Taiwan makers' shipments of small- to medium-size panels dropped 19.1% on quarter in the first quarter of 2015 to 288 million units and are expected to grow 12.7% on quarter in the second quarter, according to Digitimes Research.First-quarter shipments took a hit due to the time period traditionally being a slow time for makers coupled with reserve adjustments from China-based customers.Shipments for handset panels and tablet panels dropped 23.6% and 28.3% respectively in the first quarter while shipments for a-Si panels used in cameras increased 15.2%.The makers' shipments will increase 12.7% on quarter to 325 million moving into the second quarter, down 7.5% on year. The drop will come from decreased shipments for feature phones in addition to increased competition from Japan Display's (JDI) LTPS TFT LCD production advancements. China-based Tianma and BOE will also play bigger roles in the entry-level to mid-range smartphone markets.Shipments for panels used in DVD and digital frame applications will grow 16.4% and 14.5% respectively in the second quarter while those for vehicle applications will rise 14.7% as the four major Taiwan panel makers increase their customer layouts. Handset panels are expected to account for 75.1% of the makers total shipments during the quarter, with total shipments increasing 13.7% on quarter.In terms of makers, Innolux expects to see a 22.9% increase in small- to medium-size panel shipments in the second quarter due to increased orders from international vendors while HannStar Display will only see a 5.7% increase due to focusing on orders from white-box vendors, added Digitimes Research.

Shipments of smartphone-use application processors in China are expected to reach 122 million units in the second quarter of 2015, up 17.6% sequentially and 18.4% on year, according to Digitimes Research.Among the top-three AP suppliers in China, MediaTek, which saw its market share slide to 46.8% in the first quarter of 2015 due to competition from Spreadtrum Communications in the 3G segment, is expected to ramp up its share to 48.4% in the second quarter, buoyed by rising shipments of LTE and 3G products, said Digitimes Research.Although Qualcomm will see its AP shipments to China continue to increase in the second quarter, its share will decline to 21.3% in the quarter, from 23.6% a quarter earlier as the pace of its product updates was not as fast as that of MediaTek's.Spreadtrum managed to ramp up its share to 17.4% in the first quarter but is expected to see its share slip to 15.2% in the second quarter as shipments of its WCDMA solutions will be affected by the offerings from MediaTek.In terms of AP architecture, ARM's Cortex-A53 CPUs accountedfor 36.1% of total smartphone APs shipped in the China market in the first quarter, with the ratio likely to climb to 43.1% in the second quarter, Digitimes Research estimated.

Global notebook shipments are expected to stage a rebound in the second quarter of 2015, reaching a sequential growth rate of 11%, while narrowing the on-year decline rate to 1.2% compared to a 4.7% recorded in a quarter earlier, according to Digitimes Research.Strong shipments from Apple and Chromebook vendors will contribute over 50% of the second-quarter growth, with MacBook products to register a 40% sequential growth and an over 50% on-year increase. Meanwhile, Chromebook shipments are expected to record a 60% on-quarter growth and a 55% on-year gain in the second quarter.However, excluding MacBooks and Chromebooks, global notebook shipments in the second quarter will edge up only 5% sequentially, but down 8.7% on a yearly basis.Powered by the launch of 12-inch MacBook, Apple is expected to ship five million notebooks in the second quarter, enabling it to compete with Dell for the third position in the global notebook ranking. Meanwhile, Lenovo is expected to ramp up its notebook shipments by over one million units in the quarter and maintain its number one position. With regards to notebook ODMs, Quanta Computer and Compal Electronics are expected to boost their shipments by over 15% sequentially in the second quarter, while Pegatron will enjoy a 10% sequential growth. But Wistron and Inventec are likely to suffer a setback during the same period, Digitimes Research estimated.

Taiwan-based ODMs shipped 18.799 million LCD monitors worth US$2.155 billion in the first quarter of 2015, with the shipment volume dropping 15.5% on quarter and 6.5% on year. Shipment value slipped 13.8% and 1.2% respectively, according to Digitimes Research.20-inch and above models accounted for 63.1% of shipments, 18- to 19-inch 34.2%, 17-inch and 17-inch W 1.3%, 15- to 16-inch 1.4%, Digitimes Research indicated.TPV Technology was the largest ODM accounting for 54.9% of shipments, followed by Qisda with 18.4%, Foxconn Electronics 17.7%, Wistron 8.7% and Compal Electronics 0.4%.

HTC and Taiwan-based ODMs together shipped 17.6 million handsets in the first quarter of 2015, decreasing 30.3% on quarter but increasing 8.4% on year. 16.1 million units were smartphones, slipping 26.3% on quarter but rising 21.7% on year, according to Digitimes Research.WCDMA models accounted for 80.4% of the shipments, CDMA 2000 15.1% and GSM 4.5%, Digitimes Research indicated.HTC accounted for 28.4% of the shipments, followed by Foxconn Electronics and its subsidiary FIH Mobile with 20.4%, Compal Electronics 19.3%, Wistron 11.9% and Arima Communications 11.1%.

According to research conducted by the Ministry of Economic Affairs' Bureau of Energy, power consumed by motor equipment and applications account for over 50% of overall electrical power consumption. In addition, industrial motor equipment and applications account for over 70% of industrial electrical power consumption. This is why the development of motor products towards energy conservation has become a sure trend. In light of this, Tatung has developed the IE3 premium-efficiency motor.It is often said that "motor is the mother of machinery, while machinery is the mother of industry." since motors are the core part of various types of power machinery. As early as 1949 Tatung already understood the importance of motors, which is why Tatung introduced related technologies from Westinghouse of the United States and Toshiba of Japan to establish its own development capabilities in this area. In 1974, Tatung commenced operation of its factory in Sanhsia and began producing motor products using automated equipment.Today, Tatung's Sanhsia factory produces a wide range of motors, with horsepower ranging from 1/4HP to 30,000HP. The types of motors produced by Tatung include single-phase motors, three-phase motors, high voltage motors, low-pressure motors, generators, high-efficiency motors, explosion-proof motors, gear motors and speed variators, variable-frequency drive motors, elevator motors, pump motors, as well as many other types of special motors for specific applications.It is also worth mentioning that Tatung was the first motor manufacturer in Taiwan to obtain the CNS mark and has also obtained various other certifications: NEMA and UL in the United States; T MARK and JIS in Japan; CSA in Canada; the CE MARK in the European Union; GB in China; ISO-9001, ISO-14001, and OHSAS 18001-2007. In 2010, Tatung even launched the world's first motor product with carbon footprint verification, which has helped it solidify its foundation in the global market.In summary, Tatung has been developing motors for over 60 years, and its products are sold in virtually every corner of the world. Tatung also has many plans for developing motors for overseas markets going forward.According to Book Kuo, Vice Director of the Domestic Sales Division of Tatung's Motor Business Unit, "Ever since Tatung first started engaging in the motor business, efficiency has been one of its focal points. Tatung has always worked to use less material to produce higher horsepower. Today, due to trends towards energy conservation as well as carbon reduction, virtually every country is stressing the ability of motors and systems to conserve energy. This is a testament to the value of the IE3 motor or even the permanent magnet servo motor. Permanent magnet servo motors which use servo system for control are different from variable- frequency drive motors that use inverters as their basis for control. Permanent magnet servo motors have higher accuracy in terms of control and therefore are more capable of increasing efficiency in terms of energy conservation."Years of R&D has laid the foundation for the development of high-efficiency motorsBack when competitors were still focusing on IE1+, Tatung was already conducting R&D on IE3 premium-efficiency motors. In the early stages of IE3 development, Tatung was alone at the cutting edge and faced many obstacles, but it was able to overcome those obstacles. Now, countries including the United States and Japan, are making the use of IE3 motors mandatory due to energy conservation requirements. Tatung's line of IE3 products, including products that comply with or even exceed CNS14000 (version 2012) standards are fully ready to meet the needs of this unstoppable trend.Tatung's IE3 motor products have four primary characteristics, says Book Kuo. Firstly, they are "highly efficient," not only reducing process loss, but also decreasing copper and iron loss due to the use of high quality silicon steel. Secondly, they are "low magnetic flux," suppressing temperature rise as well as reducing loss by reducing magnetic flux densities. Thirdly, they have "high air volume and low-loss fans," which increase heat dissipation and reduce mechanical loss. Finally, they have "new configuration," meeting requirements concerning high strength, minimal temperature rise, and low vibration by increasing the heat-dissipation surface area and reinforcing the motor frame.In addition to high-efficiency motors, Tatung is also one of the few vendors that possess the ability to produce custom-made large high voltage motors. Kuo also says that although the horsepower range is usually between 1/4HP to 30,000HP, Tatung is capable of producing specific large motors for all kinds of operations, including desalination plants, large cement plants, and big fans and blowers applications, with even higher load requirement.There are a number of reasons why Tatung has been able to successfully develop such products. It is able to take advantage of CAE analysis in its R&D and design efforts to produce high-efficiency, high power factor, and high horsepower products, as well as products with long lifetime and optimized bearing strength structures. Furthermore, Tatung also has the largest vacuum pressure impregnation (VPI) system, which can prevent coronas at high voltages and ensure a long product life for the motor.Also, the trend towards low carbon emission and zero pollution has fueled the popularity of electric vehicles. Tatung has teamed up with research institutions (including ITRI and the Metal Industries Research & Development Center) and many vehicle manufacturers to develop EV motors. Products developed include motors for forklifts, dune buggies, pickup trucks, electric yachts, and electric buses. These products are already in production and available on the market, and there have already been orders for them.According to Kuo, Tatung's motor business is based in Taiwan and is actively promoting its visibility globally by participating in trade shows and exhibitions. Tatung has established operations with local partners in Thailand, Malaysia, Canada, and Europe, and has established branches in Singapore, Japan, and the United States to expand its business. Tatung has also established strategic alliances with maintenance plants in India in order to expand its post-sales services there and is actively pursuing related certifications in the Middle East. Furthermore, Tatung is also planning to establish sales locations in Saudi Arabia in hopes that the products of its successful R&D efforts can be exported overseas so that they can be enjoyed by people all over the world.

Taiwan makers' shipments of large-size (9-inch and above) TFT LCD products are expected to reach 63.19 million in the second quarter of 2015, up 5% sequentially but down 3.3% on year, according to Digitimes Research.Taiwan makers are seeing declines for their monitor panels while notebook demand is conservative. China panel makers such as BOE meanwhile are increasing production of monitor panels, which is expected to cause Taiwan makers' overall shipments of monitor panels to drop 19.6% on year.In the second quarter the makers expect steady demand for TV panels, however, and notebook panel demand will remain flat. Shipments for tablet panel applications are expected to take a hit due to decreased orders from Samsung Electronics and Apple.Global TFT LCD panel demand is expected to only grow 2.8% on quarter in the second quarter due to lagging demand for notebook and tablet applications while TV and notebook panel reserves remain high. Additionally, large-size panel production capacity is expected to only grow 1.3% on quarter followed by 3.2% growth in the third quarter of the year and 4.4% in the fourth quarter, added Digitimes Research.

In 2014, there were only two Japan-based companies – Toshiba and Renesas – among the top-10 semiconductor suppliers. Assuming the NXP/Freescale merger is completed later in 2015, IC Insights has forecast that Toshiba will be the lone Japan-based company left in the top-10 ranking.Japan-based semiconductor manufacturers wielded their greatest influence on the global stage and held six of the top 10 positions in 1990, IC Insights said. The six Japan-based companies that were counted among the top-10 semiconductor suppliers in 1990 is a number that has not been matched by any country or region since.The number of Japan-based companies ranked in the top-10 in semiconductor sales slipped to four in 1995, fell to three companies in 2000 and 2006, and then to only two companies in 2014, IC Insights indicated."Anyone who has been involved in the semiconductor industry for a reasonable amount of time realizes this is a major shift and a big departure for a country that once was feared and revered when it came to its semiconductor sales presence in the global market," IC Insights noted.

Taiwan panel makers' shipments of large-size (9-inch and above) TFT LCD panels reached 60.165 million in the first quarter of 2015, down 10.2% on quarter but down 3.3% on year, according to Digitimes Research.Out of the four major applications (TV, monitor, notebook and tablets), only TV panel shipments witnessed growth, reaching 13.5%. Korea and China panel makers opened new capacity for TV and monitor applications during the first quarter, which influenced Taiwan makers' shipments.BOE, Samsung Display and LG Display's 8.5G lines opening new capacity in addition to old fabs being switched to increased production of TV and monitor panels caused Taiwan makers' overall share in the large-size segment to drop.Monitor and notebook panel demand was also weak in the first quarter, and Taiwan makers saw a 9% sequential decline in PC panel shipments while tablet panel shipments declined 17.5%, said Digitimes Research.

Shipments of smartphones by China-based vendors declined by nearly 30% sequentially to 91.8 million units in the first quarter of 2015 due to sluggish demand both at home and overseas, as well as reduced production affected by the traditional Lunar New Year holidays, according to Digitimes Research.Vendors which have a high ratio of export sales saw their shipments decline by over 40% sequentially in the first quarter, and those which focus more on the domestic market suffered declines ranging from 20-25%, Digitimes Research has found. Huawei's shipments were less affected by market factors, reaching 13.5 million units in the first quarter and making the company the number vendor in the quarter. Xiaomi came in second with shipments totaling 10 million units as it lowered the prices of some old models to boost sales.Meanwhile,TCL saw its shipments drop to nine million units affected by slacked overseas demand. Lenovo's shipments were far weaker than expected in the first quarter due to a high level of inventories left over from the previous quarter.China-based vendors are expected to see their smartphone shipments grow 20-25% sequentially to 110 million units in the second quarter of 2015 as vendors will launch new mainstream models to ramp up sales, Digitimes Research estimates.