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| Title |
Price Of Panels For LCD Monitors Seen To Rebound After February |
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| Poster |
C&S |
Date |
2005-01-11, Á¶È¸: 3022 |
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Prices of LCD panels for monitors which have been plunging since May last year will likely hit the bottom in February.
A recent report of Display Bank, a market survey firm, says that the supply and demand for LCD monitor panels are maintaining balance due to a sharp increase in demand for LCD monitors boosted by fall in prices. It also forecasts that decline in prices of monitor panels will come to an end in February and begin to rebound thereafter.
According to the report, leading LCD panel makers such as Samsung Electronics and LG Philips LCD, which saw a profit of 92 dollars per a unit of 17-inch panel in May last year, are now selling such panels for 155 dollars, the same amount as their production costs. In case of latecomers, panel production costs began exceeding prices since the fourth quarter of last year.
"Leading LCD panel makers have reached the last price resistance line, and monitor makers are not in a situation to ask additional price reduction in order to prevent standby demand," said the report.
The report also predicted that a steady increase in demand for LCD panels would contribute to deterrence of price drop. Demand for panels was surveyed to be strong in December last year and January this year.
"The price gap between panels for LCD monitors and CRTs narrowed to 1.5 times in January, resulting in a fast migration from CRTs to LCD panels in demand. Demand for LCD panels is expected to reach 90 million units this year, up 40% from last year, while that for CRTs is forecast to decrease by 20% to 43 million units," said an executive at Display Bank.
"For market stabilization, LCD panel makers are needed to control expansion of production by the third quarter of this year. Prices of LCD panels for TVs, however, are anticipated to remain weak in the future," said the market research firm.
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