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Global Energy Efficient Displays Technologies to 2020
OLED displays have emerged as one of the most promising display technologies in recent years. The estimated market for OLED displays grew at a Compound Annual Growth Rate (CAGR) of 33.9% during the period 2005-2009. The global OLED market was valued at $822m in 2009 in comparison to $256m in 2005 and is further expected to grow at a CAGR of 25.5% during 2010-2020 to reach $10.6 billion by 2020. The high growth in demand is expected to follow the take-off of OLED displays in large display applications including television sets, monitors, desktops and others. As of 2009, OLED displays were mainly used in mobile phones, digital cameras, mp3 players and other small panel applications The primary revenue driver for OLED displays is mobiles phones, which contribute almost 65% of the overall OLED revenues. The applications that OLED displays are targeting are also served by Liquid Crystal Display (LCD), which make OLED a replacement technology. The manufacturers are concerned about whether the new technological developments will produce additional growth or will only displace the older technologies. Further, the improvement in the LCD display technology along with a reduction in prices is hampering the deployment of OLED displays. The display industry needs a combination of new applications and technologies to accelerate revenue growth. GBI Research in consensus with the industry experts anticipates a high revenue potential of OLED displays in the years ahead.
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The innovation in technology and mass production volume are expected to cause a decline in OLED display prices. GBI Research, in its interviews with industry experts, find that the OLED displays are much easier and simpler to produce than the dominant LCD displays. Industry experts expect a huge decline in OLED prices once they are being produced in certain volumes. The path to high volume manufacturing and larger sizes for Active Matrix Organic Light Emitting Diodes (AMOLED) has been slower and harder than anticipated by the industry experts. The OLED display manufacturers are finding it difficult to reduce prices, which in turn are holding back the commercialization of large panel displays. The OLED display manufactures across the globe are involved in Research and Development (R&D) and expansion of their production line, which will help them in attaining economies of scale and thus reduce the prices. OLED displays generate their own light meaning that they do not require any backlighting and thus consume less power. The low power consumption by OLED displays makes them best suited for applications such as laptops and mobile handsets. OLED displays promise faster response times, wide viewing angles, exceptional color reproduction, outstanding contrast levels, and high brightness. Further, the thin and lightweight designs of the OLED displays make them attractive to use in a variety of applications such as mobiles, laptops, digital cameras and mp3 players, among others.
The Asia-Pacific (APAC) region was a major production hub for energy efficient displays in 2009, contributing a substantial 90% of the energy efficient display production. In APAC, Japan, Taiwan, China and the Republic of Korea are the major manufacturers of energy efficient displays. The countries in APAC are preferred destinations for electronics manufacturing due to the availability of cheap labor, abundant raw materials and the robust infrastructure. GBI Research predicts the APAC countries to remain the manufacturing hub in the years ahead. The displays found their major applications in the consumer electronics segment and so the APAC countries are providing facilities and a much needed boost to the energy efficient display industry. However, these countries are subjected to major scrutiny while outsourcing manufacturing for sectors such as medical, defense and automotive, where the reliability and safety of the end product are major concerns.
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About the Author
GBI Research is a market-leading provider of business intelligence reports. GBI Research covers worldwide markets and issues, supplies actionable data and forecasts and is driven by industry leaders’ insights. GBI Research provides a broad spectrum of reports across the healthcare and energy industries and its online offering is easy to navigate – a comprehensive resource for business information needs.
Headquartered in the UK, the company has branches in the US and Asia, and provides world class client support and service.
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