As the flat panel displays (Liquid Crystal Displays, AMOLED, etc.) reach near perfection in their viewing qualities and display areas, it is natural to seek the next level of displays, including 3D displays. There is a strong surge in 3D liquid crystal displays as a result of the successful movie Avatar. Most of these 3D displays involve the employment of special glasses that allow one view perspective for each of the eyes to achieve a depth perception. Such displays are not real 3D displays. In fact, these displays can only provide one viewing perspective for all viewers, regardless of the viewer’s position. In addition, a fundamental viewing problem of focusing and accommodation exist that can lead to discomfort and fatigue for many viewers. In this paper, the authors review the current status of stereoscopic 3D displays and their problems. The authors will also discuss the possibility of using flat panels for the display of both phase and intensity of video image information, leading to the ultimate display of 3D holographic video images. Many of the fundamental issues and limitations will be presented and discussed.