The Changing Display Industry: CRT and Flat Panel

Report Highlights

• The value of worldwide shipments of electronic displays reached approximately $64 billion in 2001 and is expected to grow at an average annual rate (AAGR) of 12.3% to reach almost $115 billion by 2006.
• Flat panel displays accounted for more than 48% of the total value in 2001 and their value is projected to grow at an AAGR of 17.6% to account for 61% by 2006.
• Worldwide CRT shipments were valued at $33 billion in 2001. They are expected to grow at an AAGR of 6.3% to reach $44.8 billion by 2006.
• New technologies, such as plasma displays, organic light-emitting diode (OLED) displays and MEMS-related displays are expected to have significant impacts on the market through the forecast period, each featuring AAGRs greater than 40%.

INTRODUCTION

STUDY GOALS AND OBJECTIVES

BCC's goal in conducting this study was to determine the current status of the worldwide electronic display market and assess its growth potential over a five-year period from 2001 to 2006. We were particularly interested in the position of the CRT in relation to the various flat panel display technologies. In addition, we were interested in the market potential for emerging flat panel display technologies.

Our key objective was to present a comprehensive analysis of the current display market and its future direction.

REASONS FOR DOING THIS STUDY

The CRT is still the dominant display technology, but flat panel devices continue to grow at a faster rate. We were interested in determining where the CRT and flat panels were being used and examine their growth potential. We were especially interested in the potential for flat panels to displace the venerable CRT. Worldwide display manufacturing and consumption activity was also a major focus of this report.

BCC examined the display industry in the 1997 report, GB-171R The Changing Display Industry. Since this industry is changing rapidly, BCC wanted to conduct another analysis and project its growth potential.

CONTRIBUTIONS TO THE STUDY AND FOR WHOM

We have compiled a study of the CRT industry, and eight current and emerging flat panel display technologies. We present the display industry economic environment, technological descriptions and issues, research and development activities, funding issues, applications, market factors and potential, and project shipments of displays for 2001 and 2006. We also project shipment values and distribution of displays for five major industries. This study will be of interest to the electronics industry, display manufacturers, distributors, system integrators, and original equipment manufacturers (OEMs). It will also be of interest to manufacturers of information systems, personal computers, telecommunications equipment, instrumentation, appliances, transportation equipment, and medical devices.

SCOPE AND FORMAT

The scope of this study encompasses the major types of electronic displays. BCC analyzes each technology, identifies the major players, determines the current market status of each, examines their impact on future markets, and presents forecasts for growth over the next five years. Technological issues, including the latest trends, are discussed. Other influential factors, such as the growth of handheld devices, the need for space savings, and the influence of color, are reviewed.

BCC analyzes the industry on a worldwide basis, both from a manufacturing and consumption point of view. We examine government and industry support for research and development in the major regions of the world. The current and projected status of the CRT versus flat panel displays are compared for the high-value applications of television and information processing. The role that both technologies play in industrial, commercial, and medical monitoring, as well as instrumentation, is also examined.

METHODOLOGY

BCC presents an analysis by each display technology of the number of displays shipped in 2000. Our estimated value is what manufacturers have paid in undepreciated dollars. Then, based on our surveys, we analyze the potential applications for each technology and forecast unit shipments for 2001 and 2006. We also analyze display shipments by five major industry groups that use displays.

INFORMATION SOURCES

BCC surveyed approximately 135 companies to obtain data for this study. Included were manufacturers of CRT and flat panel displays, consumer products, communications systems, and selected industrial products. We also spoke with display users in a variety of industries. In addition, we compiled data from current financial/trade information and government sources.