AUO shifts back to 46-inch panel production

Global 40-inch TFT LCD panel market might see a change spurred by AUO's
new production strategy. Positioned as the manufacturer of 47-inch LCD TV
panels, AUO is planning to lower its production volume of 47-inch panels from
7.5-generation production line and putting more weight on 46-inch panel
production which Samsung Electronics and Sony feature. In Q2, 2006, AUO
terminated the production of 46-inch LCD TV panel and shifted the productivity
to manufacture 47-inch LCD TV panel. However, the demand for 46-inch LCD TV
panels was higher than 47-inch which triggered the company to switch its
production strategy again. This year, AUO will feature 46-inch LCD TV panels and
plans to introduce full HD 46-inch panels. The initial production will be in
Feb. The monthly production volume can reach 10,000 pieces and grow at 60,000
pieces by the end of Q2, 2007. In fact, the market of over 40-inch LCD TVs will
be the focus of panel manufacturers in 2007. The two major groups feature
40-inch, 46-inch, 42-inch and 47-inch. Three of the top five LCD TV brands
feature 46-inch related products. Toshiba also shifted from 47-inch to 46-inch
in Q1, 2007. After AUO joins 46-inch LCD TV panel production, LG Philips and Chi
Mei will work progressively to grab manufacture orders of 47-inch LCD TV panels.