Word: tvs
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...early next year, Asian factories will be churning out more large panels for LCD TVs than customers will want to buy, and the oversupply will depress panel prices. The new factories, most of which will specialize in large-size panels, should be able to produce the panels at a lower cost. With cheaper panels, TV makers can afford to sell LCD TVs at lower prices. "Manufacturers [of LCD panels] will have to cut prices substantially, and that should be positive news for the TV business," says Ryota Sugishita, a technology analyst at Daiwa Institute of Research in Taiwan. Sugishita expects...
...prompting CEO W. Alan McCollough to label this Christmas "a flat-panel holiday." But as long as the price tag on a flat-screen TV is four or more times as much as a comparable tube TV, many consumers will drool and dream but not bite. "Prices [of flat TVs] will be cheaper for consumers this holiday season, but not cheap enough to have them explode off the shelves," says Chris Connery, vice president of market research at DisplaySearch, a consulting firm based in Austin, Texas...
...virtual lock that the magic price point?at which flat-panel TVs switch from being a status symbol of the rich and hip to an everyday feature in many living rooms?will be reached in the near future. That's because the Asian consumer-electronics companies that dominate the flat-panel industry are building too many factories too fast. A glut is in the offing, and while prices have already been falling, more rapid declines are expected. Consulting firm iSuppli Corp. estimates that a 37-in. (94-cm) LCD TV that now retails for more than $4,000 will cost...
...Lofty prices have kept the market for flat-screen TVs small so far. Plasma technology dominates in supersize TVs at 40 in. (100 cm) and larger, but plasma will hold only 2% of the U.S. TV market this year. More consumers buy LCD TVs, which are available in a wider range of sizes, but they still only account for less than 10% of the market. Dropping prices will change that, especially with LCD TVs, which manufacturers are gearing up to churn out the fastest. By 2008, 1 of every 3 TVs sold will be an LCD, according to iSuppli...
...much to pay for a TV set, consider yourself spoiled. In the 1950s, when the cathode-ray tube was cutting edge, an average TV cost about $1,000, according to Semenza. Adjusted for inflation, that's $6,700 today?comparable to the most advanced flat-screen TVs. The advent of the flat TV is seen by an electronics industry accustomed to razor-thin margins as a chance to reap some fat profits from a new technology. Japan's Sharp Corp. announced this month that sales of LCD TVs contributed to pushing up profits 40% in the first half of this...