Technology Road-Mapping and Risk Analysis
Display Manufacturer

Client Situation:
The client, one of the top manufacturers of LCD displays, was involved in a highly successful joint venture and was evaluating a decision for a multi-billion plant investment. Before placing such a large bet, the company needed to evaluate competing display technologies, potential LCD manufacturing technology breakthroughs. Given uncertainties related to the market and the technology, the company wondered whether it would build the plant at once or stage the investment.

Approach:
Through external interviews and a large expert and client workshop, MI developed an integrated view of competing technologies for the Flat Panel Display TV market over a 10 year time horizon. MI also combined internal and external interviews with proprietary valuation methodologies to prioritize the current pipeline of manufacturing technologies. In addition, MI used its technology unbundling methodologies with a Monitor Technologies workshop to develop a set of longer term innovation opportunities evaluated on uncertainty of success and potential impact.

Solution:
MI validated the necessary market opportunity for LCD in future flat panel displays in the face of industry-wide increases in supply and competing technologies. This consulting project resulted in exposed additional investment risks and demonstrated the value of a staged investment that hedges against technology risks and uncertainties. Finally, MI helped the client prioritize areas for technology innovation that can reduce the required capital expenditure for future plant investments.