Joseph O'Halloran ©RapidTVNews | 28-07-2011

Even though emerging market growth remains strong, weaker than expected demand in developed regions is set to act as a damper for the TV market in 2011 according to the latest DisplaySearch quarterly outlook.

The analyst’s Quarterly Advanced Global TV Shipment and Forecast Report, predicts that total global TV shipments will be reduced by about 3% to 252 million units. It adds that the compound annual growth rate for TV shipments in emerging regions is expected to be 6% from 2011 through 2015, but just 0.3% in developed regions.

Not surprisingly, China is expected to become the world’s largest flat panel TV market in 2011, overtaking North America and Europe with more than 46 million units shipped, and will hold that position throughout the forecast.

TV shipments in North America are expected to grow by only 2% in 2011, half the growth of 2010, while Western European TV shipments will actually fall about 1.5%. More spectacularly, the Japanese TV market is set decline by over 40% in 2011, although demand leading up to the analogue broadcast shutoff has been better than expected, and may result in a slightly lower decline.

“With so many consumers having traded up from CRT to flat panel TVs in developed markets like North America, Europe and Japan, we’ve been anticipating slower growth in demand for 2011,” explained Paul Gagnon, Director of North America TV Research for DisplaySearch. Gagnon added, “Demand in emerging markets like China, Latin America, and India is continuing to grow strongly with a relatively low level of flat panel TV household penetration; this will more than offset slowdowns in developed regions.”

It has long been hoped that developed regions will benefit from the introduction of state of the art screen technologies such as 3D sets. DisplaySearch predicts solid growth for 3D TVs from 20 million in 2011, rising to more than 100 million units shipped by 2015. It predicts that falling premium and costs associated with 3D will make it a standard feature of 40” and larger sets and that by the end of 2011, almost a quarter of 40” and larger TVs shipped worldwide will be 3D capable, rising to 84% by 2015.