Global flat-panel sales decline forcast for Q3

Global shipments of large flat-panel displays will fall in the third quarter because demand for personal computers, the biggest user of the displays, will slump, a market researcher said.

Shipments of liquid-crystal displays measuring 10 inches or more in diameter will fall 7.8 percent to 16.2 million units in the three months ending Sept. 30 from the previous quarter, according to DisplaySearch. In the quarter ended June 30, shipments rose 9.5 percent on a sequential basis.

Notebook-computer shipments were fewer than LCD makers such as Samsung Electronics Co expected in the period, raising concern that inventories will rise, the researcher said. Intel Corp, the world's biggest computer-chip maker, said yesterday PC demand may not rebound during the holiday season this year.

"There is always some anticipation of a holiday season up-tick in computer sales, but whether that materializes or not is a question mark," Intel Chief Executive Craig Barrett said in an interview with Bloomberg Television.

The factory-utilization ratio of flat-panel display makers will fall to 86 percent in the third quarter from 92 percent in the second quarter, DisplaySearch said.

Still, shipments of LCDs, most of which are made in Asia, have rebounded from last year, the worst year for the PC industry.

Third-quarter LCD shipments will rise 40 percent from the same quarter a year ago, the researcher said. Sales for the full year will rise 69 percent from last year to US$24 billion, DisplaySearch said in May.

LCD shipments climbed 9.5 percent to a record 17.6 million units in the quarter ended June 30, DisplaySearch said. Sales rose 24 percent to a record US$5.03 billion in the period from the previous quarter. DisplaySearch didn't provide year-ago comparative numbers.

Samsung, the world's biggest maker of LCDs, had 16.9 percent market share in the second quarter, followed by LG Philips LCD Co with 15.4 percent, according to DisplaySearch. AU Optronics Co (友達光電) ranked third with 12.1 percent. Sharp Corp was fourth with 8.8 percent.

Large LCDs are typically used in personal computers and televisions. The statistics don't include small LCDs that are used in mobile phones, handheld PCs, digital cameras and other portable electronic devices.