Here’s the rundown:
DigiTimes ran two articles last week which demonstrate that the sales glut surrounding LCD panels is starting to contribute to lower sales prices. In the first article, Taiwan market: 32-inch LCD TV prices to fall to new low, DigiTimes reported that:
With Acer slashing the price on a 32-inch LCD TV in May, Taiwan-based home-appliance maker Proton recently also lowered the price on one of its 32-inch models by NT$5,000 (US$153) to NT$27,900 (US$859) amid falling LCD panel prices, according to the Chinese-language Commercial Times.
The second of the two articles, LCD Panel Makers Feel Bite added:
With large-size panel ASPs (average selling price) continuing to fall, consolidated sales from most major Taiwan-based panel makers fell 7-20% sequentially in May, according to the companies.
Quanta Display was the only major Taiwan maker to report growth in both sales and shipments of large-size panels during the period, while AU Optronics (AUO), Chi Mei Optoelectronics, Chunghwa Picture Tubes and HannStar Display all had falling revenues.
Swelling inventories and disappointing demand from all applications caused prices for large-size panels to plunge in the first half of 2006, with no relief expected until the second half, according to iSuppli.
GLW-AUO 1-yr comparison: