Audio Video News

Most home-theater fans are aware that flat-screen televisions and monitors are the hottest products on the market. How hot? Try an almost 400% surge in sales for 2002, compared to the previous year.

Between January and November 2002, more than 235,000 flat screens were sold. During the same period in 2001, consumers bought only 48,000. That's an increase of 381%, according to a report released in early January by research firm NPDTechworld. Installation flexibility is one of the most appealing features for purchasers, retailers say. Mounted on stands, flat displays occupy little floor space. They can sit on a mantle or tabletop, or be mounted on a wall, an extremely appealing option for many décor-conscious buyers.

The prices of flat-screen televisions and monitors have steadily declined and the quality has improved. When plasma technology was first available about four years ago, a 42-inch-diagonal display with a 300:1 contrast ratio retailed for $15,000. A comparable set today can be found for as little as $3000. Today, $15,000 will buy a 62-inch high-definition monitor. Small LCD televisions start at about $500; bigger ones run to a few thousand. Some home-theater experts believe that LCD may eventually become the preferred technology for many people, because of its lower cost and better reliability.

The plasma and LCD technologies continue to improve. Many manufacturers are scrambling to build new production facilities for both types of displays, which appeal to consumers ranging from ardent technophiles to technical know-nothings. "With higher quality liquid crystal and plasma display panels at more affordable prices, customers are stepping up to the latest technology," said NPD analyst Tom Edwards.

Flat screens are leading a surge in sales of digital televisions of all types: 1.6 million large-screen rear-projection TVs were sold in the first 11 months of 2002, most of them in the $2000–$5000 range. That's a 30% increase for 2002 compared to the same period in 2001.

Manufacturers will reveal new products and new strategies at next week's Consumer Electronics Show in Las Vegas, Nevada.