Just in time for Black Friday, the prices of LCD TVs are expected to plummet. According to two independent research firms -- DisplaySearch and iSuppli -- prices will start dropping by the end of September by as much as 5%, with declines picking up steam as we head into the holiday shopping season.
TV panels were in short supply last year as manufacturers and retailers kept inventory lean. But then production ramped up again in 2010, but sales didn't keep up creating a glut of inventory. That has firms like Display Search predicting lower prices for TVs as manufacturers try to unload some of their excess inventory.
"LCD TV panel prices fell quickly in Q3'10 due to oversupply and inventory adjustments downstream. However, LED panel prices are falling even faster than CCFL." said David Hsieh, a vice president at DisplaySearch. "Panel makers are expecting to grow their shipments through the end of the year as LED panel prices and end-market retailer prices of LED LCD TVs fall rapidly."
Prices could drop as much as 12%, and as stores use flat screen TVs to bring in traffic, expect huge sales for shopping events like Black Friday as 32-inch LCD TVs could hit $199, according to CNN. Supply gluts often tend to get corrected (and in some cases, over corrected) so if a new TV is on the holiday list, watch Black Friday sales -- and Walletpop -- because by 2011, the deals might be harder to find.
TV prices falling for Black Friday