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Chimei Innolux to Win 40%-50% Share of White-brand Tablet PC Touch-panel Market

2012/08/15 | By Quincy Liang

Taipei, Aug. 15, 2012 (CENS)--Chimei Innolux Corp., the largest thin film transistor-liquid crystal display (TFT-LCD) panel manufacturer in Taiwan, is expected to win a 40% to 50% share of the global market for white-brand tablet PC applications, according to the company.

Some 40 million to 60 million white-brand tablet PCs are expected to be shipped this year, similar to the total shipments of Apple's iPad.

Major market research firm DisplaySearch recently forecast that some 121 million tablet PCs would be shipped worldwide this year, and the annual volume would increase to 416 million units in 2016, in conjunction with a compound annual growth rate (CAGR) of 28% over next five years. Apple would continue to be the market leader in next five years with a market share of 60%, while white-brand counterparts are expected to enjoy high growth due to their advantageous pricing.

Jeff Hsu, Chimei Innolux's vice president, pointed out that demand for white-brand tablet PCs from emerging markets has been quite strong this year. In addition to sales in China, many Chinese white-brand tablet PC makers also export products to other nations. So, the annual demand for touch panels for white-brand tablet PCs this year is expected to reach some 60 million units, with 7-inch models as the mainstream and followed by 10-inch ones. Chimei Innolux aims to ship more than 25 million touch panels for white-brand tablet PCs, accounting for 40% to 50% of the application market, Hsu said.

Hsu also added that this year, the mainstream touch-panel type in tablet PC application has shifted from resistor to capacitive, which is expected to benefit many Taiwanese suppliers with more advanced technology. Jtouch Corp. of Taiwan, for example, is stepping up boosting production capacity of its new touch-panel factory in Hunan Province of China. The firm's large-sized touch panels are expected to account for more than 20% of its revenue this year. Mutto Optronics Co., Ltd. recently also won big-ticket orders for tablet PC touch panels, and expected to see a 30% sequential revenue growth in the third quarter.

Google recently pushed its Nexus 7 tablet PC priced for only US$199, and the company immediately sold out one million units. A white-brand tablet PC with 7-inch screen is often priced for about US$100 only, and such more affordable device has won very hot market responses in Latin America, Southeast Asia etc. Currently, monthly tablet PC shipments in China are between three million and four million units.