Taipei, Thursday, September 29, 2016 01:19 (GMT+8)
thunderstorms
Taipei
29°C
Digitimes Research: Fierce price competition revives GG touch panel demand
Jason Yang, DIGITIMES Research, Taipei [Thursday 26 June 2014]

Generally, the touchscreen technology used in a tablet is related to the device's specifications: high-end models usually adopt cutting-edge technologies, first-tier brand vendors' mid-range/entry-level models mostly adopt GFF-based touch panels, and white-box products normally use lower-end technologies. The traditional GG technology has been mostly left to gradually disappear from the sector.

However, Digitimes Research has found that some Taiwan-based vendors have started looking back to GG-based touch panels for their entry-level tablets in order to keep up with the fierce price competition.

Although the relationship between the touchscreen technology and product specifications is not as firmed for handset products as for tablets, Digitimes Research also has found GG technology's shipment proportion has been rising for handset products recently.

Digitimes Research believes GG touch panels' revival is mainly due to its more friendly pricing thanks to excessive capacities and mature technology. Currently, a GG touch panel is about 20-25% cheaper than a mid-range GFF touch panel and its price is even lower than a GF1 touch panel.

Another advantage of the GG technology is its low failure rate compared to those of GFF and OGS technologies. Overseas orders have become an important source of income for entry-level smartphone and tablet players. The time and resources needed to handle defective products returned to China from overseas clients can be a heavy burden for both suppliers and clients. Compared to GFF-based touch panels' about 1-2% failure rate, GG-based touch panels' 0.5-1% rate can significantly reduce the chance of products being returned.

Acer's entry-level 7-inch and 7.85-inch tablets both tablets adopted GFF touch panels from Taiwan-based Shun On Electronic (SOE) in 2013. But amid fierce price competition, the two entry-level tablets will now change to GG touch panels from China-based Holitech.

As for handsets, China-based ZTE and TCL, both of which focus heavily on overseas markets, and China-based CoolPad, which has just entered overseas markets, have adopted GG touch panels for most of their overseas models. Such moves benefit their upstream panel suppliers such as Success Electronics, Shenzhen Laibao Hi-Technology and Holitech.

Content from this article was part of a complete Digitimes Research Chinese-language report that has not yet been translated into English. If you are interested in an English version of the report or wish to receive more information about the report, click here to contact us and we will get back to you as soon as possible. Digitimes Research also provides quarterly tracking services for market sectors such as Global Tablet, China Smartphone, China Smartphone AP, Taiwan ICT and Taiwan FPD. Click here for more information about Digitimes Research Tracking services.

Topics: Page 2

Realtime news
  • Digitimes Research: Global average LTE-based data transfer speed rises unnoticeable

    Mobile + telecom | 1h 52min ago

  • China market: Xiaomi launches Mi 5s, Mi 5s Plus, Mi TV 3s

    Mobile + telecom | 2h 15min ago

  • Sharp buys back office building in Japan

    Before Going to Press | 3h 41min ago

  • Telecommunications and automotive players form global cross-industry 5G Automotive Association

    Before Going to Press | 4h 20min ago

  • NXP establishing security standards for smart cars in China with cross-sector collaborations

    Before Going to Press | 5h 19min ago

  • DRAM spot prices hit 7-month high, says DRAMeXchange

    Before Going to Press | 5h 20min ago

  • Analog IC firm Leadtrend grows shipments for mobile devices

    Before Going to Press | 5h 21min ago

  • Kingston affiliate buys 70% of Innostor

    Before Going to Press | 5h 21min ago

  • TS Solartech to lay off 200 employees

    Before Going to Press | 6h 5min ago

  • Lenovo to downsize personnel by 2%

    Before Going to Press | 6h 5min ago

  • IC design house ITE Tech looks to 12-15% sequential growth in 3Q16 revenues

    Before Going to Press | 6h 6min ago

  • Taiwan ranks 14th in WEF 2016 GCI

    Before Going to Press | 6h 6min ago

  • China market: Xiaomi launches Mi 5s, Mi 5s Plus, Mi TV 3s

    Before Going to Press | 6h 8min ago

  • 53 million Ultra HD TVs to be globally shipped in 2016, says WitsView

    Before Going to Press | 6h 9min ago

  • Wistron NeWeb to post strong sales in 3Q16

    Before Going to Press | 6h 10min ago

Pause
 | 
View more

Taiwan server shipment forecast and industry analysis, 2016

RESEARCH EXTRAS | Apr 1, 15:47

Strong demand from the cloud computing market helped Taiwan's server shipments grow 12.5% on year to break 10 million units in 2015, accounting for 90.7% of worldwide shipments and the percentage is expected to grow to 91.1% in 2016. This Digitimes Research Special...

China smartphone touch-panel industry 2016 forecast

CHINA SMARTPHONE | Feb 6, 17:23

In 2016, China's smartphone panel capacity is expected to increase steadily, with BOE and Tianma expanding 6G capacity and GVO and Truly Optoelectronics increasing their share of handset panel production. This Digitimes Research Special Report analyzes the key...

Taiwan handsets – 2Q 2016

TAIWAN MOBILE DEVICE | Sep 2, 11:36

Taiwan's handset shipments slipped 13.5% sequentially and 45.4% on year in the second quarter of 2016.

China smartphone AP shipments - 2Q 2016

CHINA SMARTPHONE AP | Aug 31, 18:49

Shipment of mobile application processors for smartphones and tablets in the China market are expected to grow 18.6% in the second half of 2016.

Global tablet market – 2Q 2016

GLOBAL TABLET | Aug 29, 18:33

Worldwide tablet shipments dropped 9.4% sequentially and 13.2% on year to total only around 40 million units in the second quarter of 2016.

Iotexpo
Display panels for wearable devices
The transition to 4k TV - UHD TV market forecast, 2014-2017
  • Wireless broadband developments in Southeast Asia markets

    As of 2013, the 10 ASEAN nations had a total of over 700 million mobile subscriptions, with the CAGR from 2003-2013 reaching 24%. This Digitimes Research Special Report analyzes the various mobile broadband markets in ASEAN and looks at the respective trends in 4G LTE development for those markets.

  • 2015 global tablet demand forecast

    This Digitimes Research Special Report provides a 2015 forecast for the global tablet market and analyzes the strategies of key market players such as Google, Apple, Intel, and Microsoft.

  • 2015 China smartphone panel trend forecast

    This Digitimes Research Special Report analyzes the strategies of key China-based major panel makers BOE, Tianma and IVO for attacking the different market segments through technology and pricing, and their relationship to local vendors Huawei, Lenovo, ZTE, Xiaomi and Coolpad.