Market research firm DisplayBank says the price for LCD television sets have dropped at least 35% this year. Prices for large 42″ television sets have dropped 35% from last year and now average $2180 each. Cheaper LCD panels make up the majority of the savings and large panels now cost an average of $640 which is 42.9% less than last year.
Taiwanese and South Korean panel makers have been ramping up production in recent years, almost double capacity in the last year alone. But the higher capacity could be hurting major LCD panel makers like AU Optronics because television makers are now requesting lower panel prices. AU Otronics and other LCD panel makers agreed to cut LCD panel production by 10% this month in an attempt to shore up prices.
Plasma displays televisions have also dropped in price, although less spectacularly than their LCD cousins. 42″ plama TVs now cost $2107 which is 20% less than last year.