4KTV set for bright 2016 as TV shines on struggling large-size LCD market


Details

Editor

| 28 November 2015




Over 2015 shipments of LCD panels sized 7 inches and above will reach 794 million units, a 4.1% year-on-year drop and a first-ever annual shipment decline, analyst WitsView predicts.



Yet the research note adds that even though other vertical industries are struggling, panel shipments in the TV application market have been strong and provide the critical support for large-size panels’ total shipment area, which is projected to grow 3.8% year on year in 2015.

Looking to the future, WitsView forecasts that for 2016, large-size panel shipments will slide to 793 million units on account of the stagnant tablet market. Yet at the same time, TV panel products will grow larger in average size and their shipments are projected to reach 273.6 million units.

WitsView is also confident that 2016’s TV market will again drive the expansion of large-size panels’ total shipment area, which is set to grow by 8% year on year. Shipments of TV panels sized 50 inches and larger for this year are estimated at 48.7 million units and will grow to 55.4 million in 2016 as prices of this size segment becomes more affordable for the consumers. the analyst believes that panels sized 60 inches and above will become the market’s focus and their shipments will take up 15% of the 50-inch and above panel shipments next year.

Yet perhaps the most noteworthy trend for 2016 revealed by WitsView worth highlighting is the rise in the adoption of Ultra HD resolution. It notes that LG Display (LGD) in particular has a leading cost advantage resulted from its development of M+ technology and that 4KTV products may also make up as much as 38% of LGD’s TV panel shipments next year. It calculates that 37% of shipments for Samsung Display will be based around 4K products, whereas AU Optronics (AUO) will likely rank third with about 33%. Innolux and Chinese panel makers have been behind in developing 4K products and focused more on small-size panels. 4K’s penetration rate in their respective shipments for next year will be lower than 20%.