Taipei, Tuesday, September 30, 2014 21:58 (GMT+8)
mostly cloudy
Taipei
26°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 blog post was provided by the Digitimes Research Tracking team, which focuses on shipment data and market trends in the global mobile device supply chain. Digitimes Research provides quarterly tracking services for market sectors such as Global Tablet, China Smartphone, China Smartphone AP, China Touch Panel, Taiwan ICT and Taiwan FPD. Click here for more information about Digitimes Research Tracking services.

Topics: Page 2

Realtime news
  • Korea vendors developing quantum dot TVs, says report

    Displays | 59min ago

  • Taiwan solar cell makers adopt mixed price adjustments

    Green energy | 1h 16min ago

  • Digitimes Research: No mid-range digital cameras priced at US$300-400 launched globally in 3Q14

    IT + CE | 1h 45min ago

  • China-based foundry house XMC ties up with Spansion to develop 3D NAND flash chips

    Before Going to Press | 3min ago

  • Taiwan market: Acer launches 11 Aspire V Nitro series notebooks

    Before Going to Press | 3min ago

  • Taiwan market: Samsung launches Galaxy Note 4, Gear S and Gear Circle

    Before Going to Press | 4min ago

  • TSMC, ARM announce silicon validation of ARM Cortex CPUs on 16nm FinFET process

    Before Going to Press | 4min ago

  • China PV module makers set tough conditions for re-orders with Taiwan solar cell makers

    Before Going to Press | 5min ago

  • Mitac Holdings to see 3Q14 non-operating profit of NT$191 million from Synnex

    Before Going to Press | 1h 25min ago

  • IC design houses to ramp up new analog ICs for fast-charging

    Before Going to Press | 1h 25min ago

  • China-based IC design houses land fingerprint sensor orders from China handset vendors

    Before Going to Press | 1h 36min ago

  • Taiwan market: InFocus launches M510t smartphone via cooperation with Asia Pacific Telecom

    Before Going to Press | 2h 6min ago

  • TSMC lands new FPGA and SoC orders from Altera

    Before Going to Press | 2h 7min ago

  • JDI sees increased orders from Xiaomi

    Before Going to Press | 2h 7min ago

  • Taiwan market: Studio A to set up stores on university campuses

    Before Going to Press | 2h 8min ago

Pause
 | 
View more

Demand and supply trends in the global sapphire industry, 2014-2015

RESEARCH EXTRAS | Sep 23, 15:58

This Digitimes Research Special Report focuses on the 2014-2015 sapphire application market and industry outlook. Sapphire has been a key component in the LED industry in recent years, but demand is increasingly coming from lens cover applications in market segments...

Analysis of China's revised domestic semiconductor industry goals

RESEARCH EXTRAS | Jul 16, 18:09

Facing a funding shortage for local IC manufacturers, the China State Council in June 2014 published guidelines to strengthen government support for China's semiconductor industry, while stating the short-, mid-, and long-term goals for the related industry supply...

Taiwan LCD monitors – 2Q 2014

TAIWAN FPD | Aug 25, 14:48

Taiwan's monitor shipments grew 10% in the second quarter compared to a low first-quarter base. With panel makers reducing their supply of monitor applications and monitor vendors reluctant to increase their shipments, Taiwan's makers will only see a single-digit...

China smartphone market and industry – 2Q 2014

CHINA SMARTPHONE | Aug 12, 17:41

A delay in the launch schedule for low-cost 4G smartphones resulted in a mere 4.8% increase in second quarter shipments in the China market. However, with telecom operators planning on increasing their subsidies in the second half of the year, demand will be...

Taiwan small- to mid-size LCD panels – 2Q 2014

TAIWAN FPD | Aug 6, 21:18

Taiwan makers' small- to medium-size panel shipments reached 351.4 million units in the second quarter of 2014, up 16.8% sequentially but down 2.8% on year.

MSI X99S GAMING 9 AC
DIGITIMES Marketing Services
DIGITIMES Translation Services
  • 2014 global high brightness LED market, trends and shipment forecast

    For the global LED lighting market, the market size will reach US$25.82 billion in 2014 or a market penetration rate of 23.4%. This is attributable to exponential shipment growth for light bulbs, tubes, and directional lamps.

  • Greater China touch panel shipment forecast through 2015

    This Special Report provides forecasts through 2015 for Greater China touch panel shipments with breakdowns based on technology (glass, film, resistive), application (smartphone, NB and tablet) and by firm.

  • 2014 global tablet demand forecast

    This report analyzes the main players, their strategies and shipments forecasts for 2014, as well as other factors contributing to either growth or decline in various segments within the tablet market, with a particular focus on Apple, Google, Samsung, and Microsoft, along with whitebox vendors.