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There are two main reasons that investors are optimistic about the prospects of the Asia Pacific flat panel display (FPD) market. First, consumers highly value the thinness and low power consumption features of FPD; second, the annual sales of a remarkable number of electronic devices that require FPD create a substantial potential market for the product.
New analysis from Frost & Sullivan (electronicdevices.frost.com), Strategic Assessment of the Asia Pacific Flat Panel Display Markets, finds that the market earned revenues of $87.2 billion in 2007, which is nearly nine times its revenue in 1997.
“Today, many of the top market participants have invested significantly to start up the eighth-generation fabrication facilities,” says Frost & Sullivan Research Analyst C.P. Liew. “In the FPD market, production capacities are a competitive advantage and by investing in higher generation facilities and being first to market, participants have the opportunity to standardize panel sizes.”
Although market participants will be gladdened by these market prospects, they will have to take stock of an important challenge - low return of investment. Large investments may not always yield satisfying returns due to the intense competition in the market.
Moreover, the continuing drop in average prices of FPD tends to squeeze their profit margins. On the flip side, the price decline is aggressively expanding the market. This state of affairs is likely to continue until an ideal price point is reached at which the demand will rise exponentially.
“Panel manufacturers must understand the broader context of the products they manufacture - specifically, panel manufacturers need to understand their customer strategies to determine a direction for its R&D activities,” notes Liew. “They must make timely investments in next-generation facilities and capacity expansion to provide economies of scale and flexibility in manufacturing according to the market demand.”
If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with a strategic assessment of the Asia Pacific FPD markets, then send an email to Donna Jeremiah, Corporate Communications, at djeremiah[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country. Upon receipt of the above information, an overview will be sent to you by email.
Strategic Assessment of the Asia Pacific Flat Panel Display Markets is part of the Electronic Devices Growth Partnership Service program, which also includes research in the following markets: world optocoupler markets and world laser diode markets. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.
Frost & Sullivan, the Growth Partnership Company, partners with clients to accelerate their growth. The company's TEAM Research, Growth Consulting, and Growth Team Membership™ empower clients to create a growth-focused culture that generates, evaluates, and implements effective growth strategies. Frost & Sullivan employs over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 30 offices on six continents.
Strategic Assessment of the Asia Pacific Flat Panel Display Markets
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