Thin-film transistor (TFT) screens for smartphones could help to drive the display semiconductors market forward in the years to come.
With manufacturers looking for high-quality screens with good brightness attributes, analyst iSuppli is expecting to see small and medium-sized LCD panels gain in the near future.
In 2010 alone, global shipments of smartphones are predicted to increase by more than a third.
New device categories, such as tablet PCs, are adding to unit shipments of medium-sized displays.
But demand for quality is also changing the display semiconductors landscape in existing categories.
Vinita Jakhanwal, director of small and medium displays for iSuppli, says: "Because such devices focus on delivering a high-quality user experience, many are employing TFT-LCD displays that offer bright, sharp images."
The trend could help to counter activity at the large-scale end of the LCD display market, where iSuppli has seen panel shipments outpace sales of finished televisions in recent months.