Monitor Backlight Cost Breakdown_1Q12

The penetration rate of LED Monitor in 2011 has only reached 39.7% due to the digestion of old model inventory and attitudes among vendors not as aggressive as expected. With the saturated demand for Monitor products and stabilized annual replacement demand, the enhancement of LED product penetration rate will obviously depend on vendors’ attitudes. With no significant improvement on the overall panel market price in 2011, certain price gap between LED and CCFL product remains. However, entering 2012 the supply of CCFL is expected to gradually converge while vendors’ attitudes towards LED products are bound to be more aggressive such that it is an inevitable trend for this price gap to be rapidly converged.