[opendtv] Re: CE sales Agenda
- From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
- To: <opendtv@xxxxxxxxxxxxx>
- Date: Mon, 28 Nov 2005 11:15:43 -0500
Craig Birkmaier wrote:
> > And I could almost accept that from a retail outlet,
> > which likely gets some sort of compensation for
> > pushing different services from the service
> > providers, but the CE manufacturers? What's their
> > excuse?
>
> They are in business to make a profit; they do this by
> meeting customer needs.
Customer needs? Why attempt to keep customers away from
what meets their needs?
> They have no obligation to help one of the most
> profitable industries in the Untied States - Television
> Broadcasters - to promote a new standard that the
> broadcasters will not promote themselves,
I agree they have no OBLIGATION to prop up OTA
broadcasters, any more than they have an obligation to
prop up any other business segment that isn't their own.
My question is simply why the CE industry *seems* to
favor the "sucker them into someone else's infinite
revenue stream" model, even when they themselves get no
direct benefit from that provider industry.
> Several decades ago the CE industry realized that
> the traditional approach to developing and selling
> electronics products for the mass market was
> seriously flawed. They would create the platform,
> work together to develop cheap components, then eat
> each other alive to drive down the cost of the
> product. Meanwhile the profits were being made by
> the folks who controlled the content that is
> consumed with these products - the media
> conglomerates, record industry, etc.
>
> So they started looking for ways to create after the
> sale revenues when they sold a cheap box.
But you're going off on a tangent.
How does LG benefit from only selling *TVs* with their
5th gen chip, not recording devices, not STBs? I'm not
saying that LG shouldn't *also* sell the 5th gen chip
in DBS receivers. I'm simply asking why NOT incorporate
your best technology in products that don't assist some
third party service provider. What do they have to lose
if they sold the best products they could make, at the
price point?
If LG itself owned a cable or DBS franchise, they might
have an excuse. But why only do DirecTV a favor?
> Corporations ARE the personal property of their
> shareholders. management is there to serve the
> interests of the shareholders. To make a profit.
If Henry Ford or Bill Gates had nothing but a profit
motive for getting in business, one wonders why they
didn't simply peddle opium or cocaine. I would hope the
reason isn't something as trivial as "they are
illegal substances."
Bert
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