Global TV Shipments Drop 1% YoY in Q2: DisplaySearch

Taipei, Sept. 6, 2011 (CENS)--Global TV shipments were soft in the first quarter of 2011 as the worldwide TV supply chain digested excess inventory, with growth still up 1% year-on-year (YoY), according to DisplaySearch.

In the second quarter, TV shipment growth turned negative, declining 1% YoY and falling more than 6% YoY in developed regions, which more than offset 3% growth in emerging markets, according to the major display-market research and consulting firm's latest TV shipment report. Softer price declines and inventory pressure at retail due to lackluster consumer demand continue to put pressure on TV brands.

Liquid crystal display (LCD) TV shipments worldwide grew at least 20% each quarter in 2010, but so far have only risen 9% YoY in the first quarter and 6% YoY in the second quarter. The slowing growth has impacted both developed and emerging markets, with LCD TV units falling 5% and rising 19%, respectively, both well below the rate of growth a year earlier.

The main inhibitor to faster LCD TV price erosion, DisplaySearch said, has been the transition from cold cathode fluorescent lamps (CCFL) to light-emitting diode (LED) and slower component pricing declines. LED share increased from 18% of LCD TV shipments in the second quarter of 2010 to more than 43% in the same period this year, but still carries a 74% average premium across all sizes, though this is down from a 120%+ premium a year ago. Critical LED backlight cost breakthroughs have been slow to materialize, the company said.

By region, China was still the No. 1 by a small margin over North America, each representing about 17% of global TV shipments in the second quarter. China had stronger growth, rising 10% YoY compared to a 6% decline in North America.

As TV brands and retailers continue to push for the transition to LED backlights in LCD TVs, due to both premium prices and better energy efficiency, the growth in shipment share continues to rise, reaching 43% in the second quarter. Ninety-eight percent of LED-backlit LCD TV shipments were edge-lit models due to slimmer form factor, lower power consumption and cost.

Samsung's global flat panel TV revenue share was up slightly in the second quarter to 22.6%, a substantial lead over No. 2 brand LGE. Samsung led based on revenue in almost every region, except Japan and China where domestic brands dominate.

Q2'11 Worldwide TV Shipments by Technology (000s)
Technology	Q2'11 Units	Q2'11 Unit Share	Q/Q Growth	Y/Y Growth
LCD TV	44,469	80.1%	1%	6%
PDP TV	4,236	7.6%	16%	-6%
OLED TV	0.1	0.0%	-69%	-78%
CRT TV	6,796	12.2%	-7%	-31%
RPTV	24	0.0%	-47%	-8%
Total	55,525	100%	0.4%	-1%
Source: DisplaySearch Quarterly Advanced Global TV Shipment and Forecast Report.