LCD makers see price increases coming in February

LCD panel makers have announced that panel prices are expected to grow to cash cost levels in February of 2009 thanks to inventory levels falling below minimal levels and computer makers needing to increase their orders.

DigiTimes reports that the system makers will need to begin increasing their orders in mid-January for tier-2 builders, though tier-1 builders will be able to hold out until February. Panel makers expect tier one builders to accept a price increase in February and the Tier-2 vendors in January.

Reports peg global LCD levels at about 4.5 million units in November and that number is expected to decline to 2.5 million units in December. The inventory level is expected to drop further to 100,000 to 200,000 units by January of 2009. DigiTimes says that the January level is only enough for one day's production according to sources.

Just to prove that not every company in the technology industry is looking at a break in the clouds of the troubled economy, Lenovo announced that it will restructure its business in mid-January. The restructuring will include layoffs and adjustments to the Lenovo business structure.