LCD Monitor Panel shipments Forecast to Drop 11.3% QoQ in 2Q22 with Weak Demand Continuing into 2H22, Says TrendForce

[TheLostSwede]

According to TrendForce research, terminal demand remains weak due to repercussions of the Russian-Ukrainian war, rising inflation, and China's pandemic lockdowns as monitor brands began to reduce purchasing of LCD monitor panels in 2Q22. LCD monitors panel shipments in 2Q22 are estimated at 42.5 million units, down 11.3% QoQ. According to TrendForce analysis, monitor brands set fairly high shipment targets in early 2022. Coupled with the impact of LCD monitor panel shortages in 2021, monitor brands gravitated towards overbuying panels in 1Q22 to prepare for ensuing shipments. Driven by strong demand from monitor brands, shipments of LCD monitor panels reached 47.9 million units in 1Q22, up 20% YoY, the highest level for the period since 2012.

However, due to changes in the international political and economic landscape in February this year, the market for consumer models has cooled and monitor brands have successively revised their LCD monitor shipment targets downward and simultaneously lowered their panel purchase volumes. In the face of interest rate hikes by the world's major central banks and slowing economic growth, companies have also begun exercising caution in terms of capital expenditures, which has slowed demand for business-grade LCD monitors. In the past, inventory issues emerged and the overall market became oversupplied when monitor brands overstocked as consumer and business demand gradually cooled.




In addition, shipping and port congestion gradually eased in 1H22. The LCD monitors that were still in transit and accumulating in ports gradually arrived at distributors, resulting in a sharp rise in distribution inventory. Faced with the dual pressure of high whole LCD monitor and panel inventory, monitor brands were forced to reduce panel purchases in 2H22. Therefore, TrendForce forecasts that LCD monitor panel shipments will continue to decline to 37.8 million units in 3Q22, representing a QoQ decline of 11.2%. In 4Q22, there is a chance shipments will rebound marginally to 38.8 million units due to the sales surge initiated by monitor brands at the end of the year, representing a quarterly increase of 2.8%. Annual shipments are forecast to reach 167 million units, a drop of 3.6% YoY.

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[mechtech]

Make monitors people need and WANT and you’ll get sales.

I don’t need a monitor mine is good.

But I would like a new monitor about 24”, 4k, 10-bit true colour no frc, DP 2.0, 120hz, gloss to very light AG coating, 3:2 ratio, or 16:10, vesa mount, built in speakers, fully adjustable stand optional to save money, 3yr warranty, easy FW upgrades, 1200+ contrast ratio, maybe a polarizer to cut back on ips glow, maybe some FALD backlighting, and maybe full Adobe colour space but with good srgb mode.

yep don’t see anything. I’d probably have no issue shelling out a grand for it. Oh well. I’ll keep waiting.

 

[R0H1T]

It's not necessarily just down to that, the exploding inflation is causing pain across the globe & this will only get worse as the northern hemisphere winter approaches a quarter or two down the line! People have less to spend on "discretionary" items & frankly most people do not need this stuff anymore. As far as I'm concerned we're probably reaching a level of saturation in most major economies wrt IT/entertainment related spends. Unless something drastic happens that will lift wages across the board, especially lower income groups, things will only get worse from here

 

[TheDeeGee]

Wake me up when a 27 Inch 1440P OLED releases.

 

[Ruined Mind]

Some people don't replace items unless they're broken or free upgrades are given to them.

I had a 15-inch TN LCD screen with the 1024 x 768 resolution from 2004 to 2015. The only reason I switched to a different screen during 2015 is that someone gave one to me. It's an 18.5-inch TN LCD 1360 x 768 television that I could use as a monitor.

I won't buy a new screen unless this one either becomes broken or stops being supported. My computer is not supported by Windows 11, so I will buy a new computer after Windows 10 stops being supported during the end of 2025. If Windows 11 still supports this screen, my 2025 computer will use it.

I didn't start playing computer games until 2015, so I didn't need a better resolution than 1024 x 768 before then. If games stop allowing the 1360 x 768 and 1280 x 720 resolutions, and I can't modify configuration files to add support, I will buy a new screen without waiting until the current one is broken.

 

[jpvalverde85]

Most monitors are way out of their acceptable price window, very expensive in comparison with TVs. The monitors with best bang for the buck or reasonable feature sets for the price are out of stock, and sometimes even standard basic monitors are hard to get, gpus to drive 4k screens are still very expensive to make the jump to such resolutions.

 

[MentalAcetylide]

Make monitors people need and WANT and you’ll get sales.

I don’t need a monitor mine is good.

But I would like a new monitor about 24”, 4k, 10-bit true colour no frc, DP 2.0, 120hz, gloss to very light AG coating, 3:2 ratio, or 16:10, vesa mount, built in speakers, fully adjustable stand optional to save money, 3yr warranty, easy FW upgrades, 1200+ contrast ratio, maybe a polarizer to cut back on ips glow, maybe some FALD backlighting, and maybe full Adobe colour space but with good srgb mode.

yep don’t see anything. I’d probably have no issue shelling out a grand for it. Oh well. I’ll keep waiting.

I don't think you'll be seeing that any time soon. That's like asking for a Dell UltraSharp PremierColor Monitor with G-sync or Freesync... As for TN panels, I don't know how people could stand using those things, especially sizes above 24"+ after using an IPS panel. The color shifting due to poor viewing angles is terrible if you're going to be doing anything where color accuracy has any importance.

 

[mechtech]

I don't think you'll be seeing that any time soon. That's like asking for a Dell UltraSharp PremierColor Monitor with G-sync or Freesync... As for TN panels, I don't know how people could stand using those things, especially sizes above 24"+ after using an IPS panel. The color shifting due to poor viewing angles is terrible if you're going to be doing anything where color accuracy has any importance.

Agreed.

 

[windwhirl]

Some people don't replace items unless they're broken or free upgrades are given to them.

This. I personally have no real interest in changing my current monitor because it works fine for me. And as long as it works fine and as long as I can keep connecting it to things, that's good enough for me.

And I suspect that's the same reason why many people have 5 to 10 year old displays still in use.

 

[awesomesauce]

Drop the price and maybe the demande will go up again.. still waiting for 4k 144hz+ to be affordable

 

[mplayerMuPDF]

This. I personally have no real interest in changing my current monitor because it works fine for me. And as long as it works fine and as long as I can keep connecting it to things, that's good enough for me.

And I suspect that's the same reason why many people have 5 to 10 year old displays still in use.

Indeed my current XB2483-HSU is 8 years old now and still working fine. In fact, I noticed it is still being sold today even. 24" and 1080p are plenty for me. I just want an affordable, quality monitor that lasts and that is flicker free and does not use a ton of power. The new blue light filter technology is also nice, although I am not sure how much it adds compared to just using software.

 

[Vayra86]

It's not necessarily just down to that, the exploding inflation is causing pain across the globe & this will only get worse as the northern hemisphere winter approaches a quarter or two down the line! People have less to spend on "discretionary" items & frankly most people do not need this stuff anymore. As far as I'm concerned we're probably reaching a level of saturation in most major economies wrt IT/entertainment related spends. Unless something drastic happens that will lift wages across the board, especially lower income groups, things will only get worse from here

Depends how you define worse

We really need a global, continued shrink of economies and growth if we want future generations to have a life. This correction is long overdue and probably still insufficient. Something's gonna give. We're either going to kill economical growth, or we're going to kill a whole lot of people to make things work again. Quite likely a bit of both. Climate change is managing that just fine so far, no need to even start shooting. You just drown somewhere, or get a tree on your head, or a virus that is new to your region

 

[watzupken]

There is a limit as to how many display each person will need. The pandemic resulted in an unprecedented sales in computer hardware due to the sudden work/ study from home almost everywhere. By now, most that wanted an extra display would have gotten one. In fact, with most countries “opening up”, you actually see a lot of monitors and PCs being sold on the second market. So no surprises, that we will see a steep decline in demand across the entire PC industry, perhaps even more sluggish than what it used to be prior to the pandemic. LCD monitor obviously will not be spared from this decline. And with recession upon us, all the more people will not want to spend on overpriced monitors unnecessarily.

 

[stimpy88]

Maybe if the panels were of higher quality than 400nits brightness and 1000:1 contrast ratio we have had for 15 years...

 

[R0H1T]

We really need a global, continued shrink of economies and growth if we want future generations to have a life. This correction is long overdue and probably still insufficient.

Definitely but think again who'll benefit the most in that situation & the ones who'll get the short end of the stick? The ones at the top will not reduce their consumption, overall or even per person of key resources, leaving the middle class to bear most the burden whilst the ones right at the bottom of the totem people will likely die in the millions just like during Covid. A revolution is needed, we dearly need a political & economic revolution. Just shuffling the deck chairs on this titanic of a capitalist world gets us no where!

 

[mplayerMuPDF]

Most monitors are way out of their acceptable price window, very expensive in comparison with TVs. The monitors with best bang for the buck or reasonable feature sets for the price are out of stock, and sometimes even standard basic monitors are hard to get, gpus to drive 4k screens are still very expensive to make the jump to such resolutions.

Maybe you should look at the used market for basic monitors.