Small LCD Market Grows Despite Supply Concerns

According to digitimes.com, the small-size LCD panel market is expected to see tight supply and stable prices this year along with growing demand.

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According to the authors of the report, DisplaySearch, the mainstream segment of the small-size panels was the 2.2-inch segment in 2007, but in 2008, the 2.4-inch segment is starting to take over as the mainstream, while demand for 2.8- and 3-inch is also growing.

 

The DisplaySearch pointed out that although “increases in unit shipments will be relatively low, the relatively higher increases in area shipments will gift makers with significant growth in revenues”.

 

The report notes that “small- and medium-size panels have long been categorised as a single segment because of their similar market characteristics – customised applications for many diversified segments. But the development of the small- and medium-size segments are now clearly going into different directions”.

 

The digitimes article noted that the medium-size segment, because of the growing adoption in low-cost notebooks, mobile Internet devices (MIDs), and ultra mobile PCs (UMPCs), is moving towards IT applications.

 

According to DisplaySearch, demand for the three applications will “total 10-12 million units in 2008, and will continue to grow in the next few years. The good outlook is prompting panel makers to start processing medium-size panels at their 5G lines”.