Let's begin with the basics. LCD displays utilise two sheets of polarising material with a liquid crystal solution between them. An electric current passed through the liquid causes the crystals to align so that light cannot pass through them. Each crystal, therefore, is like a shutter, either allowing light to pass through or blocking the light.
Since computers made their way into our homes and offices, CRT (Cathode Ray Tube) displays have been the norm. In fact, even today in India, they remain the top choice. Can Liquid Crystal Display (LCD) monitors that have grown in popularity across the world take a foothold in India?
Those With It
The gaming community has driven, to a large extent, recent advances in personal computing, and most high end
consumer components today are targeted at gainers. LCD monitors became a hot commod ity due to the slim profile and light weight, making them ideal for carrying and transport. However, one of the longest issues dodging LCD monitors is their inability to achieve a low latency, fast pixel response time, which is responsible for the ghosting effect.
CRT monitors have a sub 1 millisecond response time, and that's why there has been a slower adoption of LCDs for entertainment and gaming purposes. LCD panels with 12ms refresh rate have just begun to take over as the performance models, and manufacturers have already announced their 8ms line ups. BenQ seems to have beaten the competition as they debuted, in November 2004, the world's first 8ms LCD monitor.
Says LG India's Deputy GM (Sales and Marketing), IT Products, R Manikandan, "LCDs will never replace CRT monitors in a price sensitive market like India. When CRTs are available at half the cost of the LCD, it will take sime time for the latter to make inroads into the home segment."
Hot Or Not?
It has been four years since LCD panels entered the mainstream computer
display
market in India but till date, thanks to price
constrraints, remain out of reach for the
consumer. Ashish Bakshi, country head, BenQ
India, who also manufacture LCD monitors,
"Currently, in India, the LCD monitor is
viewed as an aspiration for individuals and a
necessity for BPOs and other MNCs thanks to
the response time. LCD monitors will eventu¬
ally gain popularity in the top 10 commercial
cities of India. Further, with the home
segment gaining momentum, we believe that
companies will now focus more on innova¬
tion in terms of aesthetics, response time and
also the price to iron out the problems."
A recent Gartner study reveals that China's share of Asia/Pacific original design manufacturer (ODM) revenue from notebook PCs, motherboards, LCD monitors and optical disk drive production is increasing. It will rise from 57 per cent in 2003 to 84 per cent in 2008.
Why LCD?
Contrary to belief and despite the existing price barrier, LCD panels have quite a few advantages over CRT monitors, one of
the main ones being they consume
less power and hence
lower running costs.
Secondly, they are more forgiving on the eyes in a well lit room and are your best companions for long periods of time and fatiguefree working.
Evidently, they take up less space than CRT monitors and are the preferred choice in corporate off ices. LCD monitors are also relatively distortion free and are not plagued by convergence and other distortions that are a commonplace with CRT monitors.
Dhananjay Shah, director, Pure View, a display company predicts that LCDs will replace CM in India, in a little over two years. "Timing is key," he says, pointing out that LCD prices are likely to fall towards the middle of next year. "This is primarily because this is an evolving technology and with newer products like plasma displays entering the market, LCD prices will definitely be slashed."
Interernationally, LCD prices
fell like never before in 2004,
driven mostly by the surplus
generated due to low sales.
However, this wasn't
reflected in the Indian market
largely due to the import duties
levied on such products.
Needless to say, this fall in prices fuelled sales, resulting in larger volumes
and demand going up.
"Worldwide, LCD monitor prices have fallen in the last few months largely due to the drop in panel pricing. However, this has currently stabilised to a certain extent," says Bakshi.
In India, though, the sole reason for poor penetration of LCD panels is the high prices. Despite the recent fall in prices, LCD monitors continue to cost more than what the consumer is ready to pay.
A 14 inch LCD monitor, for example
about Rs 12,000 whereas a 15 inch retails for i
about Rs 13,500. Compare this with the prices
for CRT monitors at Rs 4,500 for a 15 inch and
Rs 6,500 for a 17 inch and the puzzle is solved.
CRT monitors will continue to hold sway in I
the Indian market till such time that the
price difference is vast.
However, over the past two years, 14 and 15 inch monitors priced around Rs 5,500 and 6,700 were staple products for dealers and manufacturers alike. Priced upwards of Rs 8,500, 17 inch monitors were the occasional treat while 19 and 21 inch monitors, at Rs 16,000 plus were the festive feast! A price drop around December 2003 pulled down the price of 17 inch monitors to Rs 6,500 and eventually to Rs 5,500 in 2004 resulting in good sales. In fact, they sold so well, that by the end of 2004 there was an acute shortage of 17 inch monitors in the market!
The Future
Over the last two years, prices of LCD panels have gone down significantly. If this trend continues this year, LCD panels might just have a chance to go past CRT monitors but only if the price drop resembles that of the 17inch monitor. As Ashish Bakshi sums it up, "The LCD revolution is not on us yet, but we are at the threshold on one for sure."
The market for LCD monitors in India was estimated to increase to one lakh units by 2003, a five fold increase from 2002. This is expected to jump further to four lakh units by 2004 according to industry sources.
The big companies have already set up plants in India for indigenous production of LCD monitors to cut on the export cost.
Sales of LCD monitors will rise globally, overtaking revenue from sales of conventional CRT (cathode ray tube) monitors, according to IDC. The predominant LCD size now is the 15 inch screen, but the market will shift to 17 inch screens soon. The switch over is expected to take place in 2005.
