LG Display cuts LCD TV market outlook

SEOUL, SOUTH KOREA: Global sales of LCD televisions this year will be well below earlier market estimates of 220 million units, flat-screen maker LG Display's chief executive said, due to economic uncertainty.

"Some research firms now estimate growth at around 215 million units but we see growth will be even below that level," Y.S. Kown told reporters late on Thursday but didn't provide his new estimate.

"There are so many competing TV technologies from Smart TV (Internet TV) to different types of 3D TVs of shutter-glass (SG) and FPR (film patterned retarder). Consumers simply don't see the value for the 50-60 percent premium they have to pay for such products, and thus they are delaying purchases."

Kwon's comments was embargoed until Friday morning.

LG, which vies for the top position in LCD flat screens globally with home rival Samsung Electronics Co , reported its third consecutive quarterly loss on Thursday and declined to provide an outlook, citing mounting economic uncertainty.

"TV demand will definitely improve as we move into the August and September period because TV makers prepare for holiday sales in China and elsewhere but the visibility is very low on how strongly demand will pick up," Kwon said.

Kwon also said his firm was likely to miss its earlier target of FPR-based 3D TV panel shipment because adoption rate of the new display by TV makers was slow as they had to clear unsold inventories of the conventional SG type panel.

Samsung is the dominant producer of SG type panel.

Samsung and LG control around 25 percent of the global LCD market each.

Panal makers are bracing for a weaker-than-usual seasonal demand recovery in the second half as an uncertain global economy further slows TV demand and output continues to outpace demand.

Demand for large-sized displays such as TV screens and computer monitors, which together account for around 70 percent of LG's revenue, is also taking a hit as consumers opt for smaller smartphones and tablets