Competition in both the market and technology can impact a company's decision to advance its production technology. When faced with high levels of market and technology competition, firms tend to delay technological advancements. This study looked at global flat panel display makers to understand how competition influences a firm's technology strategy. The findings show that while market competition drives technology advancement to escape competition, technology competition also pushes firms to stay competitive. However, when both market and technology competition are high, firms tend to postpone technological progress.