In September 2026, the panel industry witnessed a rare wave of collective price hikes: TCL CSOT issued the first notice of TV panel price increases on September 10, BOE announced on September 15 that it would raise prices for LCD TV panels and its entire range of display products starting in the fourth quarter, and HKC followed suit on September 16 by increasing prices for certain LCD panels. The rationale behind these price hikes was largely consistent—upstream raw material and component costs have risen sharply. Notably, Corning announced that, beginning in the fourth quarter of 2026, it would raise prices on glass substrates priced in Japanese yen by more than 15%; driver ICs, PCBs, MLCCs, sputtering targets, polarizers, and other components have also seen widespread price increases, with some segments expected to face further upward pressure going forward.
The root cause points to structural capacity constraints arising from the expansion of the AI industry. As demand for training and inference with large AI models surges, companies like Samsung and SK Hynix have shifted substantial wafer‑fabrication capacity toward high‑margin HBM production, leading to a contraction in supply for mature process nodes—such as 28nm and above, used in display‑driver ICs (DDICs) and TDDIs. Omdia notes that foundries in Taiwan and South Korea have reduced capacity allocations for DDICs destined for TVs and monitors, resulting in extended lead times and a widening supply‑demand gap; display‑driver chips account for 15%–20% of LCD panel costs, making their price hikes one of the primary drivers of rising costs. Coupled with growing demand from AI servers for high‑capacitance MLCCs and specialized PCBs—materials that are also widely used elsewhere—the entire electronic components supply chain has seen synchronized price increases, with cumulative BOM cost growth for panels reaching 5%–6% through the first three quarters of 2026.
However, the price hikes have not been effectively passed down the supply chain. According to data from RUNTO and TrendForce, global shipments of large‑size LCD TV panels are expected to decline by 0.9% year over year in 2026, with fourth‑quarter demand falling 4% quarter over quarter. BOE has also acknowledged that LCD shipments may drop quarter over quarter in the second half of the year, while flexible OLED AMOLED panels face a dual decline in both volume and prices. Market quotations show that as of September 2026, average prices for 65‑inch, 55‑inch, 43‑inch, and 32‑inch TV panels remained unchanged from August, and prices for monitor and laptop panels have likewise failed to rise across the board—indicating that brand‑name customers’ rigid procurement budgets and inventory pressures are holding back any meaningful increase in actual transaction prices.
Even more concerning is the noticeable deterioration in user experience. According to the Black Cat Complaint Platform, numerous user complaints point to issues such as excessive monitor overheating (with case temperatures reaching “boiling‑water levels”), black‑spot defects, and inadequate cooling designs. Real‑world measurements show that, for top‑tier brand OLED monitors, the central temperature can reach 48°C after just two hours of operation. Industry insiders admit: “Panel manufacturers haven’t sold significantly more screens thanks to AI, yet they’re still footing the bill for the reallocation of upstream resources triggered by AI.” If price hikes are reflected only in quotation sheets without a corresponding improvement in product reliability and thermal management, the bargaining power will lack a sustainable foundation.
This round of price hikes marks the panel industry’s transition from a “capacity‑driven pricing” model to a new phase of triple calibration—cost, quality, and market acceptance. AI has lit the fuse on the cost side, but weak demand, end‑user resistance, and shortcomings in quality control collectively impose real‑world constraints. Issuing a price‑increase notice is easy; establishing a virtuous cycle of reasonable cost pass‑through, continuous product upgrades, and enhanced user trust is the true litmus test of industry maturity.