Market Insight

Global LED video display market revenues reach $1.8 billion in Q4 2019 and record 34.7 percent year-over-year growth in 2019

March 25, 2020  | Subscribers Only

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Worldwide LED Video display market revenues peak in Q4 2019 to $1.8 billion, recording 15.9 percent quarter-over-quarter growth. With the total market valued at $5.7 billion in 2019, Unilumin leads global LED Video display revenue market share, according to Omdia. During the same period, Absen tops overseas (global market excluding China) revenues, while Leyard maintains the lead in fine pixel pitch (FPP) revenues.

Unilumin is consistently ranked among the top two brands for revenue market share for all pixel pitch categories, with the only exception of >=20.00mm. The brand holds 16.9 percent of the global revenue share in 2019.  

Absen leads the overseas market (global market excluding China), with 17.2 percent revenue share.  Absen benefits from its strong position in the rental market with over 31.1 percent of shipments in 2019.

Ranked second overall, Leyard generates 64.4 percent of its 2019 revenue from <=1.99mm FPP category, increasing its portion from 55.8 percent in 2018. Leyard remains the global leader for FPP, both in revenues and units. A fierce battle wages on the <=0.99mm category between Leyard and Unilumin. Together these two brands generate 70.6 percent of <=0.99mm pixel pitch revenues in 2019.

An increasing number of traditional LCD companies have joined the FPP LED video band wagon, further intensifying the competition. Earlier in 2019, Samsung announced the availability of “The Wall Luxury” for high-end residential use, with further expansion into commercial space with the introduction of “The Wall for Business” at 2020 ISE last month. 2020 is going to be a promising year for FPP developments including Micro LED, as competition for finer pixel products intensifies.

In 2019, LED video display revenues recorded a spectacular 34.7 percent year-over-year growth, mainly driven by the expansion of finer pixel pitch categories. 1.00-1.99mm has now taken the lead generating over $1.7 billion in revenues in 2019, surpassing 3.00-4.99mm, which led the market in 2018. Revenue of 1.00-1.99mm has grown 64.5 percent year-over-year, driven by exceptional demand in China.

Nevertheless, with 23.9 percent of total shipments, 3.00-4.99mm is now the leading pixel pitch category, surpassing 5.00-9.99mm in 2018. 3.00-4.99mm pixel pitch category benefits from a versatile range of product offering from rental, outdoor and indoor. As such, this pixel pitch category has seen an increasing number of brands investing in this category.  

On the other hand, 2.00-2.99mm has gained traction in all regions and recorded a spectacular 174.4 percent year-over-year increase in shipments, and 80.7 percent year-over-year increase in revenue amounting to $939 million in 2019. This pixel pitch category has long been described as extremely competitive due to the increasing variety of products available, ranging from rental, indoor and outdoor. 

Global <=0.99mm shipments remain marginal with 0.2% of total 2019 shipments, yet demand doubles year-over-year

In 2018, only a limited number of China-based brands offered <=0.99mm pixel pitch products. In 2019, a greater proportion of brands introduced sub 1.00mm products. In 2019, revenue share of <=0.99mm remains low at 2.3 percent, and yet records one of the strongest expansions with 60.5 percent year-over-year growth.

China and North America dominate <=0.99mm pixel pitch market, representing 90.3 percent of the demand. Demand in China is driven by state-sponsored refurbishments of control rooms and the development of smart cities. North America, on the other hand, focuses on the corporate vertical. In the coming quarters, Omdia expects Western Europe, Asia Pacific and Eastern Europe to thrive. As mass production started in 2019 and the average selling price progressively becomes less prohibitive, Omdia predicts more developments in this product category.

China dominates LED video display revenues with 40.2 percent share in 2019; COVID-19 to disrupt production and supply chain in 2020

China is the biggest market for LED video, representing $2.2 billion in total revenues in 2019, however, its growth has started to slow down compared with previous years. Average sellling price of sub 5.00mm pixel pitch categories have dropped significantly. As the number of brands in the LED video space increase, competition and price pressure continue to mount. The Chinese market has progressed from top cities and capital markets to smaller cities and rural areas. Moreover, the demand for mid to low end products in the country has begun to develop. Nonetheless, China recorded a 51.7 percent year-over-year revenue increase in 2019. 

North America and Western Europe follow with $967 million and $772 million in revenues, respectively. These two regions represent high demand for indoor as well as outdoor applications and are better equipped with channel and system integrators’ education. Renovations and new installations continue to drive the market demand. However, the United States which constitutes majority of North America has been hit by the Tariff War with China, increasing the price of components and final products.

Adding to the adverse situation are the latest developments of COVID-19. The outbreak of a new coronavirus disease was first reported in China in December 2019. Following the first announcement of public lockdown in China in January 2020, the LED video industry feared short term impacts of production and supply chain issues. Within China the situation seems to be getting under control, however, the spread of virus continues to hamper mobility and businesses across countries in Asia Pacific, Middle East and Africa, North America and Western Europe. On March 11, 2020, the WHO (world health organization) declared COVID-19 a pandemic as the number of cases continue to rise across the globe.

With large portion of LED video displays supply chain and manufacturing dependent on China, 2020 is expected to be a tough year for the industry. Greater impact will be felt during the first half of the year as supply chain issues and economic pressures will push sales cycles to second half of 2020 continuing into 2021.

The LED Video Displays Intelligence Service

The Omdia LED Video Displays Intelligence Service is a comprehensive set of data and analysis, which provides market insights on multiple aspects of LED video displays technology and industry trends. The goal of the service is to provide in-depth view of worldwide LED video displays industry for better decision making and business planning. The service includes quarterly Market Trackers presenting history and forecast databases and analysis, as well as reports that address key focus areas and industry-level analysis.


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