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Now's the Time to Buy LCD TVs as Prices Continue to Fall into 2012

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December 28, 2011

Now's the Time to Buy LCD TVs as Prices Continue to Fall into 2012



2011 has been a difficult time for the TV industry and according to a forecast from DisplaySearch, prices for large LCD TVs will hit a record low in Q4.

In the Quarterly TV Cost and Prices Forecast Model released this week, for the first time LCD TV sizes up to 46 inches will average below $1,000. According to DisplaySearch, the low prices are due to an excess in production and a low demand for the high priced TVs.


As the economy sits at a standstill, so do consumers and the money in their pockets. These days, shoppers are more concerned with the price of a TV versus its extra features.

For example, the 3D television was predicted to be a big hit, but in North America it only sold 2.4 million units. DisplaySearch noted that if a consumer had the choice between an LCD TV with LED backlights, higher frame rates and even 3D they will choose the LCD TV that is larger in size with no features at a better discounted rate.

“The flat panel TV industry is now in a very advanced state of maturity, and the rapid cost reductions seen in the mid-2000s due to enormous investments in panel production capacity have slowed considerably. Despite this, consumers still expect rapid continuous retail price reductions.” said Paul Gagnon, NPD DisplaySearch director of North America TV market research.

As noted by DisplaySearch, other pricing milestones will take place this 2011 and carry on to Q1 of 2012. Low prices include the 40 inch and 42 inch below $500, 40 inch 3D LCD below $1,000, 60 inch LCD below $1,500 and the 50 inch 1080p 3D plasma below $1,000.

On Monday, Sony Electronics announced they were ending their partnership with Samsung (News - Alert) Electronics which was originally established in 2004 to produce flat screen TVs. The statement released said “the move came as Sony faced deep losses in televisions and [now] faces questions as to whether it can revive the once-core business.”

According to the DisplaySearch, prices for LCD panels won’t begin to stabilize until the second half of 2012. However, LED-backlit LCD TV prices will continue to fall in 2012, but at a slower pace than that seen in the second half of 2011.

Although the TV manufacturing industry has faced a major blow in production and revenue, other companies are looking to enter the market. In was noted by Silicon India News in a recent article that enterprises including Google (News - Alert) and Apple are offering new features for their TVs and Microsoft Xbox will soon introduce live TV.

With falling prices, new competition and no promise of future increase in revenue it will be an interesting new year for the TV industry.


Jordan Eggers has five years of writing experience and has written pieces for various print outlets and websites. Currently living abroad, she is working as a freelance writer and enjoys keeping up-to-date on everything new happening in technology.

Edited by Rich Steeves


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