LCD | August 31, 2007
Chart: LCD TV Makers Top 10
DisplaySearch, a worldwide display market research firm, has released its Q2'07 LCD TV Value Chain Report, which states that 22% of the 16.1 million LCD TV units shipped in Q2'07 were made by external OEMs such as TPV, Jabil, AmTRAN, Quanta, Vestel and Wistron.
Many LCD TV brands outsourced 100% of their LCD TV set manufacturing, such as Dell, Grundig, HP, Polaroid, Vizio, ViewSonic and Westinghouse. Philips outsourced more than 40% of its LCD TVs shipped in Q2'07 to OEM makers. Some brands intend to increase their outsourcing share for certain regions and products as the market expands, while other brands intend to bring more volume in-house as they expand into new regions. The LCD TV Value Chain Report is an excellent means of tracking these trends by manufacturer. According to David Hsieh, Vice President of DisplaySearch, "DisplaySearch's in-depth LCD TV Value Chain Report has quickly become an indispensable research tool for the TFT LCD industry. It's a comprehensive reference on the supply chain relationships between LCD TV module makers, LCD TV manufacturers and LCD TV brands." More than 900K of LCD TVs shipped in Q2'07 were adapted LCD monitor panels, including 15", 17", 19"W, 20"W and 22"W. Due to panel cost considerations, this will occur more frequently. LCD TVs under 26" will increasingly use LCD monitor panels, especially for wide products such as 19"W, 20"W and 22"W. 19.6 million LCD TV modules were shipped from TFT LCD makers, while LCD TV manufacturers shipped 16.1 million units. These variances were mainly due to supply chain, assembly lead time, buffer stocks and channel inventory. As shown in Table 1 below, TPV led the TV set subcontract manufacturing market with 19.9% share in Q2'07, followed by AmTRAN. The main customer for TPV is Philips, and the main customer for AmTRAN is Vizio. The top six LCD TV module suppliers are listed in Table 2 below, along with their top customers by volume. As indicated, Philips was a top customer for five of the top six suppliers, and Samsung was a top customer for four of the top six suppliers. In addition, each of the top five suppliers looked to their top five customers for at least 50% of their volume, with the exception of CMO.