Subscriber growth in emerging regions, combined with replacement and upgrade sales, will drive the mobile-phone market past the 1 bln unit mark for the first time in 2007, iSuppli predicts. Largely because of this, shipments of small/medium LCDs – i.e. displays smaller than 10″ in diagonal size that are used in devices like mobile phones, MP3 players, Portable Navigation Devices (PNDs) and many other products – will exceed 3.8 bln units in 2007, up 6.3% from 3.6 bln in 2006. Revenue will decline, dropping to $19.9 bln by 2011, falling at CAGR of 3% from $22.7 bln in 2007 due to severe price erosion. Mobile phones are the largest application market for small/medium TFT-LCD displays, accounting for about 67% of sub-10-inch TFT-LCD display shipments. Shipments of mobile phones using TFT-LCDs are expected to exceed 835 mln units in 2007, up 36% from 614 mln in 2006, according to iSuppli. The market is set to grow to 1.3 bln units by 2011. However, in terms of revenue, the mobile-handset TFT-LCD market will decline to $10.3 bln in 2011, decreasing at a CAGR of negative 2% from $11.1 bln in 2007 due to the price erosion.