Analysis of Future Breakthroughs in the Touch Panel Industry

The listing of Apple has triggered a major transformation in the global touch industry. The popularity of touch screens has stunned many people. Nowadays, most smartphones and tablets are touch-enabled. The strong demand for portable mobile products has led many people to speculate. The profit-seeking nature of businesspeople has been exposed without a doubt, causing many enterprises to start focusing on touch. Many enterprises have begun to invest a lot of effort in touch control. Although the research and development of touch control will undoubtedly require a large amount of investment and may also lower their profit margins, they believe that the risks they take are completely worth it and are very optimistic about the future market. Looking at the touch control field, which has now become a highly competitive red ocean, the saying "excess is as bad as deficiency" is vividly demonstrated.

Let's first take a look at touch panels. The touch panel market has undergone significant changes in recent years. At the end of last year, the supply of touch panels was still tight. However, with the large-scale release of new production capacity by Taiwanese and Chinese mainland manufacturers such as TPK and O-film, coupled with the terminal market demand falling short of expectations, the touch panel market immediately faced the pressure of overcapacity. In addition, various touch solutions made of different materials, including Metalmesh and nano-silver, have been successively launched, making the competition in the touch panel market even more chaotic. Some industry insiders say that in fact, the current touch panel market is already experiencing overcapacity, and product prices are facing heavy downward pressure.

Let's take a look at touch ics. Many semiconductor manufacturers are eager to enter the touch field. Processor giants like NVIDIA, Intel, Mediatek, Qualcomm, and Texas Instruments have successively acquired touch-related chips and touch algorithms through equity investment, acquisitions, and strategic alliances. Semiconductor giants including Texas Instruments, Freescale and ADI have also successively developed Sensor Hub single-chip solutions integrating touch functions, targeting application fields such as smart phones and tablet computers.

The competition in the touch chip field is no less intense than that in the template sector. As Morningstar and Mediatek gradually enter the Chinese mainland smartphone market, they will break the previous dominance of Goodix in the Chinese mainland market. Elon Electronics, the leading touch chip manufacturer for notebook computers, has now invaded all notebook computer manufacturers except Apple, and other enterprises are eyeing it greedily. Due to factors such as differences in penetration rates and product stability, the price drop space for notebook computer touch chip products will be relatively limited. Meanwhile, the product price in the mobile phone touch chip market will be a key factor. It is expected that the price competition will be more intense than that in the notebook computer touch chip market.

However, we should not forget the situation of downstream terminal products. Although the demand for touch control from terminal products remains strong, especially for high-performance touch control products, and the penetration rate has been continuously rising, the competition is already very fierce, and there are still many uncertainties in the future market. What can be relied on to capture market share and increase penetration rate? I think the only thing business operators can rely on is technological innovation!

In particular, the strong demand for portable mobile products has driven the rapid growth of the overall touch market, and various problems have followed one after another. The fierce competition in this industry is a fact that everyone has witnessed. As time goes by, nowadays almost everyone has a Pad. In the future, it should be a trend for computers, laptops, and even the superlaptops of the previous period to have touch functions now. Therefore, the touchscreen itself should be on the rise in terms of prosperity. This is a daily consumer electronic product. There are also others, such as industrial control and other products, including automotive ones, etc. All of these have extensive applications in touch screens. It is precisely because of this wide range of applications that touch screens have brought about fierce competition. I think in terms of prosperity, this industry is still promising.

At present, all manufacturers in the touch control industry are actively innovating and launching more powerful touch solutions to meet market demands in order to enhance their competitiveness. For instance, in the application of large-sized touch display screens, touch technologies with high light transmittance, low power consumption, and support for multi-touch and gesture recognition have received more market attention. So despite the global economic downturn and the sluggish buying sentiment in the consumer electronics market, touch screens can still maintain a double-digit annual growth rate of 15%.

The touch control field has become a highly competitive red ocean. This is both a challenge and an opportunity. Only enterprises dedicated to technological innovation can gain market recognition and obtain more development opportunities.