Plasma Market Ripe for Consolidation?

A number of signs point to LCD flat-panel TVs overtaking plasmas in sizes over 40 inches in the coming years, Reuters reports today, citing a number of industry analysts who believe that global investment in LCD will enable functionality to improve relative to plasma while the large number of LCD manufacturers will slash prices to stay competitive. One expert believes that this is the last year that buying a 42" plasma instead of a comparably sized LCD will make sense, given that prices for the two should be similar next year while LCD will offer "true" 1080p HD, something that cannot yet be matched in a sub-50 inch plasma display. Plasma makers may be forced to merge to stay competitive, according to some analysts.

This seems a little doom-and-gloom to me, particularly since plasma manufacturers are already adept at producing displays of 58-, 60- and 65-inches. Much as 37-inch plasmas are difficult to find today, 42-inch models will also fall out of favor fairly soon, with 50-inch units becoming the de facto standard. Prices will fall on newly released 50+ inch plasma displays that do boast 1080p resolution and then LCD makers will be forced to figure out how to cut 60-inch panels in an efficient manner. But I don't see plasmas going away anytime soon.