Prices For Flat Panel TVs Drop As Competition Intensifies

PMA Sell-Through Research Finds Consumers Choose Price And Performance Over Thinness As Technology ìShow-Downî Looms Between FPD And RPTV

9-May-05

Pacific Media Associates (PMA) reports that the street price for 40î-44î flat panel televisions dropped an average of 13% from 4Q2004 to 1Q2005. Prices for 40î ñ 42î flat panel LCD televisions had the most dramatic decline, falling 18% during this period. Prices for 42î enhanced-definition plasma televisions fell 12.6%, and 42î-43î high-definition plasma television prices dropped 8.6%.ìAverage street prices for enhanced-definition plasma televisions are now essentially equivalent to similarly sized RPTVs,î says Rosemary Abowd, the PMA Vice President who directs PMAís research on flat panel displays and rear projection. ìHowever, those plasma televisions do not offer true high-definition capability. For about $2000, a consumer can have a choice between a microdisplay-based high-definition RPTV or a thin, low-definition plasma set. The question becomes whether or not the consumer prefers ëthinnessí over high-definition support or vice versa.îThe gap in price between RPTVs and high-definition flat panel televisions remains. ìIf a consumer is willing to come up with about $4500, they can get a high-definition plasma set, and for about $5000 they can get a high-definition LCD television. The question is how much consumers are willing to pay for a ëskinnyí TV,î adds Abowd.For more information, visit http://www.pacificmediaassociates.com

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