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News: LCD Leading Way in Rapidly Growing HDTV Market

Leading industry market research says LCD display shipments and HDTV subscription customers will double by 2012. The independent research data and adjustments in leading display manufacturer’s business strategies spell out LCD domination of the display market for the next four years.

According to the research, 17 million US homes will acquire high-def TV services by end of 2008. That brings the number of American households that subscribe to some type of HDTV services to 47 million.

According to the Pike & Fischer forecast the number of households that will subscribe to high-def content services will continue to expand to 103 million by 2012. At the same time, according to data from iSuppli, LCD display shipments will double by 2012 to nearly 194 million.

Despite free over-air broadcasts across the continental US, consumers maintain an appetite for premium content offered by cable and satellite providers. It’s a profitable business to be in, says the Pike & Fischer research, that puts revenues at about $2.6 billion in 2012.

An overwhelming majority of those HD-ready households are going to be using LCD technology instead of plasma. We’ve already seen Pioneer Elite completely abandon plasma panel manufacturing. In 2007 LG, the world’s number three plasma maker posted record losses from its display division.

According to Citigroup, LG’s display division is turning itself around and should prove profitable by end of 2008. Although the Korean company will continue to ship plasma HDTVs through 2008, part of LG’s strategy is to sacrifice additional investment in plasma technology while doubling shipments of LCD displays.