Dec 2 2004
While the worldwide market for processing equipment for TFT-LCDs will grow 45% to reach $4.8 billion in 2004, a combination of several factors will drop the growth rate to only 7% in 2005, according to the report LCD Processing: Challenges, Directions, Markets, recently published by The Information Network, a New Tripoli, PA-based market research company.
"The equipment is being purchased this year for a rash of new 5th, 6th, and 7th-generation facilities to become operational in early 2005," notes Dr. Robert N. Castellano, President of The Information Network. "Equipment suppliers will be rewarded with healthy demands for new equipment to fill those plants. Revenues grew 19% in 2003 and will follow with a 45% gain in 2004 and 7% in 2005.”
A number of LCD makers have announced or are considering delays in the opening of new factories because of overcapacity, including HannStar, Chunghwa Picture Tubes, AU Optronics, and Chi Mei Optoelectronics. An 8.9 % oversupply in large-size TFT-LCD panels existed in the third quarter, but that oversupply should dissipate to 1-2% by year-end.
The market for large-panel TFT-LCDs for TVs and notebook and desktop monitors will grow from $24 billion in 2003 to more than $35 billion in 2004. Glass substrates will grow from 7.2 million units in 2003 to 10.7 million in 2004.
Lithography tools from Canon and Nikon will lead the equipment market with sales of $1.26 billion in 2004, growing to $1.45 billion in 2005.
The Information Network is a leading consulting and market research company addressing the semiconductor, computer, and telecommunications industries.
For more information on LCD displays, click here.