VLSIresearch reported that Capital Expenditures by Flat Panel Display manufacturers grew 55% in 2016. Yet, revenues for displays fell by more than 10%. According to John West of VLSIresearch Europe, “The growth in Cap Ex was driven primarily by capacity additions in China and upgrades in Korea.” He expects 2017 to also be a strong year for FPD production equipment sales even in a weak market with a potential for serious overcapacity in 2019. West noted that viewing habits are changing: More films and TV programs being watched on mobile devices, not large screens as expected. Curved TVs and 3D TVs are failing to reach sales targets. Several suppliers are discontinuing production as a result, according to VLSIresearch.
The source of this data came from analysis published in VLSI’s Critical Subsystems report. More information is available here:
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