Date: 28/10/2010

TFT LCD shipments for automotive apps doubled in 1H 2010 compared to year back

Market analyst DisplaySearch has announced Shipments of TFT LCDs for portable navigation devices (PND) and automotive monitors (used in car navigation and in-console monitors) increased in the second half of 2009 and first half of 2010. This indicates that the automotive market has rebounded since the economic crisis of 2008.

According to the latest DisplaySearch Quarterly Small/Medium Shipment and Forecast Report, TFT LCD shipments rebounded from Q3'09 as a result of automotive sales driven by government tax deductions and subsidies. In addition, demand for automotive displays has grown in China and emerging regions.

DisplaySearch says in the first half of 2010, TFT LCD shipments for automotive monitor applications were more than twice the levels of the first half of 2009. Specifically, shipment growth was 143% Y/Y from Q1'09 to Q1'10 and 125% Y/Y from Q2'09 to Q2'10. TFT LCD shipments for portable navigation devices also experienced a strong rebound in the first half of 2010, up 72% Y/Y from Q1'09 and 96% Y/Y in Q2'10. Strong growth is forecast for the second half of 2010 in both segments.

"The forecasted growth in navigation and GPS in the automotive market presents significant opportunities for TFT LCD manufacturers in the near future," noted Hiroshi Hayase, lead analyst for small and medium displays. "In addition, the emergence of hybrid and electric cars is driving demand for energy-efficient automotive monitors that support energy efficiency and safety efforts."

According to DisplaySearch results, 70% of TFT LCD automotive monitors are produced by Japanese LCD manufacturers, while 60% of TFT LCD portable navigation devices are from Taiwan LCD manufacturers. The demand for automotive displays has had a positive effect on manufacturers in these regions. For example, Japanese manufacturers of automotive displays have been operating at full capacity in 2010, and some car navigation products have been delayed due to the tight supply of automotive TFT LCDs.