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LCD TV panel makers such as LG Philips and Samsung are tipping that 37″ LCD TV panels will fall to as low as $600 by September with a retail of of less than $1000 tipped.

Due to competition from the 40-inch segment and a continued capacity ramp up, quotes for 37-inch panels may drop to US$600 by the end of the second quarter or at the beginning of the third quarter, according to market sources.

Panel makers such as LG.Philips LCD and AU Optronics (AUO) are ramping up capacity at their sixth-generation (6G) plants. Prices for the 37-inch segment have fallen from below US$800 this February to below US$700 in April amid the capacity ramp up and competition among the makers, the sources indicated.

The quotes will drop US$20-30 in June, with the ASP (average selling price) likely to fall to US$620-630, the sources added.

However, panel makers may no longer suffer from rapid price reduction in the third quarter, because end-user prices have not dropped at the same speed during the first half of this year and LCD TV demand will become stronger in the second half due to seasonal effects, industry sources indicated.

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