Prices of certain sizes of large-size LCD panels are likely to bottom out soon due to an influx of short lead-time orders, according to KY Lee, chairman of AU Optronics (AUO). However, Lee stated that the business outlook for the panel industry in 2012 remains unclear.

Sales of LCD TVs during the 2011 Black Friday shopping weekend in North America were pretty much amazing, pushing up demand for flat panels, Lee noted, adding that prices of certain sizes of monitor and TV panels have been raised accordingly.

Thanks to strong year-end sales, some vendors may push ahead the launch of new products for 2012 with some new models likely to hit the market in February-March, Lee commented.

However, prospects for 2012 will vary from company to company as well as from product to product as the global economy will remain weak in the coming year and the debt issues in Europe and the US have not been completely solved, Lee stated.

AUO has no plans to ramp up its capacity in 2012 and will also place stringent controls on its capex and operating expenses for the year, Lee said. AUO will lower to its capex for 2012 to below NT$40 billion (US$1.36 billion), the company said earlier.

Source:digitimes