IHS Sees Flat-Panel Display Revenue Rising in 2017, After 2 Years of Declines

Global flat-panel display revenue is expected to grow 9.3 percent in 2017 to $110 billion, after two straight years of declines, IHS Markit said in a Monday report. Still, “it would be unrealistic to expect an increase in unit demand next year in view of an overall sluggish global economy outlook,” said the research firm. It’s forecasting a 0.3 percent jump in unit demand, though demand on a display-area basis is expected to grow 6.6 percent. The “rapid rebound” in 2016 panel prices will be the main factor driving revenue growth, IHS said. The increased supply of “premium products” commanding higher average selling prices (ASPs) is helping to push revenue higher, it said. The “demand switch” toward premium products reflects stronger “consumer preferences” for larger-size displays for TVs, desktop monitors and tablets and for Ultra HD displays, it said. The migration toward active-matrix OLED panels for smartphones is another trend that’s driving higher ASPs, said the researcher.