AUO: Global panel expansion time up to three years

, although TFT production line construction plan when positive, also caused the market to worry about the subsequent panel industry into nearly fear excess supply of long-term concerns, but AUO believes that in the global LCD TV capacity for more than six generations of large TFT production line, in about 2008, will enter the expansion end the stage is unlikely to allow unrestricted manufacturers to enter the market for new capacity. AUO LCD TV division vice president Su Fengzheng pointed out that if the estimated global TV in 2008 a total of about two hundred million Taiwan level, even if 75% of them are replaced when the number of LCD TV, LCD TV about one hundred and fifty million units, the market scale that it takes only about 19 to six generation line we have enough supply (panel production capacity of each production line in a single month sixty thousand substrates capacity calculator.). At present, the world has seen the six generation, seven generation, seven. Five and even eight generation production line for planning the case, if all sixty thousand substrates were converted to single month of the six generation line, has the equivalent of about 15 of the six generation line, that is to say, the next three years on the market some can only allow another five or six generation line capacity to enter the market, otherwise it will cause serious oversupply problems. AUO believes that this is similar between the balance of supply and demand, the market will adjust themselves to the natural ecology, if manufacturers invest in TFT industry, found not to earn money will naturally slow down investment expansion, at present, the market clearly has too much investment in the case, if in accordance with the calculation of the benchmark the fundamental to hold many of the new plant investment case. Industry estimates, now the entire TFT industry ecosystem is quite obvious, in addition to SHARP in Japan, has not had a new investment plan of the large plant again. South Korea, LPL and Samsung will not as the expansion of investment, let go, unless Taiwan stop panel investment, or will the new plant construction plan, for the local transfer, the expansion caused by the effects of extrusion, otherwise the ecology of the whole panel industry is bound to enter another wave of consolidation, in order to transport the capacity to make appropriate investment planning, otherwise the final panel industry will enter to profit, or even a serious loss.