According to a report from research firm IHS Technology, the need for large-screen LCD panels used in televisions increased significantly in 2014. The three largest producers of LCD TVs, Samsung, LG Electronics and Sony, increased their purchasing by 11 percent in 2014. In all, the companies shipped about 95 million LCD TVs in 2014, and accounted for 37 percent of all TV LCD panels purchased in 2014

2015 is expected to see an acceleration of this trend, according to IHS. The firm predicts that the top three LCD TV manufacturers will account for about 42 percent of all TV panel shipments from suppliers in 2015. This growth is expected to come on the back of 16 percent LCD TV sales, reaching 110 million units for Samsung, LG, and Sony. Overall, IHS expects about 262 million LCD TVs of all sizes to be shipped globally in 2015.

This aggregation of market power for the top three manufacturers may make it more difficult for smaller competitors to retain a steady supply of LCD screens. As Deborah Yang, display supply chain research director for IHS Technology, said in a press release, “The three leading TV manufacturers will, therefore, have greater influence over the global panel supply this year, causing panel makers to list them as first priority customers.” According to several sources, LCD panel production is not expected to keep up with demand until around the second half of 2015.

So where is there the most room for smaller competitors? While most panel in 40-inch and above are dominated by the big three, they accounted for approximately 30-35 percent of 32-inch TVs, a number far below any other segment. This indicates that while large-screen TVs are expected to become even more dominated by the big three, smaller panels will not only be more easily sourced but will also be in a better competitive situation.

See a comparison table of selected 29-inch to 39-inch LCD TV suppliers on GlobalSources.com