LCD TV shipment growth accelerates in 2H10, says iSuppli
Press release; Yvonne Yu, DIGITIMES [Monday 27 September 2010]
digitimes.com
Despite a second-quarter slowdown in global LCD TV shipment growth, the second half of the year is expected to bring a recovery as price reductions spur another year of double-digit expansion for the market, according to iSuppli.
Global LCD TV shipments will rise to 173.3 million units in 2010, up 20.9% from 143.4 million units in 2009. While still a strong rise, growth will be down significantly from the 39.1% increase in 2009, primarily due to saturation in the mature markets.
LCD TV shipments suffered a sequential decline of 20.2% in the first quarter because of the normal seasonal slowdown. Shipments in the second quarter then advanced by a tepid 3%. However, growth will accelerate to 14.9% in the third quarter and to 17.9% in the fourth quarter.
"Sequential demand growth for LCD TVs slowed in the second quarter as rising economic uncertainty, slower price declines and mounting consumer caution took a toll on sales," said Riddhi Patel, director of TV systems at iSuppli. "In contrast, sales in the second half will strengthen as brands slash prices aggressively on new sets with advanced features like LED backlighting, Internet connectivity, 3D display and 120/240Hz refresh rates."
Slow LCD TV sales in the first half contributed to a buildup of inventories in panels and finished sets. Despite an unusual rise in LCD TV set pricing in July in the US, prices worldwide are set to decline in the third and fourth quarters, as the supply chain strives to reduce stockpiles.
Regional accents
LCD TV shipment growth will vary widely by region in 2010. The mature North American and Western European markets will expand by only 1% and 8.9%, respectively, in 2010.
In contrast, the large China market will soar by 34.1% as government stimulus efforts spur consumer spending. And in Latin America, sales are growing rapidly as LCD TVs become increasingly affordable for consumers. Led by Brazil, Latin America shipments are projected to soar by 55.1%.
Sizing up LCDs
Shipments of 32-inch LCD TVs had been expected to remain stable this year. However, iSuppli is now expecting growth because of increased focus from brands on LED-backlit models as well as multi-format support.
By contrast, the 50-inch and larger sizes have seen a greater slowdown in shipments than initially forecasted, owing to a slowdown in the mature markets as well as to concerns surrounding consumer spending. |
