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Since 2013, major LCD panel makers have continually invested in fabs producing LTPS (low-temperature polysilicon) LCD panels as to capture demand in the high-end smartphone market. WitsView, a division of TrendForce, estimates that this year’s global LTPS production capacity by area will stand at 9.4 million square meters, and next year’s capacity will reach 10.7 million square meters. With capacity expanding next year, WitsView Senior Research Manager Boyce Fan expects no relief from the oversupply situation and the margins of LTPS products will be squeezed further.
According to TrendForce’s report on trends in next year’s smartphone market, growth rate has slowed significantly this year and will not return to double digits. Boyce pointed out that the market’s growth momentum will shift from being based on shipment volume to being based on specs upgrades. This year, for example, the display resolution specs of mainstream smartphones (sized 5 inches and above) have advanced onto HD (high definition) and FHD (full high definition) displays. In-Cell touch display has also become a prevalent feature in high-end smartphones.
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