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Tablet, smartphone demand to boost touch screen revenue

Posted: 30 Jul 2012 ?? ?Print Version ?Bookmark and Share

Keywords:DisplaySearch? tablet? smartphone? iPad? projected capacitive touch?

According to NPD DisplaySearch, overall touch screen module revenue will top $16 billion this year, and nearly double in six years, reaching $31.9�billion by 2018. The market growth is due to the increased demand from devices including iPads and other tablets, smartphones and emerging notebook PC designs. While the leading touch technology is projected capacitive touch, demand for other technologies is on the rise, added the market research firm.

Touch screen penetration has rapidly increased in mobile phones, handheld games and game consoles, as well as in tablet applications, which are forecast to collectively account for more than $13.6 billion in touch screen revenues this year. In addition, NPD DisplaySearch forecasts strong touch screen growth over the next several years driven by demand in larger display applications such as convertible/hybrid notebook PCs.

Mobile phones are the biggest application for touch screens in terms of unit shipments, accounting for three-fourths of units shipped in 2011. NPD DisplaySearch forecasts that 1.2�billion touch screens will ship for mobile phone applications in 2012, up 68 percent�YoY.

Tablet PC is a fast-growing application for touch screens. Shipments tripled in 2010 and reached 79.6 million in 2011. Growth continues to be strong, with NPD DisplaySearch forecasting more than 130 million touch screens for tablet PCs in 2012, and more than 190 million in 2013. Revenues for touch screens in tablet PCs are expected to grow by more than $3 billion in 2013.

Touch penetration is expected to increase dramatically in convertible/hybrid notebook PCs. The Ultrabook, which is promoted by Intel, will start to adopt touch screens by end of this year, and Microsoft Surface tablets will also integrate touch screens. NPD DisplaySearch forecasts touch screen penetration on notebooks will increase from two percent in 2011 to about eight percent in 2013.

Over the next few years, all-in-one PCs and automobile monitors are expected to contribute to touch screen market growth as well. Touch technologies with high transmittance, low power consumption, multitouch or gesture recognition will benefit the most. Currently, the leading touch technology is projected capacitive touch. However demand for other technologies is on the rise.


Figure 1: Module Revenue Forecast
Source: DisplaySearch 2012 Touch Panel Market Analysis.

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