Netbook boom to end as economy recovers?

Netbooks have grown at an explosive pace since they were introduced to the market back in the middle of 2007. It has been one of the few segments in the computer world that continues to show strong growth in light of a global recession. A big part of a netbooks attraction has been its low cost and, whilst not as powerful as laptops, many find that they can do most day-to-day tasks on these diminutive devices.

However, according to iSuppli, growth in netbooks will inevitably decline as economic conditions improve. iSuppli forecasts that global shipment growth will be 39.6 percent in 2010, eventually falling to 13.1 percent by 2013. Despite the fall-off, these are still impressive numbers and it’s hard to see the big netbook vendors losing sleep over this. These estimates follow shipment growth of 2,424 percent in 2008 and forecast 2009 growth of 68.5 percent. Read more

Netbook LCD shipments expected to quadruple by 2012

Netbook LCD unit sales are expected to hit close to 50 million units per year by 2012 according to market research firm iSuppli. Shipments are expected to quadruple from the 13.1 million units shipped in 2008 to 47.4 million units shipped in 2012. The forecast numbers are for netbook PCs that use TFT-LCD displays in the size range of 7- to 12-inches. Revenue for 7-inch to 10-inch displays will climb from $625.2 million in 2008 to $2.1 billion in 2012. 2009 revenues are expected to break through the $1 billion barrier.

“The rapid expansion of the netbook market represents an attractive opportunity for small/medium display suppliers that are seeing slowing growth in other segments,” said Vinita Jakhanwal, principal analyst, small/medium displays, for iSuppli. “The rise of the netbook segment, along with the advent of the digital photo frame area, has opened up the development of medium-sized displays in the range of 7 to 10 inches.”

The rise of the netbook display segment allows TFT-LCD makers to utilize third- fifth-generation fabs for production, iSuppli said. These fabs, previously employed for larger sized display production, are now fully depreciated, allowing LCD makers to produce netbook displays at a low cost.

The netbook sector is one of the few areas of electronics still showing promising growth amidst the economic downturn. Worldwide unit shipments of netbooks soared by more than 2000 percent in 2008 and are expected to rise by 68.5 percent in 2009, according to iSuppli.