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2 LCD panel price reports contradict each other

Mizuchi

Member
New manufacturing process decreases production cost of panels by ~62%.
http://www.tomshardware.com/hardnews/20050413_163827.html


In a related article (link at end of above article), a report says shortages will force LCD (10" and bigger) prices to rise in the last half of '05.


Anyone want to mix in another LCD price report?


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Due to the extreme popularity of these units, at their amazing low base price of $999, reports of LCD panel shortages will mean skyrocketing prices, which means prices of computer monitors will continue to drop due to some improved manufacturing process, as well as more coupon deals from Dell.
 
Where's the contradiction ?


"combination of a currently slowed increase of panel materials production as a result of an oversupply at the end of 2004 as well as a climbing demand for certain LCD segments could bring a shortage of specific panel sizes available on the market, according to reports from various research firms. For example, Displaysearch believes that the growing demand for 17-inch displays will outpace supply in the short term. "If you plan to buy a 17-inch LCD, I would do this fairly soon," he said. A modest price increase for this segment should be expected this year. However, there is a different scenario for 19-inch displays: "If you can spend the extra money for a 19-inch model, it makes sense to wait for prices to drop," Kim said. "
 
A conspiracy would be more indicated if the prices were all the same everywhere. 🙂
 
I was thinking that they are encouraging people to buy LCDs now, even though prices will continue to drop. I wonder how many people made up their mind to buy LCD monitors after that first report. I wonder if anyone decided it would be a good investment to buy now and sell during the end of '05.
 
Contradiction is in the titles.

Efficient manufacturing cuts LCD production cost in half
Shortages of LCD panel materials could mean higher LCD prices
(Demand for LCD desktop monitors surges 26 percent)


Considering the price erosion of LCD panels in the past few years, the shortage of materials is not just negative for the industry, but could provide a tool to stabilize or even increase pricing levels. LG already had complained at CeBit about "artificially" low prices in the LCD market and announced intentions to increase prices this year by about five percent. Looking at iSuppli's forecast, these price increases may not be too hard to justify after all.

And there is some conspiracy.
 
Conspiracy is someone's making LCD prices an issue that's blown up. With more media attention and LG, one of the top panel manufacturers, intending to increase it's prices, yet reducing it's manufacturing cost...

By throwing in news that doesn't seemingly make sense, people want to know more. Like sports stars/celebrities getting coverage from getting busted doing something and using that to gain media attention and using the media in their favor. People interested in that kind of stuff, sports and entertainment, want to know more about them...

Guess I should use a better word, like marketing scheme. Like my example of my NeoGeo system... more news to help advertise something that needs a boost to really profit more.
 
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