The sales of 50-inch or larger TVs are declining…casting off the large-screen premium image.
In the UHD TV market, the sales of 40-inchish products began to exceed those of 50-inch or larger TVs. It means that the UHD TV has shed the expensive premium image and its popularization has begun in earnest.
According to industry insiders on December 30, in the UHD TV market, which has been regarded as a premium product, 40-inchish TVs are quickly gaining in popularity. According to Display Search, in the UHD TV market, the sales of 40-inchish TVs are forecast to be 3,155,400 TVs in the 4th quarter, more than half of the total UHD TV sales of 6,304,700 units.
The sales share of the 40-inchish UHD TVs, which was merely 10.9% in the first quarter, rose to 30.1% in the second half, and to 39.0% in the third quarter, and the number is expected to go all the way up to 50.3% in the fourth quarter. In contrast, the sales share of products with 50-inch or larger panels has been declining continuously. Their market share fell from 75.5% in the first quarter to 67.0% in the second quarter and to 60.0% in the third quarter, and then to 49.7% in the fourth quarter.
“The UHD TV market, which has been dominated by 50-inch or larger screens, is quickly expanding to include the 40-inch products,” said a display industry insider. “It signals that the manufacturers are expanding their UHD TV lineup, and the number of general consumers choosing the UHD TV is quickly increasing.”
In the Chinese market, the average size of the penal for the UHD TV is 48.5-inch in 2014. China is an important market which accounts for 61.7% of the global demands for UHD TVs. It is quite encouraging that the demands for low-end UHD TVs are quickly increasing in China. In Japan where people prefer small home appliances, the trends are the same. The average panel size of the UHD TV was 58-inch in November 2013. The size was reduced to 52.5-inch this November.
The display industry and TV manufacturers are encouraged by the expansion of the UHD TV. In the fourth quarter, the global sales of UHD TVs are forecast to be 6,304,700 units, up 86% quarter on quarter, and up a whopping 670% year on year. As the sales of 40-inchish products as well as 50-inch or larger TVs are accelerating, the `UHD TV` is popularized very quickly. As the UHD TV is quickly replacing the full HD TV, it is preventing the average selling price (ASP) of panels and TVs from falling.
Korea accounts for close to 50% of both the UHD TV and UHD panel market, certainly dominating the markets. According to Display Search, as of the third quarter of 2014, Samsung Electronics was ranked No. 1, accounting for 36% of the UHD TV market, followed by LG Electronics accounting for 15%.
In panels for UHD TVs, LG Display surpassed Taiwan`s Innolux and became No. 1. As of last October, LG Display`s market share was 28.1%, surpassing that of Innolux (24.0%) for the first time. Samsung Display is No. 3 (20.2%. Display Search forecast that LG Display and Samsung Display would raise their combined market share to 51.3% in the fourth quarter of 2014 in the global UHD panel market, and further increase the number to 60.8% in the second half of 2015.