LCD TV shipments to rise 3.2% as 4KTV panel prices plunge
Joseph O'Halloran | 09 July 2014
Healthy vendor inventories and hungry Chinese vendors looking to expand shipments are set to drive global LCD TV shipments to 210.8 million units by the end of 2014, according to analyst WitsView.
This would represent year-on-year growth of 3.2%, said the subsidiary of Taiwan-based market intelligence firm TrendForce, as makers prepare for the busy season in the LCD TV industry. LCD TV demand in China was also found to be increasing in preparation for the October holiday period, which WitsView added meant that oversupply was unlikely to occur in the short term.
It calculated that in June 2014, inventories for the top six LCD TV vendors in China reached 5.2 weeks while Samsung Electronics, LG Electronics and Sony have panel inventories for about 3.5 weeks, showing there is still room for vendors to have back-up panel supply. The data showed that the prices of LCD TV panels for 32-42" and semi-finished products will likely rise by US$ 1 in July, while panels sized 46", 48" and 50" will rise US$ 1-2. 55" panel pricing is expected to remain flat.
"TV panel pricing is expected to remain flat or increase throughout August into September but this is still yet to be fully determined as end sales performance and whether vendors' inventories are piling up will still all make a difference. The same will apply to notebook and monitor panels," noted WitsView research director Burrell Liu.
Intriguingly, the survey found that UltraHD (4K) panels are now priced only 1.2-1.35 times more than full HD panels, which WitsView believes may drop even further and prompt more sales in end markets. WitsView predicts the penetration rate of 4KTVs will reach 5.5-6% in 2014.