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On November 28th, Panasonic announced the development of a new type of LCD panel, which is said to be comparable to the new generation of organic EL panels in terms of the brightness of the displayed image. It is said that by using two liquid crystal materials built into the panel, the panel can display the difference in light and darkness of the image at a contrast ratio of 600 times.
From January 2017, Panasonic can provide customers with samples of new LCD panels. Because the black and white contrast of the panel is clear, it can be used in medical displays to improve the diagnostic accuracy of X-ray films. If used as an on-board monitor, it also helps improve the driver's ability to recognize. Panasonic also uses it for displays such as video or movie production. However, it will not be used in batches for LCD TVs.
As early as the mid-2000s, Japanese companies such as Matsushita and Sony had been considered leaders in TV LCD panels. South Korean and Japanese companies once almost monopolized the global 32-inch LCD panel market, but as Chinese and Taiwanese companies gradually occupy the market, the two have expanded their share and continue to expand sales at low prices. The price of some varieties has fallen by almost half in the past three years.
In the face of fierce competition for LCD panels for TV sets, the market share of Japanese and Korean companies has fallen below 50%. Panasonic began to intensify its efforts to expand market demand beyond TV for automobiles. The Kushiro plant stopped production of TV panels in August. South Korea’s Samsung Electronics plans to use the existing liquid crystal panel production line to produce organic EL in 2016, which also adds to the lack of supply of LCD panels.
At the same time, the demand for LCD TVs continues to expand. In North America and China, 32-42-inch panels are in short supply. In this context, it creates a situation that is worrying for TV manufacturers: The bulk price of TV LCD panels has continued to rise for six months.
Currently, the 32-inch LCD panel with the most liquid circulation in the market (excluding modules), the bulk transaction price in October rose by 4% from the previous month to 76-80 US dollars per sheet. This is a high price since July 2015 of $79, which is 50% higher than the lowest price that occurred in April. The 40-inch price is 125-130 US dollars, 42-inch is about 140 US dollars, up 10% over September.
Japanese and South Korean companies continue to innovate technology, launch new panels, and exit traditional LCD TV panel businesses. This also causes that in the short term, the price of the panel may not drop, and on the other hand, the price of the TV continues to fall. As a result, the future profitability of Chinese TV manufacturers is very limited. Especially for a large number of Internet companies, the low price war has been difficult to sustain.
After all, we cannot master the core technology of the panel. Chinese TV companies will always be in a passive position. When Chinese companies have mastered the power of innovation in display panel technology, China's TV brands will truly have a foothold!
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