Taiwan-based manufacturers outstripped Korean companies in TFT-LCD panel revenues in the first quarter of 2006.For the first quarter, when demand is typically weak, overall large-size TFT-LCD panel shipments amounted to 60.5 million units, down 2.8% from 62.2 million units in the fourth quarter of 2005. Meanwhile, monitor and notebook panel shipments slid 5.1% on-quarter to 29.7 million units and 8.4% to 17.2 million units, respectively. In contrast, shipments of the LCD TV panel segment grew 15.9% to 11.2 million units, breaking the 10 million mark.

On a regional basis, Korea captured 39.8% of the total shipments worldwide in the first quarter of 2006, when Taiwan remained in the top spot with a 48.6% share. Korea's penetration ratio fell below 40% in three years after hitting more than 40% for the first time in the second quarter of 2003.

In terms of revenues, Korea (42.2%) also lost its leading position to Taiwan (44.9%) for the first time in the first quarter of 2006. If Samsung Electronics and LG.Philips LCD (LPL) are successful in stabilizing yields at their seventh and 7.5 generation lines and move into mass production in the first half of 2006, the market is expected to face a close battle for share gains again in the latter half of the year.

By supplier, Samsung Electronics maintained its top position with a 20.5% share of shipments, followed by LPL, netting 18.2%. LPL saw a plunge of more than 1.8% in market share, caused by the sequential decrease in shipments. By contrast, AU Optronics (AUO), which has recently unveiled plans to acquire Quanta Display (QDI), gained a 15.4% share as well as enjoying a rise in shipment volume, while QDI grabbed 6.2% of the total market. When combined, the total market share from AUO and QDI totals 21.6%, outstripping that of Samsung and LPL.