brands fell Y/Y for the second straight quarter after posting strong growth during most of 2008.

According to the latest Quarterly Global TV Shipment and Forecast Report, Plasma and LCD TV Panel Shipment Module from DisplaySearch, shipments fell 28 percent Q/Q in Q1’09 and 22 percent Y/Y to just under 2.8mn units, down from 3.5mn units in Q1’08.

Most of the decline was due to 32” models being discontinued in 2009, but even 42” and 50” panel shipments fell in Q1’09. Some brands announced their withdrawal from the plasma TV business in Q1’09, like Pioneer, while other brands decided to shift away from plasma to focus on LCD TV only, like Vizio. The result was weaker than anticipated shipments as the number of brands consolidates.

Additional notable developments from the Q1’09 shipment results include the following:

* 50”+ share of shipments reached a new high of 33 percent in Q1’09 from 30 percent in Q4’08 as the 32” market subsides and plasma TV brands focus on the 50”+ market where they remain more competitively priced than LCD.
* 1080p share of shipments dipped slightly from 25 percent in Q4’08 to 22 percent in Q1’09 as manufacturers focused on offering the lowest priced products to consumers, such as 42” and 50” 720p models, at a time when consumer price sensitivity continues to climb.
* As the 32” shipment share declined, most of the share was picked up at 50” with a smaller share increase at 42”.
* 46” shipment share continues to struggle to rise over 3 percent of unit volume for two reasons. 42” and 50” HD products are priced at very compelling levels, and competitive 46” and 47” 1080p LCDs are priced similarly to 46” 1080p plasma, limiting growth.

"As bad as plasma unit shipments were in Q1’09 relative to a year ago, plasma panel revenues were even worse, declining 36 percent Y/Y as falling prices were needed to stem even steeper demand falloff," noted Paul Gagnon, DisplaySearch Director of North America TV Market Research. "With future investment in capacity expansion on hold at almost every plasma panel maker except Panasonic, improvements in technology, such as greater luminance efficiency and more efficient manufacturing at existing fabs, will be the key areas of investment to maintain cost competitiveness against future LCD fab capacity expansion."

The top plasma panel suppliers on a unit basis were Panasonic at #1 with 37 percent share in Q1’09 and Samsung SDI at #2 with 31 percent, followed by LGE (26 percent). Since Hitachi and Pioneer will withdraw plasma module production in 2009, only three major panel makers are left in the plasma industry.

As shown in the following table, the ranking in terms of revenues was the same with Panasonic’s lead a little stronger due to a greater mix of 1080p. However, both Samsung and LGE are quickly increasing their 1080p production. Only Panasonic was able to achieve a slower level of revenue decline than the category average with LGE and Hitachi both falling more than 50 percent Y/Y.

Table 1: Plasma Panel Revenue Share and Growth by SupplierSource: Quarterly Global TV Shipment and Forecast Report, Plasma and LCD TV Panel Shipment Module

Global OLED revenues to reach $5.5B by 2015 on strong AMOLED growth

AUSTIN, USA: In the Q1’09 Quarterly OLED Shipment and Forecast Report, DisplaySearch forecasts the total OLED display market will grow to $5.5 billion by 2015, from $0.6 billion in 2008, with a CAGR of 37 percent. Currently, this growth is being driven by the adoption of active matrix OLED (AMOLED) displays for the primary display in mobile phones and portable media players.

Expansion of AMOLED manufacturing capacity will enable production of larger displays for mini-notebook and notebook PCs, desktop monitors and larger TVs. DisplaySearch forecasts that in 2015, TV will pass mobile phone main display to become the highest-revenue application at $1.92 billion.

“AMOLED displays have become an important differentiating factor for high-end electronic products,” noted Jennifer Colegrove, Director of Display Technologies at DisplaySearch. “AMOLED revenues will exceed those from passive matrix OLEDs (PMOLEDs) in 2009, and AMOLED is likely to pass PMOLEDs in terms of unit shipments in 2010, driven by mobile phone main display applications.”

Fig. 1: OLED Display Revenue ForecastSource: DisplaySearch Q1’09 Quarterly OLED Shipment and Forecast Report

DisplaySearch also reported that worldwide OLED display revenue in Q4’08 was $156 million, an increase of 17 percent Q/Q. OLED revenues for FY2008 reached $615 million, a 24 percent increase Y/Y.

PMOLED had a weak Q4’08, caused by slowing shipments of monochrome and area color OLED. AMOLED experienced a strong quarter, driven by demand for mobile phone main displays, as Nokia, Samsung Electronics and Sony Ericsson heavily promoted AMOLED mobile phones in early 2009.

“The OLED display industry is at a crossover point, as AMOLED passes PMOLED on a revenue basis. PMOLED makers need to investigate new market and product opportunities such as OLED lighting,” Dr. Colegrove said.

Samsung SDI, whose OLED group merged with Samsung Electronics’ mobile display business to form Samsung Mobile Display (SMD) in January 2009, had a strong Q4’08. As a result, Samsung SDI (now SMD) took the #1 position in shipments with a 31 percent share, passing RiTdisplay. Samsung SDI (now SMD) has been the leader in total OLED revenues for several quarters thanks to its AMOLED shipments
.
The DisplaySearch Quarterly OLED Shipment and Forecast Report includes shipments by supplier; by AMOLED vs. PMOLED; by small molecule vs. polymer; by monochrome vs. area color vs. full color; and by application, such as mobile phone main display, sub-display, mini-note, notebook PC, TV, MP3, auto console, car audio, digital still camera, near-eye and others. It also shows capacity plans by supplier and has a comprehensive supply/demand forecast.

Source: DisplaySearch

Large-area TFT LCD shipments grew 29 percent M/M in March

AUSTIN, USA: March 2009 shipments of large-area TFT LCD panels reached 37.9 million units, showing strong M/M growth of 29 percent, according to the most recent DisplaySearch Monthly TFT LCD Shipment Database.

In addition, large-area TFT LCD revenues reached $3.9 billion, up 31 percent M/M. While shipments were down only 5 percent Y/Y, revenues were 47 percent lower than March 2008, indicating the magnitude of price declines over the past year.

All three major applications—notebook PC, monitor and TV—showed over 20 percent M/M growth, and total shipments were the highest in six months. February shipment results indicate that the TFT LCD industry had reached the bottom of the cycle, and March’s results show some recovery.

DisplaySearch’s research found that notebook panels had the highest M/M growth at 38 percent, followed by LCD TV at 30 percent and LCD monitor at 24 percent. However, monitor panel shipments are still lower than the same month last year. Notebook panel shipments were flat and TV panels were 14 percent higher than March 2008. Table 1 shows monthly shipments by application.

Table 1: Monthly Large-Area TFT LCD Panel Shipments by Application (Millions)Source: DisplaySearch April 2009 Monthly TFT LCD Shipment Database

In addition to large-area TFT LCDs, the Monthly TFT LCD Shipment Database also tracks 5.0” to 10.2” mini-note (netbook) panel shipments. Mini-note PC panel shipments were 2.7 million in March 2009, up 79 percent M/M; HannStar continued to be the leader in mini-note panel shipments in March. The Premium Version of the Monthly TFT LCD Shipment Database includes shipment data by suppliers for each application and screen size.

For the notebook PC application, shipments of 16:9 panels reached 2.8 million, a 24 percent share of the 11.6 million notebook panels shipped, up from 17 percent in February. In monitors, 16:9 panels reached 4.3 million units, a 28 percent share of the 15.4 million monitor panels shipped, up from 26 percent in February. Meanwhile, 32” TV panel shipments reached 4 million units in March, which is the highest monthly volume ever.

According to David Hsieh, Vice President of DisplaySearch: “March results are encouraging for panel makers as they reflect a good recovery in demand.” Looking forward, Hsieh added, “Considering the current end-market demand and the low panel inventories, we expect that shipments will continue to grow in Q2’09, and we forecast that panel makers will reach 80 percent capacity utilization in Q2’09.”

He concluded: “We previously predicted that March would show double-digit growth over February, as panel makers have been increasing capacity utilization, and these results bear out our forecast. However, the key challenge for panel makers is to evaluate the supply/demand balance, which will be determined by the amount of production increase and by whether the growth in demand is sustained in Q2’09.”

For information on the DisplaySearch Monthly TFT LCD Shipment Database, contact Carl Holec at info@displaysearch.com!

Source: DisplaySearch