Price drop lifts flat panels

Flat-panel display market outgrows predictions

The market for flat-panel displays is outgrowing market predictions and breaking records quarter-on-quarter, according to the latest research from DisplaySearch.

In its Quarterly Large-Area TFT LCD Shipment Report, DisplaySearch discovered that large-area - 10in and above - thin-film transistor (TFT) LCD shipments exceeded first-quarter 2003 expectations, rising by seven per cent quarter on quarter and by 25 per cent year-on-year to a record high of 20 million units. Suppliers had predicted a rise of only four per cent.

According to DisplaySearch the outlook for Q2 2003 is also positive, with shipments expected to rise by 13 per cent for the quarter and 29 per cent compared with the same quarter a year ago.

LCD monitor module shipments rose nearly twice as much as expected, as monitor brands capitalised on low panel prices. Revenues rose five per cent quarter-on-quarter and four per cent year-on-year to $4.2bn.

Tumbling flat-panel prices over the past year has made them more affordable, particularly to consumers and system builders looking to differentiate their systems.

The findings are borne out by increased sales of flat-panel displays through the channel, according to Gary Fowle, commercial director at distributor Computer 2000.

"We have seen huge growth in TFT displays in the last few quarters thanks to prices becoming so competitive," he said.

"From corporate brands to the entry-level brands, we have seen strong sales across all these sectors, with consumers opting for entry-level flat panels to replace their CRT monitors.

"You can get a 15in TFT from about £150. That's great value. Most people buying PCs today would be getting one with a TFT because of the value."

By size, 15in LCD unit shipments dominated market share with 47 per cent while 17in panels overtook 14in shipments for the first time, with a 19 per cent share.