Amid Economic slowdown IDC Predicts Small LCDs Will Spell the Death of the CRT, Especially in Emerging Markets Across Asia Pacific

According to IDC’s Asia Pacific Quarterly PC Monitor Tracker report, the PC monitor market in Asia Pacific excluding Japan (APEJ) region totaled 28.1 million units in 1H 2008, representing an increase of 7.2 percent over 1H 2007, but a 1.1 percent decline over 2H 2007. This was in line with IDC’s initial forecast, registering a 0.9 percent variance. All countries posted a sequential decline or a flat growth over 2H 2007, except Indonesia, New Zealand, Philippines, Singapore and Thailand. Total CRT sales experienced a 31.2 percent decline, while total LCD sales increased by a slight 5.1 percent over 2H 2007.

"Inflation is impacting many countries in the APEJ region in 2Q 2008, which reduces consumer purchasing power, as well as commercial spending in the short term," said Yoong Siat-Siah, Senior Analyst of IDC's Asia Pacific Personal Systems Research. "Political issues in several countries also weakened regional demand. IDC believes the total PC monitor market will remain muted in 2H 2008, with a mild 4.4 percent growth over 1H 2008, and a 3.2 percent growth year-on-year."

Despite revising its forecast downwards, IDC still anticipates a positive year-on-year growth for the APEJ monitor market in 2008, largely contributed by the PRC, India, Indonesia, New Zealand (PC replacement cycles), Philippines, Thailand and Vietnam.

According to IDC’s latest 5-year forecast, 17"W is expected to be the mainstream size for India, Indonesia, Philippines, and Vietnam till 2012, while 19”W will be the mainstream size for Hong Kong, Malaysia, the PRC, Singapore, Taiwan and Thailand. For Australia, Korea, and New Zealand, strong uptake of 22"W will allow this size to become the most popular by 2010.

"The uncertain economic climate creates havoc in the panel producer's expansion plans, which results in monitor assemblers bearing the brunt of panel price fluctuations on one end, and continued pricing pressures on the other," said Reuben Tan, Senior Manager of IDC’s Asia Pacific Personal Systems. "The light at the end of the tunnel for this matured industry could be varied feature sets and vendor differentiation; HDMI, monitor-TVs, and 16:9 products, as well as innovative channel and joint promotions through vendor partnerships, monitor-notebook vendor and monitor-telco collaborations."

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