Touch panel maker J Touch saw its December revenues decrease almost 38% sequentially to NT$486 million (US$16.61 million) due to annual inventory checks at clients, but increased by 23% on year.

Revenues for the fourth quarter totaled NT$2.03 billion, up 23% sequentially. However, growth was lower than the expected 25% growth.

Revenues for the year totaled NT$5.83 billion, up 53% on year.

Looking into the first quarter of 2011, touch panel makers are more conservative regarding their performance for the quarter due to seasonality. As for demand from medium-size products such tablet PCs, touch panel makers believe demand will not show up until the end of the first quarter or the second quarter as most vendors already launched new models in the fourth quarter of 2010.

Demand from Samsung Electronics' Galaxy Tab is expected to drop as Young Fast Optoelectronics started to supply touch panels for the Galaxy Tab in December 2010.