“The TV panel market was disrupted by the rise of large players in China that increased capacity regardless of demand.” asserts Eric Virey, Ph.D., Principal Display Technology and Market Analyst, Photonics & Sensing at Yole Développement (Yole). “In 2019, oversupply sent prices to their lowest levels ever, below cash cost for most players. Thanks to subsidies, lower depreciation, more recent and efficient fabs, BOE and CSOT can control price to eliminate competition. Korean and Taiwanese LCD panel makers turned unprofitable and it became clear that China would soon close the technology gap, leaving no opportunity for differentiation, controlling prices and owning the market. In Q1-2020, Samsung and LG therefore decided to retreat from the LCD TV panel business”.
In the meantime, the COVID-19 pandemic impacted the supply chain and demand in the first half of the year.
Until late 2019, the industry had severe and lasting excess capacity. The tables have now turned. Samsung and LG will remove the capacity to produce more than 52 million m2 of panels by 2021, accounting for 18% of 2019 global capacity. Meanwhile, Chinese players are adding 42 million m2 worth of capacity. There are now risks of shortages from 2021 and beyond. “This could be exacerbated if Taiwanese makers shut down their least efficient fabs and if China converts some of their LCD lines to OLED rather than proceed with greenfield investments”, comments Eric Virey from Yole. “Conversion typically cuts fab capacity by 50 to 66%.”
In this context, the market research and strategy consulting company Yole investigates disruptive technologies and related markets in depth, to point out the latest technical innovations and underline the business opportunities.
Released today, the Next Generation TV panel Technology and Market Trends report gives detailed analysis of the status of the TV Panel industry, including capacity, volume forecasts, supply versus demand analysis, technological trends, strategy of key players, COVID-19 impact and more. This study analyzes present and future TV panel technologies: LCD + QDCF, miniLED, Dual Cell, WOLED, RGB OLED (inkjet), microLED, QNED, EL-QD, etc.
Including TV panel forecasts, TV panel capacity forecasts, panel maker profiles and strategies, this new study is a fully updated TV panel forecast, technology and supply/demand analysis.
What are the economic and technological challenges? What are the key market drivers? Who are the suppliers to watch, and what innovative technologies are they working on? Yole presents today its vision of the TV panel industry… Full story
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