Santa Clara, Calif. - The mobile phone display market is set to grow by 14 percent this year, DisplaySearch said.
In 2010 shipments are forecast to reach 1.68 billion units, according to the latest DisplaySearch
In Q1 2010, mobile phone display shipments fell 9 percent quarter over quarter due to seasonality, but increased 34 percent year over year, reaching 370.5 million units.
"With an average worldwide market penetration of mobile phones at 70 percent, manufacturers are eager to introduce new features, applications and user interface improvements, such as touchscreens, to ensure continued growth for this segment this year," noted Calvin Hsieh, research director at DisplaySearch.
"The migration of various display panel technologies and increasing average display sizes reflects these trends."
The fall in shipments, combined with a 4 percent quarter-over-quarter decline in average selling price, produced a 13 percent quarter-over-quarter revenue decline. AMOLED displays were the only technology for which revenues increased quarter over quarter, as both unit shipments and average prices increased. This reflects the success AMOLED is finding in high-end smart phones. These phones are demanding larger display sizes, and in Q1, the average screen size for AMOLED passed 3 inches, larger than TFT LCDs.
Additional report highlights include that revenue for small/medium TFT LCD displays grew 22 percent to $2.33 billion in Q1 2010, as a result of mobile phone manufacturers switching from CSTN displays to TFT LCD. Despite this, falling ASPs and oversupply limited the total revenue growth.
Based on the DisplaySearch analysis of year-over-year growth for Q1 2010, LTPS TFT LCD, which grew 7.7 percent, and AMOLED, which grew 8.5 percent, have both experienced significant growth in touch-enabled displays, which require larger panel sizes. At the same time, a-Si TFT LCD grew 2.3 percent, and is generally used within the range of entry-level to high-end phones.
Mobile Phone Display Shipment and Forecast