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Wednesday, June 8, 2011

CMI panel supply for iPad 2 to increase in 3Q11

Rumors have been circulating about Taiwan-based TFT LCD panel maker Chimei Innolux (CMI) supplying touch panels to Apple to be certified for iPad 3. According to industry sources, CMI's June shipments of panels for iPad 2 are targeting 400,000-500,000 units.

Nevertheless, according to upstream glass makers, CMI's demand for small- to medium-size glass is still fairly low and CMI's June shipments are estimated to be around 30,000-40,000 units only. This is still far away from the targeted shipments of 400,000-500,000 units set by CMI.

CMI stated its emphasis on developing in-plane switching (IPS) technology and has been expanding the technology in touchscreen applications.

CMI estimates that beginning in July the monthly capacity for iPad 2 panels will increase above one million units.

Apple has increased the production of iPad 2 since June. Taiwan-based touch module suppliers for iPad 2, TPK Holding and Wintek, have almost reached the targeted 3.5-4 million units in monthly shipments. CMI will need to increase shipments to remain a supplier for Apple, said industry sources.

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