Top 10 monitor brand shipment grew 3.7% MoM in Dec09

According to WitsView’s top 10 monitor brand survey, total monitor shipments reversed the previous trends with 3.7% growth to 12.08 million units in December 2009; this figure outperformed WitsView’s previous projection. The main reasons behind this growth are: first, the price increase in monitor panels has been confirmed; hence, downstream customers are placing their orders in advance. Therefore, as top 10 monitor brand vendors restocked, the impact of slow season effect on shipments was reduced. Second, striving to achieve their annual shipment target, AOC’s (the branding subsidiary of TPV) shipments hit a record high growth of 52%, a tremendous boost to the overall shipment growth. However, the current end-market demand for IT products is not as strong as that of upstream panel market; sales of all major regional markets reflected a flattish performance. However, with upstream panel capacity allocated first to the production of LCD TVs, and the delayed delivery of several components, upstream panel makers may still be able to sustain the monitor panel price increase with the limited panel supply. WitsView projects that shipments of top ten LCD monitor brands will rise by 1.4% QoQ in 1Q10.

In terms of brand vendors’ respective performance, AOC continued to post significant growth in December, its shipments surged by 52% MoM. Close attention should be paid to AOC’s inventory build-up in channels – if end-market sales fall below expectation, AOC may face the issue of inventory clearing. With continued rise in panel prices, several vendors are pulling-in products in advance to prevent rising cost; for example, shipments of Lenovo and Philips increased by 22.2% MoM each, and Dell rose by 13.2%. Shipments of other brand vendors declined due to year-end inventory count.

Worldwide top 10 brand shipment by unit in December 2009


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