LCD to Hit 49% Penetration in India By 20121 Jul, 2009 By: Eui-jo Marquez
Shipments of LCD TVs in India are set to surpass those of cathode ray tube TVs (CRT TVs) by 2012, when LCD TVs will account for 49.1% of shipments, up from 4.6% in 2008, and CRT TVs will decline to 49.1% from 95% in 2008, according to iSuppli Corp.
“The rise of LCD TV shipments in India is due to declining prices, increased consumer awareness and adoption and an ongoing effort to promote the product by brands and retailers,” said Riddhi Patel, principal analyst, television systems for iSuppli. “Meanwhile, CRTs are suffering a decline in worldwide production that is causing their supply chain to wither.”
With this transition, India will follow other countries that made the switch from CRT TVs to LCD TVs: the United States and Europe in 2007; and Japan in 2006. Chinese shipments of LCD TVs are set to exceed those of CRTs this year.
“Much like the other regions of the world, Indian consumers are discovering the benefits to moving to flat-panel technology for their televisions,” Patel said. “Indian consumers are intrigued by the space savings, improved picture quality and attractive form factor of LCDs.”
The increase in LCD TV purchasing is also increasing because of the transition from analog to digital networks in the country, the adoption of Internet Protocol Television (IPTV) and Direct To Home (DTH) satellite technologies and an increased desire for High-Definition (HD) programming.
But despite the growth of LCD TV shipments, it is unlikely that India will experience growth in LCD production.
“Unless the demand in India skyrockets, localized LCD TV production will not be feasible, especially since Korean and Chinese LCD manufacturers prefer to produce their products in their own facilities,” Patel said.