The display driver
market is estimated to grow from USD 7.1
billion in 2018 to USD 9.1 billion by 2023, at a CAGR of 5.1% between 2018 and
2023.
The market is growing due to the increasing demand
for OLED and flexible displays, adoption of highly priced and advanced display
drivers, and growth in automotive display market. Growth in the use of 4K and
8K televisions and availability of UHD content, and evolving role of DDICs in
individual components and single integration chips also drive the growth of the
market for display driver ICs.
Display driver solution providers are closely
watching the display panel market to establish growth strategies mainly because
of emerging display technologies such as micro-LED and true quantum dot, which
will play crucial role in the display panel market in far future. Having a
broader product portfolio catering to specific customer needs for OLED and LTPS
displays, specific display devices, display panel size, touch displays, color
gamut, and others is the major strategy following by the leading players in
display driver market. Companies have continuously launched new products or
expanded their existing product capabilities to stay ahead in highly
competitive market. Acquiring new customers and establishing manufacturing
capabilities in customer proximity has also been the major focus of leading
display driver solution suppliers.
The OLED display panel market is expected to grow
rapidly during the forecast period,
which will eventually increase the demand for high-performance display driver
ICs and subsequently drive the market toward high growth. OLED and flexible
displays are trending in the display market due to their increasing adoption in
smart devices such as smartphones, wearables (smartwatch, AR/VR HMDs), and
smart TVs. South Korea accounts for more than 95% of the total OLED display
panel production, owing to which demand for a majority of OLED-based display
drivers is emerging from South Korea. With huge investments from Samsung and LG
Display in the OLED technology and their production expansion, South Korea is
expected to dominate the display driver market for OLED displays, in terms of
size, during the forecast period.
The display driver market for wearable devices
(smartwatches and AR/VR HMDs) is expected to grow at the highest CAGR between
2018 and 2023. Wearables have
emerged as a new driving segment in the global display panel market and are
used in applications such as consumer, infotainment, military, fitness and
gaming, industrial, lifestyle, and healthcare. Demand for smart wearables,
especially the AR/VR HMDs, is expected to increase rapidly during the forecast
period and subsequently boost the display driver market.
Demand for a majority of display drivers comes for
LCD and OLED displays.
These displays are produced in Asia Pacific, especially in China, South Korea,
Japan, and Taiwan. A large number of operations related to LCD displays are
being shifted to Mainland China owing to favorable government policies and low
cost associated with logistics operations concerning the delivery of end
products in the display panel market. As Samsung and LG Display are forgoing a
part of their LCD display panel manufacturing operations in favor of OLED
display panels, it is expected to create a void in the LCD display panel
market. Chinese players such as CSOT, BOE Technology, and Tianma
Micro-electronics attempt to fill this void by opening new LCD display panel
manufacturing plants in China. These factors are expected to contribute to high
growth of the display driver market in China during the forecast period.
Construction of Gen 6 and above facilities by Chinese players, with government
support in terms of finance and land offerings, can have significant impact in
the global display panel market. This will increase the production of LCD and
OLED displays in China and subsequently increase the demand for display drivers
for a majority of applications.
The construction of new OLED and LCD panel
manufacturing facilities, development of display drivers based on chip-on-film packages, and innovations in TDDI-type
display drivers are the major opportunities in front of display driver
manufacturers. Smartphone, television, automotive, and smart wearable segments
are expected to offer growth opportunities to display driver manufacturers in
the market. Increasing demand for display panels with high resolution, fast
response time, and better picture quality is expected to influence the display
driver market toward major innovations and subsequently significant growth.
Display driver solution providers are closely watching the display panel market
to establish growth strategies mainly because of emerging display technologies
such as micro-LED and true quantum dot, which will play crucial role in the
display panel market in future.
