Large-area LCD display: Key market research findings
- APAC dominates the market geographically
- TV segment accounts for a majority share of the market revenue
- Key vendors – AU Optronics, BOE Technology, Innolux, LG Display, and Samsung Display
Technavio’s market research analysts predict the global market for large-area LCD displays to grow at a CAGR of around 3% between 2016 and 2020. The growth of this market is spurred by technological advancements in the field of LCD displays. Display manufacturers continue to innovate and develop multiple technologies and products such as display panels with in-plane switching (IPS) technology and quantum dots LCD displays. LCD manufacturers from Japan, South Korea, and Taiwan have already started incorporating IPS technology in their products. During 2015, the global large-area LCD display market was dominated by APAC with almost an 81% share of the overall market space. The high concentration of display device manufacturers and LCD panel manufacturers in this region will propel growth in the large-area LCD display market in APAC during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the large-area LCD display segments based on the application.
“Currently, the market is witnessing a steady shift towards products with a large screen size. Screen size is one of the major buying criteria for consumer devices such as monitors, notebooks, tablets, and TVs. This trend for a bigger screen allows consumers to stream videos and online video games effectively. Similarly, the ease of using media is one of the major factors driving the demand for tablets. Besides, the rise in UHD content providers worldwide is also contributing to the rise in the demand for large screen TVs,” says Sunil Kumar Singh, Lead Analyst, Hardware & Semiconductor, Technavio Research.
By 2020, the TV segment will account for about 40% of the overall market share to become the key revenue generator in the global large-area LCD display market. The strong growth of 4K TVs of 40 inches and larger will be the primary driving force behind the growth of this segment. Broadcast companies, such as Netflix, have already started broadcasting 4K UHD content because of the popularity of this format.
The key vendors in the market include AU Optronics, BOE Technology, Innolux, LG Display, and Samsung Display. Manufacturing LCD display panels require economies of scale because the equipment used to manufacture displays are expensive. This presents high entry barriers for LCD display panel manufacturers. Currently, the global large area LCD display market is dominated by China, Japan, South Korea, and Taiwan in terms of production and revenue contribution. Chinese manufacturers have the advantage of manufacturing LCD panels at a lower cost. This has resulted in price wars among LCD manufacturers and has accelerated the declining ASP of LCD panels. Vendors such as LG and Samsung are under a lot of pressure as profit margins have come down because of the increased competition.
A more detailed analysis is available in the Technavio report, Global Large-Area LCD Display Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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