Widescreen Review is reporting that flat panel television prices dropped significantly in the second quarter of this year. Trend? One-off? Trend, I’d think.

Pacific Media Associates (PMA) reports that the street price for 40”-45” flat panel televisions dropped an average of 14% from 1Q2005 to 2Q2005. Prices for 42” – 43” flat panel HDTV plasma televisions saw the largest decline, dropping 17% and average prices for 40”-42” HDTV LCD televisions dropped 14%. From January to June 2005, sales of 40”-45” flat panel televisions increased by 26%. While sales of 40”-45” DLP RPTV sets increased by 65% during the same period, that growth came largely at the expense of 40”-45” 3LCD RPTV sets, with sales dropping by 44%.
“Prices are dropping much more quickly now that micro-display RPTVs are more widely available in the 40”-44” size,” says Rosemary Abowd, the PMA Vice President who directs PMA’s research on flat panel displays and rear projection. “While buyers may still be unsure of the total cost of ownership with MD-RPTVs, that’s not stopping them from noticing this value-priced alternative. Our survey shows that overall volumes for RPTVs are down in the second quarter, but their attractive pricing is forcing flat panel prices to decline sharply.”

“There is still a gap in price between RPTVs and high-definition flat panel televisions, but it’s getting smaller. A consumer can now purchase a high-definition plasma set for about $3500 and for about $4500 they can get a high-definition LCD television,” adds Abowd.

Link: Widescreen Review - Prices For Flat Panel Televisions Drop Sharply In 2Q 2005

And according to iSuppli, low end 40″ to 42″ LCD panel prices fell to $950 in July. Under $1,000 for the first time. The average selling price dropped to $1,125. This would translate into sets selling for as low as $2,500 by the end of the year.

Link: audio|video REVOLUTION - Prices Dropping on LCD TVs