What They Say
DSCC published articles that set out how large panel (G7+) capacity for displays to rise in 2022, after a 13% increase in 2021 and said that this would continue pressure on pricing as LCD TV panels become a buyers’ market. Looking ahead to 2023, LGD may take capacity offline, but if it doesn’t surplus capacity will continue to expand. The article includes quite a lot of detailed data on the likely changes and a chart on the Chinese share of different panel markets.
There was also a post that highlighted that equipment makers have hit record levels of revenue of $24.8 billion in Q2. Net margins rose hit 16% and operating income reached $840 million, the highest since Q3 2018. Again, Ross Young gives a lot of detail if equipment and finance is your topic.
What We Think
Once again, hopes that ‘the Crystal Cycle’ might be over have turned out to be over-optimistic. DSCC has upgraded its total 2025 capacity forecast as panel makers have responded to higher profits by planning new capex! (BR)
G7+ LCD and OLED Capacity Forecast – Source: DSCC’s Quarterly Display Capex and Equipment Market Share Report
