Taipei, Tuesday, December 1, 2015 03:56 (GMT+8)
mostly cloudy
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.

Realtime news
  • UK-based Consequential Robotics unveils MiRO, says TAIROA

    IT + CE | 4h 38min ago

  • BenQ applying Productivity 4.0-based smart factory solutions to Qisda factory

    Displays | 4h 39min ago

  • Opto Tech sees booming shipments of LED display panels

    LED | 4h 42min ago

  • Open bids for 2,500-2,600MHz bands increase to NT$25.275 billion, says NCC

    Mobile + telecom | 4h 43min ago

  • Digitimes Research: Global application processor market to rise 8.5% in 2016

    Bits + chips | 4h 47min ago

  • Samsung continues to decrease TV production capacity in 2015

    Displays | 4h 55min ago

  • TSMC to dispose of Xintec shares

    Bits + chips | 4h 57min ago

  • 158 workers in Hsinchu Science Park laid off in November

    Before Going to Press | 5h 11min ago

  • Samsung to focus more on value-added flagship TVs to offset weakening TV demand

    Before Going to Press | 6h 29min ago

  • Samsung showing signs of surpassing LG Display in revenues

    Before Going to Press | 6h 30min ago

  • Taiwan panel makers calling on China government for component tariff reductions

    Before Going to Press | 6h 31min ago

  • China LED lighting production in 2015 valued at CNY210.5 billion

    Before Going to Press | 6h 31min ago

  • Digitimes Research: Global tablet shipments to drop less than 5% in 2016 thanks to large-size models

    Before Going to Press | 6h 31min ago

  • LDK Solar may be forced to sell solar-grade silicon wafer business

    Before Going to Press | 6h 32min ago

  • LDK Solar's bankruptcy is due to too high debt ratio, says chairman

    Before Going to Press | 6h 33min ago

  • TSMC to sell 5.1% of Xintec

    Before Going to Press | 6h 33min ago

  • Intel pushing new entry-level PC processors in 2Q15-3Q15

    Before Going to Press | 6h 34min ago

  • Digitimes Research: Global application processor market to rise 8.5% in 2016

    Before Going to Press | 6h 35min ago

  • Wistron lands cloud computing service orders from airport in Southeast Asia country

    Before Going to Press | 6h 35min ago

View more
China Internet TV and OTT market developments
2015 China smartphone panel trend forecast
Demand and supply trends in the global sapphire industry, 2014-2015
  • 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.