The global commercial flat panel display market totaled shipments of 855,000 units in Q2 2016, a year-on-year increase of 17 percent.

Of the major product categories, the LCD videowall market shows the highest year-on-year growth rate but this positive trend is largely limited to China with sales in other major markets largely stagnant. In China, rising demand from the security industry has seen the market boom in the past two years, with Q2 LCD videowall volumes growing 86 percent year-on-year to reach shipments of over 140,000 units.

Beyond China, the market shows continued signs of stagnation, screen volumes falling 10 percent year-on-year. The replacement of tilled LCD solutions by large screen 4K panels and Narrow Pixel Pitch (NPP) LED products is one of the primary factors holding back the LCD video wall segment.

“The digital signage segment continues to see positive growth rates this quarter, aided by a major Quick Service Restaurants (QSR) installation in the US market. Despite this, rates of growth in the segment are not as high as in previous years,” commented Graham Cooke, Displays Analyst at Futuresource Consulting.

He added, “Rising penetration in key customer groups like Banking, QSR and Automotive means the market is showing signs of maturity in some segments. As volume growth slows, manufacturers are focusing on high value segments, expanding product lines in areas like high brightness, stretched display and 4K product lines.”

With slowing growth in both videowall and signage display sales, presentation markets are becoming an increasingly important segment with growth for both interactive and non-interactive solutions. “Both the education and corporate markets are seeing strong growth across a diverse range of geographies this year. The falling costs of large screen products alongside increasing demands for more collaborative work environments are two of the key factors increasing demand here,” says Cooke.