Research and Markets: Rapidly Declining Prices and Uncertain Prospects for Volume Growth Expected in World Market for Microdisplays.

DUBLIN, Ireland -- Research and Markets (http://www.researchandmarkets.com) has announced the addition of 2003 Microdisplay Forecast Report to their offering.

A perfect storm of competitive and market forces could precipitate a major shakeout of the microdisplay industry over the next two years. Rapidly declining panel prices and uncertain prospects for volume growth means revenue and profitability could shrink, squeezing marginal suppliers out. The microdisplay industry could become mature before it has barely become an adolescent industry. Also, there is so much uncertainty in the market that the forecast opts for a twin scenario approach to capture the full range of outcomes.

A conservative assessment of Home Entertainment segment calls for total growth to be slowed by the onslaught of flat panel big screens and that total RPTV unit sales will plateau at 5.5M units in 2007. Microdisplay-based RPTV sets find it difficult to displace CRT technology due to microdisplay cost and lifetime issues, resulting in microdisplay technology capturing only 40% of the smaller market in 2007. Add to that a more conservative 1.5M front home projection forecast and the total microdisplay potential shrinks to 7.0M units in the conservative case. In the business presentation segment, revenue growth has already stalled. Major IT players like HP and Dell are having an impact on prices and margins, forcing ProAV dealers to seek other services and solutions to survive. If the industry can sell its way out of the current revenue slump with growth of 26%, then units will increase from 1.7M in 2002 to 5.5M in 2007. Revenue will grow to $5.75B, just a bit ahead of current levels.

Microdisplays are used in a wide variety of projection and near-to-eye systems, so understanding the key trends, issues, hurdles and supply chain issues is critical for product planning and development. This report provides a detailed forecast of all the microdisplay-based finished product segments along with detailed profiles on all of the microdisplay device developers and manufacturers.

The Microdisplay Forecast section of this report provides a unit and revenue forecast for microdisplay modules in more than ten projection and near-to-eye application categories in five segments (Business Presentation, Home Entertainment, Monitors, Embedded Viewfinders and Headsets). The new forecast looks at the upside and downside views and identifies the key issues in each market. It then integrates those scenarios into a comprehensive look at the competitiveness of the array of microdisplay technologies and suppliers.

In the Business Presentation segment of this report the value of mainstream, premium and eCinema categories is forecasted.

Microdisplay Forecast Report Addresses Key Industry Questions

- Will Sony's departure from LCD projection panel supply affect microdisplay consolidation?

- What is driving the unexpected success of microdisplay-based RPTVs?

- Will LCD-TVs dominate the big-screen display market?

- How fast will CRT technology disappear?

- Can business projection makers be profitable with $999 projection products?

- Is consumer front projection the next "big thing"?

- How will the LCOS wildcard play out?

- Is there any life in the video headset market?

- Will LCOS dominate the viewfinder market?

The report provides a unit and revenue forecast for microdisplay modules in more than ten projection and near-to-eye application categories in five segments (Business Presentation, Home Entertainment, Monitors, Embedded Viewfinders and Headsets). The forecast looks at the upside and downside views and identifies the key issues in each market. It then integrates those scenarios into a comprehensive look at the competitiveness of the array of microdisplay technologies and suppliers

Cost breakdowns of microdisplay pricing and future device needs are provided, as well as estimates of penetration of each microdisplay technology into various application segments. Extensive use of charts, tables and assumptions helps readers get a clear understanding of this complex market. A standard format for each major section is used to aid in analysis (View Detailed Forecast Format)

The Microdisplay Company Profiles and Assessment section uses a standard format for all companies too. Profiles on over 30 microdisplay development companies/groups involved in projection and near-to-eye segments are included. Key parts of the profile include an assessment of the company's strengths and weaknesses, it competitive position in the marketplace, customers, tables of product development roadmaps, current/planned production and display specs. The profiles encompass multiple microdisplay technologies and include Texas Instruments, Epson, Sony, JVC, Hitachi, Philips, Three-Five, Aurora, Kopin, Displaytech and many others.

Questions Addressed:

- How big is the microdisplay market and how is it segmented by application, performance and price?

- What microdisplay performance and price points are required to penetrate each segment?

- What is the unit and revenue forecast for 2002-2007?

- What microdisplay size, definition, and price are required in each segment? How do the competitive technology microdisplays compare in performance? What is the projected market share by technology in each application?

- Who are the suppliers and what are they offering? Who are the major developers? What is the current status of the projects? What are their strengths and weaknesses? Who are the winners and the losers?

For more information visit http://www.researchandmarkets.com/reports/c5034