Shipments of LCD panels used in PCs and TVs grew 2.7 percent last month on the back of relatively strong demand for tablet devices, but that demand would not be enough to revive the industry’s worst-ever slump, given sagging private consumption in Europe and the US, market researcher WitsView said on Thursday.
Shipments of LCD panels increased for the second straight month to 60.8 million units last month, from 59.21 million units in August, helped by lukewarm inventory buildup at Chinese companies before the traditional Golden Week holiday shopping season this month, WitsView said in the report.
The rise of tablet devices boosted shipments of tablet panels by 35 percent last month when compared with August, benefiting panel makers such as Taiwan’s Chunghwa Picture Tubes Ltd (中華映管) and South Korea’s LG Display Co, WitsView analyst Chen Jian-an (陳建安) said in the report.
E Ink Holdings Inc (元太科技), the world’s top e-paper display supplier, also contributed historically high monthly revenues last month to the sales of new tablet devices by a key client, US online retailer Amazon.
“However, it is impossible for flat panel makers to rely solely on tablet devices to weather the toughest time in the LCD industry’s history,” Chen said.
“Panel prices were still falling even in September, which is a peak season,” Chen said.
This indicated that demand “for LCD TVs, monitors and notebook computers is still key to satisfying the massive LCD panel capacity,” Chen said.
Last month, shipments of TV panels rose 3.1 percent, while shipments of flat panels used in monitors and notebook computers fell 1.3 percent and 5.8 percent respectively month-on-month, according to the Taipei-based researcher.
As demand remains weak, LCD panel makers should cut production to stem the decline in panel prices, Chen said.
‘BIG LOSS’: This year might see the last generation of Huawei’s Kirin chips, as their production would stop next month because they are made using US technology Chinese tech giant Huawei Technologies Co (華為) is running out of processor chips to make smartphones due to US sanctions and would be forced to stop production of its own most advanced chips, a company executive has said, in a sign of growing damage to Huawei’s business from US pressure. Huawei, one of the biggest producers of smartphones and network equipment, is at the center of US-Chinese tension over technology and security. Washington last year cut off Huawei’s access to US components and technology, and those penalties were tightened in May, when the White House barred vendors worldwide from using US
’WHITE BOX’: The open platform would give local firms access to Cisco’s cloud-based mobile network to develop 5G telecom equipment and tap into the global market The Ministry of Economic Affairs (MOEA) yesterday introduced a new 5G “open lab” in collaboration with US-based information technology and networking giant Cisco Systems Inc to address the rapidly growing “white box” 5G networking equipment market. The open lab will be a platform where Taiwanese manufacturers can access Cisco’s cloud-based mobile network to develop their own 5G telecom equipment, such as small-cell base stations, network switches, modems and Internet of things (IoT) devices, a ministry statement said. The open platform would allow Taiwanese manufacturers to tap into the lucrative 5G telecom equipment market, which was previously monopolized by Nokia Oyj, Ericsson AB
CORPORATE SCANDAL: Cathay Life has invested NT$13.3 billion in Bank Mayapada since 2015, but the latest loss of NT$8.8 billion has completely written off its investment Cathay Life Insurance Co (國泰人壽) yesterday said it would recognize an investment loss of NT$8.8 billion (US$298.1 million) in Indonesia’s Bank Mayapada Internasional Tbk PT due to concerns about the lender’s operations amid a corporate scandal. The company said it would revise its earnings result for June, from a net profit of NT$6.52 billion to a net loss of NT$520 million, its first monthly loss over the past 17 months. After booking an investment loss of NT$5.2 billion in Bank Mayapada earlier this year, Cathay Life has so far recognized total investment losses of NT$14 billion in the lender, executive vice president
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday reported that revenue last month expanded 25 percent annually, but fell 12.8 percent month-on-month to NT$105.96 billion (US$3.59 billion). In the first seven months of this year, the chipmaker’s revenue surged 33.6 percent to NT$727.26 billion, compared with NT$544.46 billion a year earlier. TSMC has said it aims to grow its revenue by more than 20 percent this year. The company has since May 15 stopped taking new orders from Huawei Technologies Co (華為), its second-biggest customer after Apple Inc, due to the US’ restrictions on exports containing US technologies. TSMC has no plans to