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Tablet displays light up as LCD TV market set for first-time fall

Display panel makers revenues are set for a reverse as the screen markets show no sign of a rebound, according to the latest market analysis from DisplaySearch.

According to the latest DisplaySearch Quarterly Large-Area TFT LCD Shipment Report, screen makers are targeting very modest shipments growth in Q4'11, as downstream manufacturers and brands are expected to prepare for the holiday season. Moreover large-area TFT LCD shipments falling flat in the third quarter and revenues dropping by 2%, 2011 The analysis shows that shipments of large-area TFT LCD panels were 185.5 million in Q3'11, unchanged from Q2'11, but up 12% year on year, However, revenues reached $19.2 billion, down 2% on the preceding quarter and annually down by 11%.

The analyst expresses the opinion that the TFT LCD industry has been in over-supply for six quarters in a row, and while panel prices rebounded slightly in Q2'11, it was only short term. Noted David Hsieh, Vice President, Greater China Market, DisplaySearch: "Q3'11 panel shipment growth has been hampered by stagnant economic conditions, especially for IT products and TVs. Panel makers did not achieve their goal of growing Q3'11 shipments 7% Q/Q, and slow demand has been eroding panel prices in Q3'11."

More worryingly in a market sub-segment thought to be recession-proof, LCD TV panels will show a fall in shipments to 209 million in 2011, 5% less than those million shipped during 2010.

Yet despite the glom of the larger TV sector, the tablet juggernaut shows no sign of stopping with demand showing the strongest momentum, up 21% quarter on quarter and up 246% year on year as iPads and Android tablets get churned out of factories

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