News | February 4, 1998

Dramatic Growth Expected in Military Flat Panel Display Market

According to strategic research conducted by Frost & Sullivan, U.S. Military Display Markets, the U.S. military demand for Flat Panel Displays (FPDs) reached $415 million in 1996, making up only a fraction of the overall consumer market. By the year 2005, the total market for FPDs for defense-and-avionics-related applications is expected to be over $4 billion.

FPDs offer better resolution and contrast, while using less space and less power than CRTs. Flat panel displays also provide better Mean Time Between Failure (MTBF) rates, translating into considerable savings for the Department of Defense (DoD). In addition, applications for FPDs are many, including Global Positioning Satellite (GPS) data, weapons platform management, Identify Friend or Foe (IFF) systems, targeting assistance, battlefield telemedicine applications and unmanned aerial vehicle reconnaissance.

Because CRTs are becoming less advantageous in terms of supply and product life cycle, a major market trend is the drop in number of ruggedized CRT manufacturers. As the U.S. armed services undergo a fast-paced modernization of information networks, the DoD is also becoming more convinced that FPDs represent the future in military display technology. While Active Matrix Liquid Displays (AMLCDs) make up the majority of current military FPDs, EL, plasma and Field Emission Displays (FEDs) are entering this market as competitive alternatives.

Several other competing technologies are also being developed. Digital Micro-Mirror Display (DMD) projection technology is capable of producing scan rates of over 100 per second, while Plasma Addressed Liquid Crystal (PALC) uses a gas to do the switching normally performed by Thin Film Transistors (TFTs). Research is being done on organic Light Emitting Diodes (LED), that can conform to many shapes while delivering better resolution than current LCDs. In another exciting program under development, the Virtual Retinal Display (VRD) will project situational awareness to individual soldiers directly onto the retina of the eye.

The biggest challenge facing flat panel display manufacturers is producing FPDs at a much lower cost. The Pentagon demands a ready supply of top quality FPDs that provide high-resolution screens for several new platforms, but at less expense. In addition, the U.S. military wants ruggedized display manufacturers to commit to this small niche market, which also requires them to manufacture glass in shapes ill-suited to consumer applications.

U.S. military demand will continue to create a profitable niche market for ruggedized FPDs. The market is expected to grow drastically as new platforms such as the Joint Strike Fighter (JSF) are developed, and as older displays are upgraded or replaced. Although U.S. companies dominate the market in advanced electronic displays, they face stiff competition from abroad. (The fact that U.S. FPD firms continue to obtain original equipment manufactured glass from Japanese manufacturers is emblematic of this trend). In some instances display manufacturers are not delivering the finished products on time, forcing the U.S. DoD to rely on Modified Off the Shelf (MOTS) components produced overseas for its ruggedized displays.

Frost & Sullivan's study, U.S. Military Display Markets, concentrates on cathode ray tubes, active matrix liquid displays, field emission displays, plasma discharge panels and electroluminescent displays. The report provides manufacturers with market trends, revenues forecasts, an update of current technologies, and competitive strategies.

The companies participating in this market include: AlliedSignal Aerospace Company, Applied Display Technology, Astronautics Corporation of America, Barco Chromatics, B.F. Goodrich Aerospace, Brimar, Inc., Candescent Technologies Incorporated, Codar Technology, Inc., Conrac Systems, Inc., Dale Electronics, Inc., Densitron Corporation of America, Display Solutions, Dolch Computer Systems, DpiX, A Xerox New Enterprises Company, Eaton Corporation, EDL Displays Incorporated, Eldec Corporation, Electronic Designs, Inc. (EDI), Electro Plasma, Inc., FED Corporation, Fujitsu Microelectronics, Inc., Futaba Corporation, General Digital Corporation, Grinaker Electronics, Hitachi America Limited, Honeywell, Inc., Hughes Lexington Incorporated, Hyundai Electronics America, Image Quest Technologies, Inc., Image Systems Corporation, Industrial Electronic Engineers, Inc. (IEE), Infodex Incorporated, Interstate Electronics Corporation, Kaiser Electronics, Kent Displays Incorporated, Kopin Corporation, Lite Array Incorporated, Litton Systems Canada, Ltd., L3 Display Systems, Lockheed Martin Federal Systems, Lucas Control Systems Products, Luxell Technologies, Magnavox/Hughes Defense Communications, Matsushita Electric Industrial Co., Ltd., MicroDisplay Corporation, Micron Technology, Inc., Miltope Corporation, Mitsubishi Electronics America, Inc., National Integration Services (NIS), NEC Technologies Incorporated, Noritake Company Incorporated, Optical Imaging Systems (OIS), Parker Electronic Systems, Philips Display Components Company, Phoenix Group Incorporated, Photonics Systems, PixTech Incorporated, Planar Standish Incorporated., Planar Systems Incorporated, Plasmaco Incorporated, Raytheon Electronics Systems, RDI Computer Corporation, Rockwell Collins, Samsung Electronics America, Inc., SANDERS, A Lockheed Martin Company, Sarnoff Corporation, Sharp Electronics Corporation, Science Applications International Corporation, SI Diamond Technology, Inc., Smiths Industries/Aerospace & Defense Division, Solaris Systems, Tatung Company of America Incorporated, Telegen Corporation, Texas Optoelectronics, Inc., Thomas Electronics Incorporated, Thomson Tubes Electroniques, Toshiba Electronics Components, Vista Controls Corporation, Westaim Corporation, Zenith Electronics Corporation,

Related Companies: Active Matrix Associates, Azonix Corporation, DisplaySearch, MetroMark, Proxima Corporation, UNIAX, Universal Display Corporation, Xerox Palo Alto Research Center, Related Organizations, National Information Display Laboratory (NIDL), SEMI, Society for Information Display (SID), U.S. Display Consortium (USDC), Wright Laboratory.

Frost & Sullivan is an international marketing consulting company that monitors the defense industry for market trends, market measurements, and strategies. This ongoing research is utilized to update a series of research publications such as #5390-72 U.S. Desktop Computer Monitor Markets, and to support industry participants with customized consulting needs.