Compaq unwraps $499 flat-panel display

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By Douglas F. Gray

(IDG) -- Compaq jumped on the low-price LCD bandwagon, launching two new flat-panel displays, one of them carrying a price of less than $500.

The TFT5015 is a 15-inch flat-panel display aimed at home- and small-office users, and is available now for $499, according to Compaq representatives. It features XGA resolution, up to 200-nit brightness, and a viewable screen that is nearly the same size as a standard 17-inch cathode-ray tube monitor. Nits are a standard unit for measuring the light intensity of displays.

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Compaq is aiming the TFT5030, another 15-inch display, at business users. The $639 unit boasts 170-degree viewing angles, which means it can be viewed from the side. It also offers both digital and analog compatibility.

The TFT5030 uses Advanced Super View technology from Sharp's microelectronics division. ASV helps prevent pixel defects, and features brightness up to 300 nits, Compaq says.

Both monitors come in a two-tone, silver and carbon color design, according to Compaq.

Following Trend

For months, LCD prices have been on the decline, as manufacturers refine their manufacturing processes. The supply has been improving just as demand has seemed to level off. At PC Expo in June, numerous vendors trotted out LCDs tagged at or below the once-unthinkable $500 price point. Systemax even showed off a 15-inch LCD selling at $399.

The price drops weren't unexpected. As early as last January, analysts were predicting significant price decreases on LCD monitors, particularly 15-inch models. Few expected prices to drop as low as they have, however.

For example, a recent report from research firm Stanford Resources shows the average price of a 15-inch LCD in the first quarter of 1998 was $2600. By the first quarter of 1999, the average was $1100, but demand pushed it up to $1199 in 2000. However, by 2001 prices were clearly dropping, with a first-quarter average of $750. By the second quarter that average was down to $699, and it's clearly headed even lower in the third quarter of the year.

However, prices may not remain low indefinitely, caution analysts. As more vendors attract mainstream buyers with lower-priced LCDs, demand is likely to go up, and at some point so could prices.