Interview Highlight LG Electronics trumps competitors by rolling out 71 inch PDPs By outperforming its competitors, based on its processing technology advantage, LG Electronics was the first to begin mass-production of its 71 inch PDP, the largest size PDP screen in the world, in the 4th quarter of 2004. The firm was the global leader in terms of PDP panel sales volume as well as PDP sales during the first half of the year. The company posted sales of $1.1 billion with a market share of 30.6%, plus sales of 1.45 million sheets. In this regard, Director Yoo Eun-ho, PDP Research Lab. PDP Division, LG Electronics, explained the reasons for this success, saying, "LG Electronics' price competitiveness starts from Single Scan technology's enlargement that applied to products for the first time ever, and from Clear Filter technology that substituted Glass Filters." In the case of Single Scan technology, LG Electronics mass-produced it by applying it to 42"XGA and 50"XGA and Clear Filter technology was applied to 42-inch for the first time in Korea, according to Yoo. In the interests of profitability security, its PDP Division is planning to enlarge the relative importance of HD notch as well as the relative importance of the premium product group over 50-inch. LG Electronics began in Sept. 2005 to operate the company's A3 line, which was designed to be able to secure the largest production capacity over two years to come without additional ground security and factory construction. Additionally, LG Electronics is scheduled to continue its initiative as the largest manufacturer in the world by operating an A3-2 line in the course of the 3rd quarter, 2006, Yoo said. Comparing Korea with neighboring competing countries, Yoo added, "In terms of production capacity, domestic companies such as LG Electronics and Samsung SDI account for around 55% and in the years to come too, Korea seems likely to maintain a superior position to Japan in terms of production capacity." Director Yoo, pointing out that there are no distinctive differences in terms of PDP's price and quality competitiveness among these countries, said that continuous competitiveness security appears to be necessary regarding LCD rather than a race among PDP manufacturers leading to fierce competition with LCD. With PDP TV rapidly capturing the 50-inch level market, PDP TV, projection TV, and LCD TV are expected to account for 58.7%, 19.7%, and 21.6% respectively by 2010. Furthermore, PDP TV market dominance of the large-sized display market is expected to be reinforced, according to Display Search, a market survey institution. Meanwhile, the over 50-inch TV market is forecasted to increase from 3.76 million TV units last year to around 14 million TVs by 2010. In consideration of such market enlargement, LG Electronics is teaming up with leading universities in Korea regarding an educational-industrial collaboration agreement to secure high-grade manpower of master/doctor degree level, and recruitment of core manpower overseas is being pursued continuously. With regard to the display industry's development potential, including PDP, the director noted that the outlook is also bright for manufacturing equipment as well as cost-competitiveness of the component market and domestic PDP business through localization.