Tablets Cutting into Notebook Panel Supply

Paul Lilly

Whether or not the emerging tablet market will ultimately cannibalize notebook and/or netbook sales has become a hot topic, one that we won't really have an answer to for at least another couple months or so. As it turns out, that isn't the only concern.

Citing "sources from notebook makers," DigiTimes says mainstream laptop panels, including 14-inch to 15-inch models, will compete with tablet PCs for inventory in the second quarter of 2011. This, DigiTimes warns, will cause prices to rise around 10 percent.

It's not just tablets affecting supply, either.

"Due to most mainstream notebook panels being manufactured in panel makers' 5G lines, increasing shipments of tablet PCs and ebook readers, which also use panels from 5G lines, are squeezing supply capacity of mainstream sized notebooks," DigiTimes says.

No need to panic if you're in the market for a notebook. Top tier notebook vendors are aware of the possible shortage, and companies like HP have started building up inventory.

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