Printed Circuit Design & Fab Online Magazine - FPD Sales to Double by 2016

SANTA CLARA, CA — Demand for larger screens, higher resolution, and advanced touch functionality on smartphones and mobile PCs, in particular tablet PCs, will boost small/medium flat panel display market revenue to $71.5 billion by 2016, up 100% from a year ago.

Competition among top smartphone brands has driven flat panel display (FPD) makers to produce more high-grade technologies, such as AMOLED displays for Samsung’s Galaxy S and retina displays for Apple’s iPhone, adds NPD DisplaySearch

“The majority of demand for active matrix flat panel display (AMFPD) technology is coming from smartphone manufacturers, and other smart devices with similar functionalities, such as tablet PCs,” said Hiroshi Hayase, a vice president at NPD DisplaySearch. “Panel makers have started to take notice of this lucrative market as consumer demand for high-end technology outpaces any major concerns over cost, paving the way for a more competitive landscape over the next few years.”

Figure 1. Revenue Forecast for Small-Medium AMFPD Technology, 2012-2016

Source: NPD DisplaySearch Quarterly Small/Medium Shipment and Forecast Report

Samsung Display secured the top spot among small-medium AMFPD makers in 2012. It is the only company to successfully mass-produce AMOLED technology, and the Samsung Galaxy S3, which uses an AMOLED display, is the best-selling smartphone worldwide.

Ranked behind Samsung are Japan Display, Sharp, and LG Display. Each of these companies has increased its revenue share by producing TFT LCDs with high resolutions and wide viewing angles for the iPhone 4 and iPhone 5. Unlike Samsung with AMOLED, these companies have had to share the growth in TFT LCDs.

“We anticipate that Samsung Display will continue to be the top FPD maker in the near future, especially as the Samsung Galaxy S4, which uses a 5” full HD display, is set to launch in just a few weeks,” added Hayase. “As seen with the weaker than anticipated sales of the iPhone 5, Japan Display, Sharp, and LG Display are likely to be affected by any product announcements coming out of Apple in 2013.”

Figure 2. Small/Medium AMFPD Maker Rankings by Share, 2012