Market Insight

Competition between LED video displays and LCD videowalls promotes growth among indoor applications

August 01, 2019  | Subscribers Only

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Many signage manufacturers offering both types of videowall products align their portfolio offerings for these displays with different intended markets and positioning. Depending on the application, traditional benefits of LCD videowalls include lower cost, standard sizes, and superior image quality. On the other hand, LED videowalls offer high brightness, no bezel gaps, and can be configured in custom sizes, albeit at a much higher cost and power consumption than that of their LCD counterparts.

Upon recent studies comparing videowall technologies, our team completed a more in-depth analysis based on overall display area to further evaluate the competitive landscape between LED video displays and LCD videowalls. For this comparison, IHS Markit utilizes display area in square meters to analyze the overall indoor LED video displays and LCD videowall market. We also go one step further to separate indoor fine pixel pitch (FPP) LED video display area and compare it to ultra-narrow bezel LCD videowall display area.

Hence, IHS Markit assumes the closest the apples-to-apples comparison is within common applications where both LCD videowall and indoor fine pixel pitch LED video displays compete with one another. Signage and information displays, along with interactive touch displays, are excluded in this comparative analysis because most of these LCD products are under 100”. Outdoor LED video displays are also not included because they are typically not fine pixel pitch products, and the LCD videowall market does not have a strong penetration in the outdoor market.

Our Analysis

  • In 2017 and 2018, LCD videowalls maintained a dominant position over LED video displays with strong presence in retail, command-and-control rooms, transportation, and public spaces based on their high resolution and touch functionality. One of the main benefits of LCD videowalls was their highly competitive cost, since prices for LCD videowall panel sizes were rapidly falling due to huge Gen 8 capacities, primarily for 46-inch, 49-inch and 55-inch screen sizes.
  • The introduction of bezel-to-bezel LCD videowalls under 0.99mm is now the current race among leading display manufacturers, with many Chinese panel makers also joining the LCD videowall panel competition. However, along with the decreasing bezel widths, the display also becomes increasingly fragile and more difficult to install, one benefit that fine pixel pitch products offer over LCDs.
  • As many LED video companies continued to invest in fine pixel pitch technology, these displays began entering the indoor signage market, replacing projectors in large venues and capturing share from LCD videowalls in indoor applications. Many government initiatives have also generated double digit growth for indoor LED video displays in certain regions. By the end of 2019, IHS Markit expects overall indoor LED video displays to overtake LCD videowalls in area shipment base.

  • However, IHS Markit believes the price of extreme narrow LCD videowalls is the biggest benefit to preserve their longevity in the market. In terms of display area, extreme narrow bezel LCD videowalls are forecasted to remain 56% higher, on average, than fine pixel pitch LED videowalls from 2019 through 2021.
  • Fine pitch LED video displays now eliminate the bezel gaps that plague LCD videowalls, making them truly seamless without any viewing disruptions. Another advantage of using LED displays for videowalls is their highly customizable options, with a wide range of sizes allowing for these displays to be uniquely tailored for specific installations.
  • Many high-end LED video display brands try to differentiate themselves from low-cost rivals through different certifications such as TAA compliance or innovative features such as HDR functionality or advanced driver ICs.

  • FPP LED video displays generate higher revenues as compared with LCD videowalls. As the presence of narrow pixel pitch LED is becoming increasingly dominant among indoor applications, IHS Markit expects LED video displays revenue to increase significantly from 2018 onward.
  • IHS Markit forecasts the average price of indoor LED videowall displays (in terms of 1 sqm) to decline moderately through 2019 and 2020, with ASPs comparable to LCD videowalls by 2022. Advancements in pixel-pitch innovations, reduced power consumption, along with price erosion is continuing to make LED video display technology more affordable for a wider spectrum of indoor applications.

All data extracted for our analysis above is based on the latest iterations of the LED Video Market Tracker and Public Display Market Tracker. Both of these reports are included in the Digital Signage and Professional Displays Intelligence Service, which provides an in-depth coverage of the public display market with detailed databases and market insights. 

Research by Market
Large Displays
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