Increased panel sizes to help offset supply and demand imbalances in 2015, says Innolux president
Rebecca Kuo, Tainan; Alex Wolfgram, DIGITIMES [Monday 7 July 2014]

Increasing panel sizes in smartphones, monitors and TVs is expected to last into 2015, which will help offset potential imbalances in supply and demand within the panel industry as China makers are set to unleash a new wave of production capacity on 8.5G lines during the year, according to Innolux president JC Wang.

Products ranging from smartphones to monitors and TVs that will be released in 2014 into 2015 are all expected to increase in size, which will increase the average size panel shipped from makers during the period.

This trend has helped offset losses in the monitor panel segment where shipments have decreased, and at the same time has helped turn profits in the smartphone panel segment where many devices are now using 5- to 6-inch products.

Wang also said that China is expected to unleash several new 8.5G lines in 2015, which means there could be excess panel production capacity in the market and decreased pricing as a result. However, as overall panel sizes are increasing this should help balance out supply and demand as well as stabilize pricing, said Wang.

Market observers estimate their will be roughly eight 8.5G fabs in China by the end of 2015.

Various research firms such as DisplaySearch believe that the largest proportion of TV panels shipped in 2015 is expected to be within the 40- to 43-inch segment, overtaking 32-inch panels.

Industry sources meanwhile noted that many handset vendors are actively pursuing WQHD (2560 by 1440) panels for release during 2014 into 2015.

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