Shortages, oversupply seen in flat-panel display market
Silicon Strategies
01/20/2004, 3:15 PM ET
EL SEGUNDO, Calif.--Shortages and oversupply are expected to be the themes for the flat-panel display market in 2004, according to a report from iSuppli/Stanford Resources.
The large-sized flat-panel display market, which has been in a state of undersupply since the third quarter of 2003, will remain in shortfall through the first quarter of 2004, according to iSuppli/Stanford Resources.
Then, the market is expected to slightly change. "The market will shift to an oversupply condition in the second and third quarters, with supply outstripping demand by 0.2 percent and 1.1 percent respectively," according to the El Segundo-based market research firm. "The market will fall back to undersupply for the last three months of 2004 with demand outstripping supply by 0.4 percent," according to the report.
"The key 15-inch panel, which is used extensively in the notebook PC display and desktop PC monitor markets, will remain in a state of undersupply throughout 2004, iSuppli/Stanford Resources predicts.
Overall, the market for LCDs is strong. "Unit demand for flat panel displays is forecast to grow every quarter, except for the first quarter of 2004 due to the declining demand for notebook computers because of seasonal factors and an only moderate increase in monitor demand. The first quarter is typically the slowest one, following the busy holiday season," according to the report.
"Overall production of panels in 2004 is expected to rise due to the establishment of newer-generation production facilities by LCD makers. However, the increase in production won't be enough to satisfy demand in the fourth quarter, when sales of PCs and LCD-TVs will be at their highest level of the year," the report added. |
