Posts Tagged ‘Samsung’

CES 2013: From Hype to Ho-Hum in Minutes

Here we go again ! (Sigh…)

Here we go again ! (Sigh…)

Things are booming in the world of consumer electronics, regardless of the state of the world’s economy. You needed no additional proof beyond the enormous turnout at last week’s International CES, which was in excess of 150,000, according to official press releases. Even if you apply the Kell factor, that’s still a huge turnout – at least 120,000.

I’ve used an easy rule to determine attendance: How long it takes to catch a cab at the end of the first two days of the show. 10 minutes? Light turnout. 20 minutes? Respectable turnout. 40 minutes or more? Now, that’s a crowd!

I spent the equivalent of three full days at the show, scrambling back and forth between strip hotels and the convention center, capturing over 1200 videos and photos along the way. After a while, it all started to blur together. I mean; how many 110-inch TVs do you have to see before the “awe” wears off? How many tablets will you run across before you swear never to touch another one?

This year’s edition of show was characterized by a level playing field across many technologies. No longer do the Japanese and Koreans have an exclusive right to “first to market.” Their neighbors across the sea are now just as technically competent, if not more so.

hisense

Hisense’s “Big Bertha” uses the same glass as TVs shown by TCL, Samsung, and Westinghouse Digital.

syyworth

Everybody (and their brother) had an 84-inch 4K TV at the show. (Yawn…)

Case in point: The 110-inch 4K LCD TVs shown at CES (I counted four of them, including one in the Samsung booth) all use glass from a Chinese LCD fab known as China Star Optoelectronics Technology, which is a three-year old joint venture between TCL, Samsung, and the local government of Shenzen.

Never heard of them? You will. What’s even more amazing is that their Gen 8.5 LCD fab is (according to an industry insider I spoke to) more efficiently used when cutting two 98-inch LCD panels at the same time. Those are huge cuts, and given China’s predilection for market dominance, we may see rapid price drops in 4K TVs across all sizes by the end of 2013.

Speaking of 4K (UHDTV); everyone had it. And I mean everyone! Sony, Panasonic, LG, Samsung, Toshiba, Sharp, Westinghouse, Skyworth, TCL, Hisense, Haier – wait! You never heard of those last four companies? The last three had enormous booths at the show, and Hisense showed five different models of 4K TVs – 50, 58, 65, 84, and 100 inches. That’s more than anyone else had.

In a significant marketing and PR coup, TCL managed to get their 110-inch 4K TV featured in Iron Man III, which debuts in May. That’s the sort of promotional genius that Sony and Panasonic used to pull off. But there are new guys on the block now, and they’re playing for keeps. The steady decline of the Japanese TV industry and continuing financial woes of its major players are all the proof you need.

4koled tv

So – who was REALLY “first” to show a 4K 56-inch OLED TV? Sony, or…

panasonic

…Panasonic, who also claimed they were the “first?” (Maybe it was a matter of minutes?)

Interestingly, Sony’s booth signs identified this display as the “world’s first and largest OLED TV.” Puzzling, as it clearly wasn’t the first OLED TV ever shown, and just down the hall, Panasonic was showing its 56-inch OLED TV, the “world’s largest 4K OLED created by printing technology.” Both companies need to get out of their booths more often!

Panasonic, who emphatically renewed their commitment to plasma at CES (despite a continued decline in plasma TV sales worldwide), clearly wanted to show they had a second act ready when plasma eventually bites the bullet. The company is also a major player in IPS LCD, manufacturing LCD TVs in sizes to 65 inches that are every bit as good anything LG cranks out.

Speaking of LG…the heavy emphasis on 3D found in last year’s booth was all but gone this year. Yes, the enormous passive 3DTV wall that greeted visitors at the entrance was still there. And there were a few passive 3D demos scattered throughout the booth. But the more impressive exhibit featured a wall of curved 55-inch OLED TVs. (Why would anyone need a curved TV? You’re probably asking. Well, why would anyone need most of the stuff you see at CES?)

LG also showcased a unique product – a 100” projector screen illuminated by an ultra-short-throw laser projector. LG billed it as the world’s largest wall-mount TV (for now) and it’s known as “Hecto.” The projector uses laser diodes (presumably with DLP technology; that wasn’t mentioned) to illuminate that screen at a distance of just 22 inches.

lg oled tv

It’s bad enough that LG shows 55-inch OLED TVs we can’t buy yet. Now, they have curved OLED TVs we can’t buy yet. (Drool…)

3d tv

Got two people who want to watch two different 3D TV programs at the same time? No problem for Samsung!

Back down the hall, LG’s neighbor Samsung also showed a 55-inch curved OLED TV (just one) and a couple of company representatives were surprised to hear that LG had a bevy of them. (I repeat my observation about booth personnel who need to get out more.) Samsung did have a clever demo of an OLED TV showing simultaneous 2K programming – simply change a setting on the 3D glasses and you could watch one or the other show. (TI showed this same trick years ago with DLP RPTVs by switching left eye and right information.)

Samsung did have an 85-inch 4K LCD TV that wasn’t duplicated anywhere else on the show floor, and as far as I can tell, it’s a home-grown product. But given the company’s investment in China Star and its shifting emphasis on AM OLED production, I would not be surprised to see Samsung sourcing more of its LCD glass from China in the near future.

Sharp’s booth intrigued me. Here’s a company on the verge of bankruptcy that was showing a full line of new Quattron LCD TVs, along with “Moth Eye” anti-glare first surface glass. Moth Eye glass preserves high contrast and color saturation, but minimizes reflections in a similar way to a moth’s eye; hence the name. Sharp also had impressive demos of flexible OLEDs and a gorgeous 32-inch 4K LCD monitor.

IGZO was also heralded all around the booth. Indium Gallium Zinc Oxide is a new type of semiconductor layer for switching LCD pixels that consumes less power, passes more light, and switches at faster speeds. Many LCD manufacturers (and OLED manufacturers, too) are working on IGZO, but Sharp is closer to the finish line than anyone else – and that may be the salvation of the company, along with an almost-inevitable orderly bankruptcy.

IGZO is why Terry Gou, the chairman of Hon Hai Precision Industries, wants to buy a piece of Sharp – about 10%, to be exact. He’s looking for a source of VA glass for Apple’s tablets and phones (Hon Hai owns Foxconn, who manufactures these products.) And if Sharp can’t get its financial house in order, he might wind up making a bid for the entire company. (“Never happen!” you say. “The Japanese government wouldn’t allow it.” Well, these are different times we live in, so never say “never!”)

igzo

Sharp may not be able to balance their books, but they still know how to manufacture some beautiful displays.

tlc

It goes without saying that Tony Stark would have a 110-inch TV, right?

On to the Chinese. They showed 4K, 84-inch and 110-inch LCD glass cuts, gesture recognition, clever LED illumination systems, 3D, smart TVs – basically, everything the Japanese and Koreans were showing. Hisense had a spectacular demo of a transparent 3D LCD TV, along with something called U-LED TV. The explanation of this by the booth representative was so ambiguous that I’ll leave it at an enhanced method of controlling the backlight for improved contrast.

I had heard from an industry colleague that Hisense’s XT880-series 4K TV would have rock-bottom retail prices, but couldn’t confirm this from booth personnel. (Think of $2,000 for a 50-inch 4K TV.) The company’s gesture recognition demo wasn’t nearly as impressive – it’s powered by Israel-based EyeSight – but clearly shows that Hisense is just as far along in refining this feature as anyone else.

TCL had demonstrations of high-contrast 4K TVs with amazingly deep blacks; as good as anything I’ve seen from LG and Samsung. They also had a demonstration of autostereo 3D at the back of their booth, very close to Toshiba (who was showing the same thing). Haier had that now-ubiquitous 4K LCD TV prominently featured in their booth, along with smart TVs and what must have been several dozen tablets. Meanwhile, Skyworth’s booth in the lower south hall showcased yet another 84-inch 4K TV.

rca

RCA’s got the first tablet with an integrated ATSC/MH tuner, and it runs Windows 8.

tv antennas

TV antennas are passe? NOT!

celluons

Celluon’s laser-powered virtual keyboard works on any surface. TI had a pair connected to picoprojectors in their suite.

Vizio’s suite at the Wynn featured 80-inch, 70-inch, and 60-inch LCD TVs using the Sharp Gen 10 glass, and they looked impressive. One version of the 70-inch set is already selling below $2,000, and the 80-incher will come in (for now) at just under $4,500. Vizio also had three new 4K TVs in 55-inch, 65-inch, and 70-inch sizes, but no pricing was announced yet. (Everyone is sitting on their hands waiting for the other guy to price his 4K TVs!)

There was obviously a lot more to CES than televisions. Vizio has a new 11.6” tablet with 1920×1080 resolution that runs Windows 8 with a AMD Z-60 processor. Panasonic showed a prototype 20-inch 4K (3840×2560) tablet using IPS-alpha glass. It also runs Windows 8 with an Intel Corei5 CPU and has multi-touch and stylus input. And RCA had a cool 8-inch tablet (Win 8 OS) that incorporates an ATSC receiver and small antenna. It can play back both conventional 8VSB and MH broadcasts.

Silicon Image had a kit-bashed 7” Kindle tablet running their new UltraGig 6400 60 GHz transmitter, delivering 2K video to a bevy of LCD TVs. They also showed a new image scaling chip to convert 2K to 4K, along with the latest version of InstaPrevue. The latter technology lets you see what’s on any connected HDMI input with I-frame thumbnails of video and still images.

sillcon

Silicon Image’s new UltraGig 6400 TX chip connects this full HD Kindle tablet to an HDTV at 60 GHz.

speech

Conexant’s powerful speech processing chips can filter out any background noise while you “command” your smart TV.

omeks

Omek’s gesture control demo was easily the most impressive at the show.

Over in the LV Hotel, Conexant dazzled with a demonstration of adaptive background noise filtering to improve the reliability of voice control systems for televisions. The demo consisted of a nearby loudspeaker playing back an art lecture while commands for TV operation were spoken. A graphical representation showed how effectively the background noise was filtered out completely. The second demo had a Skype conversation running with a TV on in the background and the remote caller walking around the room. I never heard one peep from the TV, and the remote caller was always intelligible.

A few floors down, Omek (yet another Israel-based gesture recognition startup) had perhaps the best demo of gesture control at the show. Their system captures 22 points of reference along your hands, allowing complex gesture control using simple, intuitive finger and wrist movement. (No flailing of arms was necessary). I watched as an operator at a small computer monitor pulled a virtual book from a shelf and flipped through its pages, and also selected a record album, removed the record from its sleeve, and placed it on a virtual turntable. I was even treated to a small marionette show!

At the Renaissance, Prime Sense had numerous exhibits that all revolved around their new, ultra-compact 3D camera design. One demo by Shopperception involved boxes of cereal on a shelf. As you picked one up, the sensors would flash a coupon offer for that cereal to your tablet or phone, or suggest you buy a larger, more economical size instead of two boxes.

Nearby, Covii had one of those “You Are Here” shopping mall locator maps that operated with touchless sensing to expand and provide more detail about any store you were interested in, including sales and promotions. And Matterport had a nifty 3D 360-degree camera that could scan and provide a 3D representation of any room in about one minute. You could then rotate and turn the views in any direction.

hzo

Do not – repeat, DO NOT try this at home with your tablet!

hybird

A hybrid low rider? With a 500-watt sound system? Who’d a thunk it?

gps

Wear this Garmin GPS watch and nobody can ever tell you to “get lost!”

HzO was back with another amazing demo of their WaterBlock waterproofing system. They had a tablet computer sitting in a continuous shower, and also dunked it in a fish tank. Additional demos included dropping smart phones in a bowl of beer and other mysterious liquids. The water infiltrates all spaces but has no effect on operation – you just drip-dry the device once extracted from water. (How do you get rid of the beer smell, though?)

There was an HDMI pavilion at the show, but I was more interested in the goings-on at the DisplayPort exhibit. VESA representatives showed me a single-channel DP connection from a smart phone to a TV for gaming and playing back video, all over a super-thin connecting cable. The powers that be at VESA are also talking about upping the data rates for DisplayPort (currently about 18 Gb/s) to accommodate higher-resolution TVs.

Right now, DP uses an uncompressed data coding method. But there is now discussion of applying a light compression algorithm (tentatively called DisplayStream) that would enable data rates to go much higher – more like 25 Gb/s. (DisplayPort can currently handle 3840×2160 pixels with 10-bit color and a 60-Hz refresh rate.)

I was surprised at the number of devices at the show that support HDMI, and expected more support for DP given its ability to handle higher data rates and its Thunderbolt data layer overlay. It may still be early in the game – the venerable VGA connector is on its way out starting this year, and manufacturers of laptops, tablets, and phones are still debating which digital interface to hitch their horses to.

ces

No, this is not a typical CES attendee. But it’s how all of us feel after three days at the show.

panasonic

Panasonic’s 20-inch 4K offering is the Rolls-Royce of tablets. (So who needs a notebook!)

inada

Suffice it to say that this was a VERY popular booth at CES…

mattress

…as was this one. Sealy lets you control your mattress settings from your iPad. (Hey, it’s CES!)

Let’s wrap things up with a discussion of ultrabooks. Intel’s booth prominently featured a full line of these next-gen notebooks, although several of the models on display weren’t nearly as thin as I’d expect an ultrabook to be. Shipments of “ultras” in 2012 were only about half of what was forecast.

The reason? Tablets. Vizio’s new tablet is one of the larger models at nearly 12 inches, but Panasonic showed you can go even larger and make it work. At that point, why would you need a notebook? I left mine at home this time and used a Nook HD+ instead. Fitted with a Bluetooth keyboard and mouse, and loaded with Office-compatible programs, it did everything I needed it to do while in Vegas.

Needless to say, the Intel booth representative wasn’t too happy when I pointed this out to him. But that’s the thing about CES: There’s always some other guy at the show that has the same or better product than you. There’s always a better mousetrap or waffle-maker lurking in the South Hall. Very few companies have much of an edge in technology these days (the Chinese brands proved that in spades), and so many of these “wow, gotta have it!” items become commodities in rapid order.

The plethora of 4K and ultra-large LCD TVs found at CES proved this conclusively, as they went from hype to ho-hum in a matter of minutes. So did tablets, smart phones, and other connectivity gadgets. What CES 2013 was really about was the shift in manufacturing prowess and power to China from Japan and Korea; a shift that will only accelerate with time. And that is definitely NOT ho-hum!

Editor’s note: Many thanks and a tip of the hat to Nikon booth personnel, who were apparently charging and swapping out batteries for journalists who (like me) inadvertently ran out of power during the show. They saved me more than once!

marilyn

Marilyn says, “Gentlemen prefer 4K 3D curved wireless multi-touch OLED IGZO cloud-based voice controlled tablets!” (See you next year…)

Goodbye, 2012. Don’t Let the Door Hit You on the Way Out

This will be my last post for 2012. And what a year it’s been.

We were dazzled by 55-inch OLEDS at CES nearly a year ago that will not make it to market. We’ve seen record financial losses at some of the most venerated names in consumer electronics (Sony, Panasonic) and one long-time Japanese brand on the verge of bankruptcy (Sharp.)

TV sales continued their decline from last year, as did TV prices. It’s now possible to buy 42-inch LCD TVs for quite a bit less than $400. The obituary is being written for plasma, according to most analysts. (I agree.) Many LCD TV manufacturers and retail brands are now branching into (get this) LED lighting.

Viewing of traditional broadcast TV channels fell off the cliff this year, except at NBC. AMC is the hot channel now, and ironically,  they used to just run old movies with innumerable commercial interruptions. There is evidence that cord-cutting is gaining in popularity (it’s the economy, stupid!) and video streaming has supplanted sales and rentals of DVDs and Blu-ray discs. My gosh, Disney and Netflix are now partners in streaming!

The hot products this season aren’t TVs, although really big screens are dirt cheap and have seen a spike in sales. Digital cameras are threatened by smart phones, with 2012 shipments off by as much as 40% from last year. Now, we have DSLRs and point-and-shoots with built-in Web browsers, quickie image editors, and the Android OS. (I think that’s called a phone now?)

No, the hot product this year is the tablet. iPad, Surface, Nook, Galaxy, Kindle, take your pick – they’re all popular, and the Consumer Electronics Association predicts that 50% of American homes could own at least one tablet by the end of the holiday selling season.

Interest in 3D has largely waned among the general public and TV manufacturers, contrary to what you may read on some die-hard 3D enthusiast Web sites. From all accounts, the 3D Olympics broadcasts found their biggest audience in the production trucks adjacent to the events in London.

So what’s the next big thing? Why, it’s 4K, otherwise known as Ultra HD (except at Sony, who always marches to the beat of a different drum). Never mind that there’s no content to watch; you can buy in for a mealy twenty grand. Or, you can wait until after CES and pick up one of the new Chinese 4K TVs for a lot less.

Prices for flash memory are dirt cheap, further depressing optical disc sales. You can buy 32 GB SD and Micro SD cards for all of twenty bucks now. That’s enough space to hold almost six two-hour 1080p movies, using MPEG4 H.264 compression.

We’re seeing a major shift away from value in hardware to value in software – content, apps, whatever you want to call them. Face it; “electronics is cheap!” And more and more of our gadgets are coming from China, which is evolving into the largest market for consumer electronics in the world.

Front projectors came under heavy fire in the commercial AV space, threatened by super-cheap and big LCD TVs. But they’re firing back by adopting lamp-less projection engines, using LEDs, lasers, or combinations of the two. The rear-projection TV category is officially RIP now, after Mitsubishi threw in the towel in late November. If it ain’t flat, consumers don’t want it.

You know things are nutty when Samsung and Apple seem to spend most of their time in court suing each other (and Google, and vice-versa), yet all three companies paired up to make a $500M bid for Kodak’s digital imaging patents. You remember Kodak, right? They once made photographic film, and cameras, and processing chemicals, etc. (Don’t remember them? You must be a Millennial.)

The industry is obsessed with the “second screen,” although they can’t quite define how it is used and how often. We’re obsessed with the idea that we can stream any movie or TV show we want, at any time and in any place, but continue to be surprised when the monthly bill comes in from Verizon, AT&T, Comcast, Time Warner, and so on. And why is it that broadband speeds are so much faster abroad, in countries where the government often maintains the telecommunications infrastructure?

Despite claims that more airwaves are needed for wireless broadband (at the expense of UHF TV broadcasters), we found out the hard way during Hurricane Sandy and other extreme weather that, more often than not, broadcast TV was the only reliable way to get news updates when the power went out, trees fell down, and buildings flooded. (Some lessons are just hard to learn!)

It’s been quite a year, and Ken and I have enjoyed trying to explain the significance of many of the developments that you’ve heard and read about. We’ll continue to do so in 2013 on an all-new Web site (same name) that should be somewhat easier on the eyes and faster to navigate.

Look for a launch of the new site sometime in mid-January, right after that annual exercise in electronic insanity that takes place in Las Vegas every year. Both Ken and I will have our usual coverage and analysis, and maybe we can even find a couple of gems amongst all of the electronic detritus that lines the aisles of the Las Vegas Convention Center.

That’s it for now. Have a safe and happy holiday season and a safe New Year. And in the wake of the Newtown, CT tragedy, remember to keep all the gadgets we lust after and “can’t live without” in perspective: It’s just a bunch of dumb wires and components when all is said and done.

There are more important things in life…

Red Ink at Morning; Investors Take Warning! – Pete Putman

November 1 was the quarterly earnings reporting day for Sharp, Panasonic, and Sony. And the news wasn‘t very good.

On Thursday, Sharp warned investors that it could lose $5.6B for the current fiscal year, and watched helplessly as its stock price plummeted to 25% of its value since the start of the year. According to a Reuters story, Sharp’s commercial credit rating fell by six notches, making it all the more difficult for Sharp to borrow additional funds to stay afloat.

Sharp’s incredible plunge in share price and net valuation adds considerable pressure to close a proposed deal with Hon Hai Precision, wherein the latter company would become Sharp’s largest institutional shareholder. But there have also been rumors that Sharp is trying to negotiate financial support from Intel and Apple, who uses Sharp panels in its iPad and iPhone products.

Things aren’t much better down the street at Panasonic, where the company ambushed analysts by forecasting a $9.6B loss for fiscal 2012. That number is about 30 times what the market expected, and Panasonic paid the price as its shares dropped by 20%, hitting a low in valuation not seen in 30 years.

Analysts have called for Panasonic to shed more personnel, but so far, the company plans to stand pat. According to Reuters, the company is likely to change direction and move away from money-losing television and other consumer electronics business units. The company’s stock price has dropped by more than 35 percent as it continues to restructure after closing the acquisition of Sanyo.

Panasonic’s earnings announcement was a surprise as the company had eked out a modest profit in the 2nd quarter of this year. But once again, the culprit appears to be televisions, an area where Panasonic has lost money for four consecutive years.

Sony, the poster boy for mismanaging a flat panel television business strategy, fared slightly better than its competitors. The company managed to squeeze out a $379M operating profit for the 2nd quarter, compared to a $20M loss a year ago during the same time period. But analysts attributed a good portion of that profit to the sale of a chemicals business, according to yet another Reuters story.

Even so, Sony is sticking to its original forecast of a $1.63B profit for fiscal 2012, which ends in March of 2013. But analysts still expect the company to lose money for the ninth consecutive year in its television operations, and Sony did announce it expects to sell fewer televisions this year (14.5M) than in 2011.

How much longer can this go on? The answer (at least in Sharp’s case) is until 2014, thanks to an additional $4.5B in bank loans obtained from Bank of Tokyo-Mitsubishi UFJ and Mizuho Corporate Bank. (Betcha the Japanese government was involved in that decision!)

How all of these companies got into this mess is a long story, but the main culprit is the near-commoditization of the television business. Worldwide television shipments are dominated by Samsung and LG, who control nearly 45% of the market between them.

In comparison; Sony, Sharp, and Panasonic together account for about 20% of worldwide TV shipments. It wasn’t that many years ago that Sharp had 21% of the LCD business to itself. Now, it struggles to maintain a 5% market share, and Sony is barely attaining 9%.

The decline of the Japanese TV industry has been well-documented by this and other publications. The trend is so clear and irreversible that we analysts often wonder just how far these companies will go to deny the truth and continue struggling to right what is obviously a sunken (not sinking) ship.

The fact is; all three companies have other business units that have plenty of upside. Assuming Sony comes to its senses and gives up on television manufacturing, it can do well in cameras, computers, and imaging – and may even see some gains from its PlayStation operations. Sony is doubling its efforts in cell phones and tablets, too.

Panasonic, thanks to its acquisition of Sanyo, is well-positioned to be a leader in both solar energy and battery technology, even though worldwide demand for solar cells is weak right now. The company has expanded its IPS-alpha LCD manufacturing capacity at its Gen 8 Himeji plant, showing 20-inch, 32-inch, and even 47-inch 4K panels. And it appears Panasonic is pushing ahead with OLED R&D, anticipating the eventual sunset of plasma technology.

That leaves Sharp, whose decision to build the Gen 10 Sakai LCD fab may or may not have been a smart idea in retrospect. But what’s done is done, and now Sharp has to find a way to push plant utilization back to full capacity.

Given that Sharp appears to be closer to implementing IGZO (oxide) backplane technology than anyone else, and that Hon Hai is in the driver’s seat with Apple for now, the storm clouds over Osaka should be parting in the next year if the Hon Hai deal closes and if Sharp does the sensible thing and exits the TV business in an orderly fashion.

Otherwise, we may witness an enormous corporate bankruptcy, created by financial winds so strong that no one on earth can possible control them…

This article originally appeared on the Display Daily Web site on November 5, 2012.

Ain’t No Cure for the Summertime (TV) Blues – Pete Putman

With the economy wobbling steadily towards a recovery and the digital TV transition well behind us, most consumers appear content to sit on their existing TVs, looking for a rock-bottom deal as an incentive to upgrade.

 

There are a host of reasons why TV sales remain sluggish. The most obvious is spiking interest in so-called ‘second screen’ TV viewing platforms, such as tablet computers, laptops, and mobile phones; all at the expense of conventional TV sets.

 

Another reason is the low rate of turnover on TVs purchased within the past 5 to 10 years. (Yes, I know people that are still using older Samsung, Sony, and Mitsubishi rear-projection TVs from the start of the last decade!) I’ve even run into a few folks lately that have massive flat-CRT TVs from 12+ years ago that are still humming along. ‘Yes,’ they want to replace them, but ‘no,’ they don’t have the cash right now.

 

You can’t fault TV manufacturers for trying. There was plenty of hoopla back in 2009 when 3D TVs made a splashy entrance. Today? 3D functionality is mostly an afterthought, and is built-in to more than half the models in any given line-up.

 

I’ll take a contrary position to many of my colleagues at Display Daily and state that 3D isn’t going to be a factor in driving TV sales for several years – that is, until a workable, quality glasses-free solution comes to market. And that will likely require 4K display glass to implement. Sales of 3D TVs have consistently been tepid in North America (stronger in China and Indonesia), and manufacturers aren’t talking much about them these days, as Chris Chinnock detailed in his CEDIA report last week.

 

What about demand for Internet-connected TVs? I figured Internet connectivity to be a big driver of future TV sales, but it looks like I guessed wrong – at least, in this part of the world.  A recent study by GfK Associates revealed that NeTVs were most popular in China, Brazil, and India, while the United States, Great Britain, and Germany lagged behind. GfK went so far as to say that viewers in the latter three countries “…are stuck in an ‘analog’ mindset, whereas viewers in emerging markets are more likely to exploit the digital capabilities of Connected TV.”

 

According to the GfK report, only 29% of United Kingdom and 29% of U.S. consumers indicated that they were specifically looking to buy an Internet-connected TV, as opposed to 61% of respondents in India and 64% in China.

 

There was a hidden “ah-ha!” in the GfK report, though. 67% of all respondents are definitely interested in some form of touch and/or gesture control in a television, and 43% want to control their TV with something other than a traditional remote control. Perhaps TV manufacturers need to focus more on improving the user interface to drive future sales?

 

One of the problems with NeTVS is the diverse and non-compatible operating systems and GUIs used by different manufacturers. At the recent IFA show in Berlin, LG Electronics and Philips announced they would join forces to develop a common NeTV platform for listening to music, watching Internet videos, and playing games on line.

 

Both companies are founding members of the Smart TV Alliance (http://www.smarttv-alliance.org/) and are actively soliciting additional members. Their goal is to develop one common platform for apps and the OS so that consumers feel comfortable working with any TV brand.

 

However, CE giants like Panasonic and Samsung are deeply invested in their own platforms, like VIERA Cast and Smart TV, and have shown no enthusiasm for working with competitors. “Alliances may be possible, but we’re not at that stage yet,” Hyun-suk Kim, the head of Samsung’s TV business, said in a Bloomberg story. “Everybody is using their own platform right now, but the small companies find it very difficult to get content and services. Having a unified platform would be very helpful for the industry but I’m not sure it’s the right time for Samsung.”

 

Could Google’s Android platform be the answer? The first version of Google TV was met with a large yawn, and the second roll-out isn’t faring any better, according to Bloomberg. Both Sony and LG have built-in Google TV GUIs in their TV products – a huge improvement over the clunky, slow first version. But to date, consumers aren’t buying it.

 

Perhaps the answer is content delivery. TV manufacturers have tried for years to incorporate some sort of content pipeline interface and advanced program guide, with limited success. At one time, LG even built hard drives into several of their plasma TVs for time-shifting, and the number of ‘boxes’ available for Internet streaming is seemingly endless.

 

Today, most popular video and movie streaming sites are directly accessible from ‘apps’ and built-in channel buttons on late-model TVs; the best-known being Netflix, Hulu, and YouTube, which together account for better than 70% of all Internet video traffic.

 

Harnessing content and selling it is what Apple is all about, and it’s long been rumored that they will launch a TV this fall. Not so fast! says another story on Bloomberg.com. According to the story, Apple has run into a brick wall with cable companies such as RCN and Comcast, along with major networks like CBS.

 

The reason? Cable and media companies are concerned that a better-designed Apple product will undermine their business model, and fear that Apple will create a better user interface. As a result, analysts are predicting that we will definitely not see an Apple-designed television this year. “If I’m a cable company, do I really want to let Apple into my house?” said Jason Hirschhorn, the former chief digital officer at MTV.

 

The last consideration is 4K, which for 99% of all consumers is simply a pipe dream – too expensive, no content (yet), and little perceived value. Yet, that didn’t stop Sony and JVC from both announcing 84-inch 4K LCD TVs at IFA and CEDIA. (And yes, they are plenty expensive!)

 

There are two problems with these announcements. First off, Sony hasn’t made a profit for the past 8 years in televisions, and in fact has lost a considerable amount of money, dragging the company’s stock price down. So why bother with a $20,000 TV product that will sell in miniscule amounts? Probably to be cutting-edge and trendy, a mindset that has driven Sony’s marketing and sales efforts for many years now.

 

Second, JVC is a very minor player in the TV business. As a small Japanese electronics manufacturer working under tight budgets, they can’t hope to have significant sales in televisions, and may have just brought this product out to make a splash. They do much better with their industry-favorite D-ILA LCoS home theater projectors, of which there is now a 4K version.

 

Throw in LG’s recent announcement that they won’t be able to ship a 55-inch OLED TV to market in Q4 after all, and you can hear a loud, collective sigh of despair and frustration rolling eastward across the Pacific Ocean. We’re less than three months from Black Friday, and no one has the answer(s) yet…

 

This article originally appeared on Display Central 9/10/12.

 

http://www.display-central.com/home-entertainment/aint-no-cure-for-the-summertime-tv-blues/

Is a Stampede of Big LCD Displays Approaching?

On Wednesday, July 18, Samsung unveiled its long-awaited 75-inch LCD TV to the public at an event held on the USS Intrepid in its Sea, Air, and Space Museum.

 

The fact that Samsung has a 75-inch LCD cut isn’t anything new. In fact, Samsung showed this very same product at last month’s InfoComm trade show, billing it as the “largest e-LED display available.”

Sharp's not the only one who knows how to serve up a monster TV.

But it was only a matter of time before the product was pushed out onto the market. Sharp has been making waves with their 80-inch LCD TV, which retails for about $5,000 and offers full 1080p resolution with LED backlighting.

 

While sales of this product are relatively small in the consumer space – the size and price are daunting to the average buyer – the commercial AV channel is another beast altogether. An ever-increasing number of dealers are now substituting the 80-inch TV for projector installations, motivated by client demand and a significant reduction in cost over a two-piece projection solution with motorized screen and ceiling mounts.

 

At InfoComm, Sharp took the wraps off of a 90-inch LCD monitor, and a week later, announced a TV version that will sell for about $10,000. That was probably too much ‘buzz’ for Sharp for Samsung to stay quiet about its plans. So, ready or not, here is a 75-inch ES9000 LCD TV product that supports Smart TV and 3D applications and has a built-in retractable camera for Skype conferencing.

 

And it will retail for $9,999.

 

My first take on the price is that it is too high. Even though this is a much skinnier TV than the Sharp and has a barely-noticeable .31” bezel, the damage has been done – Sharp has already established a price point of $5K for a comparable screen size. Look for Samsung’s MSRP to drop a few thousand dollars, especially if commercial integrators show enough interest and can get the extended warranty they managed to pry out of Sharp.

 

Of course, all of these large LCDs pose a real competitive threat to large plasma screens, such as Panasonic’s 85-inch offering which costs more than twice as much. As my colleague Ken Werner points out in his recent post, plasma display technology is not far from the endangered species list, if you go by market demand and units sold for the past four quarters.

 

And the cut-throat nature of the TV business in general is leading to some ridiculous price cuts. Earlier this year, you could buy the Sharp 70-inch LCD TV for just under $2,000, and the delta on 50-inch to 60-inch TVs has narrowed between LCD and plasma considerably.

 

For now, Sharp holds a strong hand with their Gen 10 Sakai LCD fab, the only one that big in the world. Samsung has to crank out their 75-inch glass on a smaller Gen 8 fab, which means fewer large cuts from the motherglass and presumably a higher production cost.

 

We still haven’t heard much from LG Display, who has shown they can build some nice-looking 84-inch panels with 2K and 4K resolution. I can’t imagine they are sitting on their hands and certainly will be a player in the commercial AV space with bigger LCD displays if market demand arises. Look for a ‘big’ LG LCD TV to make its debut this fall as a result.

 

As I mentioned earlier, the consumer TV business is in the tank for all but a handful of companies right now. But there is plenty of demand for commercial installation of these products either as public displays in areas with high ambient light or as replacements for two-piece front projector installations.

 

So are we seeing the beginnings of an LCD stampede? Might want to saddle up your horse and head for the hills, just to be safe…