LCD TV panel makers this month have been increasing...

LCD TV panel makers this month have been increasing prices on sizes that are in tight supply, particularly 32-, 40- 48- and 50-inch screen sizes, DisplaySearch said Friday in its “PriceWise” spreadsheet panel shipment update (http://bit.ly/1BUBwtW). Larger sizes like 55-inch also “are in short supply for some top brands,” it said. “Some leading TV brands are aggressively pursuing market share by lowering prices, and this is putting pressure on TV profit margins industry-wide. That pressure is expected to get even tougher during the upcoming promotional season, so TV makers are negotiating prices that are flat or only slightly higher.” The traditional peak in TV panel production August-October “has caused most TV makers, in particular the Korean brands and Chinese makers, to refill panel inventory,” it said. “The top Korean brands are aggressively building up production and demanding panel allocations. As a result, the panel supply constraint has become a continual issue for other TV makers.” As for smartphone displays, September demand has been increasing in preparation for the holiday selling season, “but not as strong as expected,” DisplaySearch said. “Orders for the developing regions improved, but there is more focus on displays with lower specifications, like those for feature phones,” it said. “In China’s domestic market, the end of smartphone set subsidies by telecom carriers is still having a major impact” by suppressing demand, it said. Moreover, “uncertainty surrounding when Apple will launch iPhone 6 and iPhone 6 plus in China may have an impact on open market demand in October,” it said. In tablets, “most brands are aggressively pushing” tablet panel shipments “to meet the schedule for upcoming holiday promotional sales in Q4,” DisplaySearch said. “White-box makers are planning to refill inventory for Q4 promotions,” but chipset supplies remain tight “due to rising demand for larger-size smartphones,” it said. Tablet panel prices “will trend downward due to lower specifications” from the higher mix of lower-priced, entry-level products, “but they will become more stable than before,” it said.