LG unhappy with low LCD prices - announces price hikes

One day before CeBit opens its doors to the public, LG announced plans to stop a trend of falling prices for LC displays. According to a company representative, the 15 percent decline in average retail pricing for 17" displays during 2004 was a result of oversupply and overestimates of market volume.

Therefore, the lower prices had been created "artificially" to be able to sell the overstock. For 2005, the company expects market forecasts and production numbers to match and pricing to increase again by about five percent. Company representatives said that other display manufacturers are likely to lift pricing levels of their products soon. (THG) .