LED Technology: A Bright Future for the LCD Markets?

Whether it's thanks to their contemporary design or superior image quality, the LCD LED television found its footing in the global TV market in 2009.

Three million sets have been sold worldwide, worth just under an estimated four billion euro and equal to 6% of the entire LCD market.

Naturally, this result differs markedly from region to region.  In value terms, the market share of LED screens (compared to LCD in general), is just 3% in Asia and South America, but exceeds 7.5% in Western Europe to 12% in North America.

LED technology has significant impact on large screen sizes in Western Europe in 2009.

If we look more closely at Western Europe, it is clear that this technology benefits the entire market, particularly among the large screen sizes. In 2009, in the 32" plus segment, the LED share is 13.5% in value terms and 8% in volume (compared to 3% for the entire LCD market).

Moreover, the bigger the screen size, the greater the presence of LED televisions. For example, in volume terms they represent more than 20% for 40" screens (27% for December 2009 alone), 35% for 46" screens (47% for December 2009) and almost all 55" screens.

This situation is clearly and directly linked to the product benefits that are much more relevant on larger screens. For these purchases, the customer looks for a more contemporary, thinner design and for some products, superior image quality. 

This is highlighted in Western Europe, where customers are willing to pay an average of 30% more in order to get the latest technologies into their living room.

"If we look at the LED average price, the strong performance of this new technology has undoubtedly had a direct impact on the average price of the overall product category, which had dramatically fallen between the end of 2008 and the beginning of 2009," explains GfK Digital-World Marketing Manager, Sebastian De Rosbo.

By becoming ubiquitous on larger screen sizes, these 2009 results provide a glimpse into a promising future for LED technology that should benefit further from the launch of 3D later this year, a format that will be more readily available with LED technology. In addition, the power saving nature of LED technology is good news for both consumer's energy bills and the environment.

With companies launching new sets featuring the latest in this technology in time for the football World Cup in June, 2010 promises to be an exciting year for the LED.