LCD TV shipments and market revenue more than doubled year-on-year in the first quarter, spurred on by demand ahead of the World Cup soccer tournament, market researcher DisplaySearch said Wednesday.
Sony remained number one in the industry in terms of revenue, but Koninklijke Philips Electronics shipped more LCD TVs overall, according to the market researcher. Interestingly, Philips came in fourth in terms of LCD TV revenue, while Sony took fourth in shipments.
Brisk growth in LCD TVs during the first quarter shows that users worldwide continue to trade in their bulky, CRT (cathode-ray tube) television sets for sleek, flat displays.
LCD TV shipments rocketed 135 percent during the three months ending March 31 to 7.4 million units, DisplaySearch said, while market revenue increased 114 percent to $US8.8 billion.
Rising market revenue doesn't indicate increased pricing. In fact, falling prices have made LCD TVs more affordable, prompting users to buy even larger sized LCD TVs, which cost more overall, DisplaySearch said.
Average selling prices for LCD TVs actually fell 9 percent during the first quarter, compared to the same time last year. But users bought LCD TVs that were 19 percent larger, or an average size of 27-inches. Larger sized LCD TVs are actually pushing smaller ones out of the market. LCD TVs with 37-inch screens to 45-inch screens gained market share, while 22-inch to 32-inch LCD TVs lost.
LCD TVs also appear to be edging out other technologies as well. In the 40-inch to 44-inch screen size market, LCD TVs accounted for 23 percent of all 40-inch to 44-inch screen sizes shipped during the first quarter, up from 17 percent a year ago, DisplaySearch said, while PDPs (Plasma Display Panel) and MD RPTVs (microdisplay-based rear-projection TVs) lost market share.
By region, Europe accounted for the most LCD TV purchases, 46 percent, thanks to pre-World Cup demand. Growth in Japan, which has been at the forefront of the market for years, slowed to just 35 percent year-on-year growth, compared to over 100 percent growth in all other regions, DisplaySearch said.