Abstract

The Small and Medium-sized FPD Industry Phasing into the Maturity Stage

Over the period 2007 ?2012, the small- and medium-sized FPD panel industry as a whole will be moving from the later-phase growth stage of the industry lifecycle into the maturity stage. Both shipment volume and shipment value growth rates are starting to slow; the shipment value CAGR for the industry as a whole during the period 2007 ?2012 is estimated at 4.3% and shipment volume CAGR at 6.1%.

The development can be attributed to the fact that the mainstream applications and display technologies for the global small- and medium-sized FPD panels have entered or are entering the maturity stage. Researches show that mainstream application segments having already entered the maturity stage include: DSC, portable DVD player, and portable game device panels. About to move into the maturity stage are mobile phone main display, mobile phone sub display, PND, MP3 Player & PMP, industrial device a-Si TFT-LCD, and car audio panels. At the same time, mainstream display technologies having entered the maturity stage include color PM-OLED, area color PM-OLED, and TN-LCD. Display technologies about to move into the maturity stage are a-Si TFT-LCD and LTPS TFT-LCD.

With mainstream applications and technologies moving into the maturity stage, if no new replacement application or technology comes along, the global small- and medium-sized FPD panel industry is expected to experience slackening growth and lessening profits after 2012.

Therefore, industry leaders and aspiring up-and-comers have engaged in the deployment of new product applications or new technologies. As regards new product applications, said companies have been working aggressively on the commercialization of new application segments including E-Book reader, mini notebook PC, portable TV, and web browser. With the injection of R&D resources from FPD panel makers, universities, and research institutes, E-Paper technology featuring the green product features of less power consumption and environmental friendliness have seen breakthrough progress in technological development and have found commercial application in an increasingly wide range of product segments.

The E-Paper technology showcased at the SID 2008 International Symposium, Seminar and Exhibition is capable of displaying 262,144 colors and achieving a moving picture response time of 30 milliseconds. The display performance of E-Paper panels has reached the same level as that of TFT-LCD panels. It is therefore expected that E-Paper panel applications will expand from the E-Book reader into mainstream application segments such as mobile phone, game device, and so on.

Mobile Phone Display Panel Remain the Predominant Application while Digital Photo Frame Panel Shows Considerable Growth Potential

The mobile phone display segment's share in the global small- and medium-sized FPD panel industry has exceeded 50% both in terms of shipment volume and shipment value over the period 2007 - 2012. As regards display technology adopted by mobile phone display panels, the share of a-Si TFT-LCD arrived at 37.4% in 2007, while that of LTPS TFT-LCD reached 18.4%. It is forecasted that the two figures will rise to 43.9% and 26.3%, respectively, as of 2012. By that time, over 70.0% of all mobile phone display panels will adopt the TFT-LCD technology. Therefore, the influence of the mobile phone industry on the capacity allocation of the global small- and medium-sized FPD panel makers is expected to continue expanding in the future.

As a result, major makers with relative advantages in the competition of TFT-LCD production capacity are expected to become the first-tier suppliers of mobile phone display panels. Second- and third-tier suppliers, in order to make profits and survive, will have to seek out new market segments with growth potential for their own TFT-LCD production capacities.

Analyzing the sales performance of emerging products in the end market and industry statistics, it can be found that digital photo frame is the application product with the strongest growth potential in the consumer electronics market in recent years. It is forecasted that digital photo frame panel shipment volume will reach approximately 17.9 million units in 2008 and rise to nearly 51.0 million units in 2012. Over the period 2007 - 2012, the digital photo frame panel segment is projected to record a shipment value CAGR of 21.6% and a shipment volume CAGR of 42.2%. Digital photo frame is arguably the emerging small- and medium-sized FPD panel application with the strongest growth potential, and FPD panel makers have been aggressively tapping this new market.

Appendix

Research Scope

This report presents forecasts and analysis of the global small- and medium-sized FPD panel industry, covering various display technologies including:  TN-LCD, MSTN-LCD, CSTN-LCD, a-Si TFT-LCD, LTPS TFT-LCD, area color PM-OLED, color PM-OLED, and AM-OLED.

Definitions

Small- and Medium-sized FPD Panel

This report covers small- and medium-sized FPD panels of an active area measuring 9.x inches and less diagonally.

Product Lifecycle

Onkvist and Shaw (1989) identify four stages of four stages in product lifecycles, which are defined as follows:

 Glossary of Terms