Price Expected to Rise for LCD Panels in 2007 Apr 19, 2007

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DisplaySearch has provided detailed analysis about recent changes to the LCD pricing environment in its recent "Monthly Large-Area LCD and PDP Pricing Report." The report examines the impact of TFT LCD fab utilization reduction and inventory management on large-area TFT LCD pricing.

Indications in late 2006 were that 2007 would mirror 2006–ASPs for notebook and monitor panels were expected to decline in spring, reach their lowest level in summer, and increase through the fall and into the fourth quarter. Prices for LCD TV panels 32” and larger were expected to steadily decline through all twelve months of 2007. However, with prospects of another year of less-than-positive results looming, panel suppliers responded to calls from analysts to minimize inventory in the seasonally weak first half of the year to reduce pricing pressure. This action results in lower utilization, tighter supply and price increases earlier than expected. Panel prices are expected to rise for LCD TV panels as well as in notebook PCs and LCD monitors.

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