Analysis by TrendForce on the latest acquisitions in touch and driver IC market

Touch IC expert Synaptics decided to buy the panel driver IC supplier Renesas SP Drivers for $470 million, and FocalTech and Orise Tech agreed to merge. On these recent happenings, market analyst TrendForce has shared this below analysis report on touch IC market: The idea of (Touch with Display Driver) TDDI has been proposed for quite a while, and under this structure, the reduction of IC used would not only cut costs but help simplify the electric circuit and development. From clients’ perspective, the integrated supply chain would enforce the management efficiency of the procurement system. Currently, as touch IC makers and panel driver IC makers hold business resources categorized into distinct camps of suppliers, and panel makers dominate the driver IC development research and strongly control the orders, the promotion of TDDI faces significant obstacles. Based on TrendForce’s analysis, the current TDDI development has three advantageous directions. Firstly, as the panel glass, touch module, and related components of white-box smart phones are mostly assembled by the mid-and small-sized panel module suppliers in the Chinese white-box market, they are fully capable to promote the generic-model products under this unique supply chain structure. Meanwhile, TDDI’s advantage to cut costs eases whit-box makers’ primary concern on prices, which would easily catch the eye...