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Decreased IT Demand Hinders Large LCD Display Growth

17 August 2015

A decline in the demand coming from the information technology (IT) market and global currency issues in most regions have impacted the shipment of large-area TFT liquid crystal displays (LCDs) in the first half of 2015, according to a new report from IHS.

In view of the currency issues in most regions, import prices rose in the first half of the year causing large-sized LCD manufacturers to incur lower margins. In the IT market, excess inventory levels caused a low demand while aggressive buying by global TV brands kept prices high.

TV TFT LCD led shipments in the first half of 2015 following by notebooks. Source: IHS. TV TFT LCD led shipments in the first half of 2015 following by notebooks. Source: IHS. Subsequently, unit shipments of large-area TFT LCDs fell 2% in the first half of the year reaching 340 million units. Display shipments for tablet PCs also fell 17%, notebook PC displays fell 6% and PC monitor displays fell 8%, according to research from IHS. However, LCD TV panel units increased by 11%.

Yoonsung Chung, director of large-area displays at IHSYoonsung Chung, director of large-area displays at IHS“Actual TV sell-in over the first half of this year is still lower than expected, however, due to frozen demand caused by global currency exchange issues,” says Yoonsung Chung, director of large-area displays at IHS.

He says because the TV sell-in was worse than expected, TV makers have higher inventories resulting in decreased TV panel demand and this will have an impact on TV panel prices in the second half of this year.

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Related links:

Large Area Display Market Tracker

IHS Displays

News articles:

LCD Panel Makers Shift Production to Larger Sizes

Apple Drives Demand for LTPS FTF LCD Smartphone Displays

Decline in Flat Panel Display Revenue Expected in 2015

8K TV Shipments Forecast to Grow Rapidly in the Next 5 Years

Display Technology Harnesses Ambient Light

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