While a number of IT companies and handset vendors have unveiled tablet PC products, volume shipments are unlikely to hit the market until 2011 as most of the newly developed tablet PC products are still in sampling or small volume production, as well as low yields in lamination of medium-size touch panels, according to Lin Sheng-chang, president of Chunghwa Picture Tubes (CPT).

Due to the high market potential of tablet PCs, not only notebook makers but also smartphone vendors are ready to jump on the bandwagon, and CPT has been in contact with notebook and smartphone vendors, indicated Lin, saying the market outlook for tablet PCs will become more clear once the next-generation Android system is rolled out.

CPT is currently rolling out three million touch panels a month with the bulk of the products shipped to first-tier handset vendors.

Meanwhile, CPT is expected to complete the transfer of 70% of the production capacity at its 4.5G line in northern Taiwan to producing touch sensors for projected capacitive touch panels in the first quarter of 2011, Lin stated.

CPT will also engage in the production of touch modules, either through outsourcing or producing in-house, Lin said.