Flat-panel displays sale to drop 11% to 3.2 bn units

Shipments of flat-panel displays (FPD) are expected to drop by 11.1 percent to 3.2 billion units in 2020 from 3.6 billion in 2019 as the coronavirus cripples demand for televisions and smartphones, according to Omdia.
Flat panel display for smartphones“TVs and smartphones — products that rely heavily on retail consumer demand — will find it difficult to avoid the direct impact of coronavirus and will be hit more severely than other areas by the contagion,” Ricky Park, director of display research at Omdia, said.

Omdia predicts the market will recover in 2021 as the impact of the coronavirus recedes, with shipments rising by 9.1 percent during the year.

Omdia has slashed its forecast for display demand for LCD-TVs and smartphones in 2020. LCD-TVs display shipments are expected to fall by about 9.5 percent, while smartphone will drop by 10 percent.

Desktop monitors and notebook displays should fare relatively well, experiencing only 1.9 percent and 5.8 percent declines respectively in 2020. Consumers account for less than 40 percent of the demand for these displays.
Flat panel display shipment forecastAs many countries impose limitations on economic activities, this will increase the amount of working from home, leading to relatively stronger demand from corporations. In addition, with schools closing down and online courses becoming more prevalent, homes and schools are asking for more notebooks and tablets

Omdia has also reduced its 2020 projections for global flat-panel display area shipments and revenue by 4.5 percent and 4 percent respectively compared to the previous outlook.

Korean brands have been withdrawing from their LCD production lines and shifting to advanced displays. This should result in a significant drop of small/mid-size TV panel production in Gen 7 and Gen 8 fabs and should spur a boost in sales growth for TV panels sized 60-inches and larger.

Demand for AMOLED is expected to be reaching 9.5 percent in 2020. OLED TV panels are set to grow approximately by 35.9 percent and the demand for AMOLED for smartphones is projected to grow by approximately 9 percent.