Global LCD TV Shipments Fall for First Time Ever

In the steepest rate of decline since 2009, worldwide TV shipments totaled 51 million units in the first quarter of 2012, an almost 8 percent drop, according to DisplaySearch.

The biggest contributor was a slowdown in shipments of LCD TVs, which declined 3 percent from last year to 43 million units. In the first quarter alone, LCD shipments dropped 33 percent, though the sets still nabbed 84.2 percent of the market, DisplaySearch said

LCD units are, however, picking up the slack in the 40-inch and larger screen arena. The average LCD TV screen size increased 5 percent this year, surpassing the 35-incher for the first time.

"Soft demand and cautious expectations about the upcoming year in many parts of the TV supply chain have led to a slowdown in shipments," Paul Gagnon, NPD DisplaySearch director of North America TV Research, said in a statement.

Oddly, retailers sold more than 5 million of the bulky cathode-ray tube (CRT) sets this year, more than plasma display (3 million) and rear-projection TVs (25,000) combined. DisplaySearch attributed this to a "seasonal shift to emerging markets where CRT demand is higher."

According to Gagnon, markets like India, South America, and areas of Mexico continue to ship CRT TVs, though U.S. users have not been able to get them since 2008. Since LCDs overtook CRT TVs a few years ago, CRTs have steadily held the No. 2 spot in terms of shipment volumes, though Gagnon said they are in danger of falling to No. 3.

The popularity of plasma TVs among consumers is also waning, though a specific reason is "kind of a mystery," Gagnon said. A large majority of the recent plasma shipment volume remains centered on low-cost 2D HD models, indicating shoppers are focused on price when looking at plasma TVs.

Still, the demand for larger-sized TV sets continues to grow, the company said. The market share for 40-inch and larger TVs increased from just below 31 percent a year ago to more than 37 percent in 2012. As 44-inch to 50-inch LCD TVs become more affordable, reaching average prices below $600 and $1,000, respectively, buyers are more likely to shell out their money for a larger-than-life TV-watching experience.

In a twist on traditional television, 3D TV shipments continue to grow, DisplaySearch reported, rising to more than 14 percent of total TV shipments and 16 percent of flat-panel shipments.

Still, Samsung remains No. 1 in the flat panel TV brand, earning global revenue share that remained around 26 percent — near record levels, DisplaySearch said. LG came in second, with Sony rounding out the top flat-screen TVs based on revenue.

Sharp, resting in the number four slot, its largest commercially available LED-backlit LED HDTV, the Aquos LC-90LE745U. The 90-inch HDTV has a huge name and an even bigger price tag, landing at $10,999.

In the television's defense, Sharp claims it uses less than 150 watts of power, and costs an average of $28 per year to run. The TV set is now available at home entertainment retailers.

Editor's Note: This story was updated at 4:05 p.m. Eastern with additional comment from DisplaySearch.