TAIPEI, Taiwan--(EON: Enhanced Online News)--Since UHD TV became the market’s focus in 2013, TV set makers have pinned the hope on the product to lift sales momentum in the sluggish market. According to the global market intelligence provider TrendForce, UHD TV sets launched by 1st-tier brands usually feature high value-added functions such as 3D and smart Internet connection, making the new models unaffordable. TrendForce projects a penetration rate of only 0.8% for UHD TV panels in the 2013 panel market, and the low-cost UHD TV panel is likely to thrive in 2014, seeing the penetration rate up to 2%.
Panel makers pursued high specs at the beginning of UHD TV development, including 120Hz and 3D with sizes of 50” and above. As the mainstream mass-produced sizes are 55” and 65” to underline UHD TV’s high-end position, UHD TV panel’s costs are 1.5-1.6 times higher than FHD panel, which can be narrowed to 1.3-1.4 times by adjusting the specs and simplifying the framework, and further to 1.1-1.2 times as the yield rises. When the price of lower-cost UHD TV comes to the sweet point for consumers, the market scale is likely to further expand.
In addition, it can be found that the high-end 65” UHD panel has a 1.5-time price gap with the FHD panel, while the low-cost 50” has a gap within 1.3 times. Meanwhile, the 65” sees a selling price gap as large as 3 times between the UHD and the FHD TV set models in North America, while there is only a 1.5-time price gap between the 50” UHD and FHD TV sets in China. Under the current economic environment, TrendForce believes prices remain the main drivers of consumption.
Low-cost UHD TV panels indeed gained traction in China, encouraging other panel makers to restart product development for the 50” and under. TrendForce projects the low-cost UHD TV panel is likely to become a star product pursued by major panel makers, and its penetration rate will possibly attain 2% in 2014.
For more details, please visit: http://press.trendforce.com/en/node/6025.