Skid_MacMarx Posted March 20, 2007 Share Posted March 20, 2007 US$60 Bn Needed from 2008 to 2011 to Meet LCD Panel Demand Mar 19, 2007 18:19 Yukiko Kanoh, Nikkei Electronics Displaybank Co, Ltd of Korea has announced that a total of US$60 billion needs to be invested in the construction of new production lines during the period from 2008 to 2011 in order to meet the sustainable demand growth in the LCD panel market. LCD panel demand was 269.9 million units in 2006. Displaybank predicts the demand will rise to 336.6 million units in 2007 and 523.5 million units in 2011 at a compound annual growth rate (CAGR) of 14.2%. Of the demand, LCD TV panels are expected to grow most at a CAGR of 25.8% from 78.9 million units in 2007 to 159.8 million units in 2011. On an area basis, overall LCD panel shipments are estimated to grow from 45.4 million m² in 2007 to 94.4 million m² in 2011. Given the growing demand, Displaybank analyzes, unless additional capital is invested in the near future, the LCD panel market will suffer from an imbalance between demand and supply from 2008 forward, even if the ongoing constructions of 7G and 8G lines at Samsung Electronics Co., Ltd. of Korea, a 7.5G line at LG Philips LCD Co., Ltd. of Korea, a 7.5G line at AU Optronics Corp. (AUO) of Taiwan and 6G and 7G lines at Chi Mei Optoelectronics Corp. (CMO) of Taiwan are completed by the end of 2007 and Sharp Corp. enhances its 8G line's monthly output to 70,000 panels at the end of 2008. From 2008 forward, unless additional capital is invested in production facilities, nearly 40% of supply will run short on an area basis in the fourth quarter of 2011, according to the analysis. To compensate for the short supply, Displaybank estimates additional investments of $11.9 billion and $60 billion will be needed in 2007 and 2008 to 2011, respectively. In particular, An investment of $21.9 billion, largest scale since 2005, will be needed particularly in 2009, said the company. Total investment that LCD panel manufacturers spent on their manufacturing lines over the past 10 years have reached $92.6 billion. Displaybank sees that Samsung Electronics and Sharp will determine their investment in next-generation lines in the near future, and the generation of their new manufacturing lines will be 10G. The company analyzes that LG Philips LCD, AUO and CMO also positively consider building new lines from 2008 forward as well. http://techon.nikkeibp.co.jp/english/NEWS_...0070319/129106/ Link to comment Share on other sites More sharing options...
OakenShield1 Posted March 20, 2007 Share Posted March 20, 2007 Bottom line, if you want a LCD Screen, buy it now? Link to comment Share on other sites More sharing options...
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