[opendtv] PR: Philips Adding DLP, Will Also Push Flat TV
- From: Craig Birkmaier <craig@xxxxxxxxx>
- To: OpenDTV Mail List <opendtv@xxxxxxxxxxxxx>
- Date: Wed, 13 Jul 2005 08:22:41 -0400
Philips Adding DLP, Will Also Push Flat TV
July 13, 2005 12:00am
Source: TWICE
New York - Philips will introduce later this year its first
DLP-based rear-projection HDTV sets under the volume-oriented
Magnavox brand - and possibly in the step-up Philips line - but will
emphasize its role as a leader in flat-panel HDTV sales and
development, Des Power, Philips' sales and marketing senior VP,
announced at the company's summer line review.
Philips chose to underplay the DLP rear-projection television
announcements during the recent pre-Christmas summer showcase -
revealing the decision only during the Q&A portion of the
presentation - as it stressed new flat-panel plasma and LCD HDTVs
using its proprietary "AmbiLight 2" backlighting system.
The company will introduce a Magnavox-branded DLP HDTV set in the
third quarter, with details to be announced later, the company said.
In explaining Philips' decision to underplay DLP, Power said Philips
sees flat-panel television eventually dominating the television
market.
"As a consumer electronics company, we are passionately and
aggressively driving our flat-TV business," Power said. "It is our
belief that the aggressiveness and excitement in the flat-TV
business is going to continue to put the squeeze on the entire
microdisplay segment, and it is Philips' belief that that is going
to put microdisplay on the quartile-two part of the business.
"Seeing as we have the perfect brand to do that, we are looking at
having a Magnavox DLP product to compete in that more budget-oriented
part of the segment, and we will be going full steam ahead with
Philips in our commitment to driving full flat-TV leadership."
Philips will position DLP under Magnavox, which is traditionally used
to market more "mature technologies" and commodity-oriented products.
Last year, Philips had introduced microdisplay rear-projection
televisions based on a one-chip LCoS light engine under the Philips
brand, but later scrapped the technology as market prices for
competitive products using DLP and LCD continued to plummet, hurting
Philips' ability to make a profit from its LCoS offerings.
For this year, Power said Philips has "totally renewed" its
flat-panel TV line in large screen sizes 32W-inches and above. All
are fully integrated with ATSC digital tuners, and a majority of the
models include CableCARD slots, Power added.
The company will offer five plasma models under the Philips brand,
including three models in the 50W-inch screen size and two models in
42W-inch sizes. In large-screen LCD TV, Philips will carry two
32W-inch models, one 37W-inch model and two 42W-inch models. All of
those models will also include ATSC tuners and CableCARD slots.
At the top of the lines are the company's AmbiLight models, which
feature rear-panel backlighting that illuminates a rear wall with
color and brightness levels synchronized to match the predominate
look of the image on the screen.
This year, the line will feature two steps of AmbiLight TVs. A
42W-inch plasma, a 42W-inch LCD TV and a 50W-inch plasma TV will
each incorporate AmbiLight 1 technology, which debuted last year.
AmbiLight 1 models include the 42W-inch HD LCD TV set, model
42PF9730A ($3,499); the 42W-inch HD plasma set, model 42PF9630A
($2,999); set and the 50W-inch HD plasma set, model 50PF9630A
($4,799).
A step-up 50W-inch (50PF9830A, $5,299 suggested retail) plasma HD set
and a 42W-inch LCD HDTV set (42PF9830A, $3,999) will both ship in
September featuring AmbiLight 2. The new technology further refines
the backlighting system by adding separate systems for each half of
the screen. This gives a stereo effect to the synchronized
backlighting technology.
Both AmbiLight 2 models will also include Ethernet ports allowing
users to connect to wired or wireless adapters to stream JPEG images
and other content from remotely located PC hard drives and other
devices.
In addition, Philips will feature an entry 42W-inch HD plasma set in
the 42PF7320A ($2,699) and a 50W-inch HD plasma set in the 50PF7320A
($4,499). Both include a pair of HDMI/HDCP inputs, ATSC, NTSC and
QAM cable tuners and CableCARD slots.
Philips will also feature an entry 32W-inch HD LCD TV in the
32PF7320A ($1,999), also including ATSC/NTSC/QAM tuning and
CableCARD slot.
Philips will also carry a line of smaller-screen LCD monitors in the
15-inch; 17W-inch; 19-inch ($579, July); 20W-inch ($699, now); and
23W-inch ($1,599, now) screen sizes.
Scott Levitan, Philips' flat TV/home entertainment networks VP, said
AmbiLight helped Philips expand its retail positioning with flat TVs
last year.
"We are very well placed with both leading national accounts, as well
as in select regional accounts with AmbiLight," said Levitan. "There
is no major national account where we do not have a presence with
our large-screen Philips branded flat TV."
Levitan said Philips has used its Magnavox brand for select
flat-panel TV models to compete aggressively with the numerous
third-tier start-up companies that are using low-price strategies to
gain a foothold in the market.
With our business models, we are able to compete with all brands,"
Levitan said.
Power said Philips will continue to support dealers with a full line
of CRT direct-view sets and CRT-based rear-projection HDTV sets. He
cited market research studies that showed Philips as the No. 2
direct-view CRT-TV supplier in 2004.
"It's no secret what's going to happen to the CRT business," Power
said. "We think you have to be extremely clever in how you manage
that in the coming couple of years. As a company, I think we have
been smart with our investments not only in our [LG.Philips] LCD
joint venture, but in our [LG.Philips] CRT tube joint venture."
Power acknowledged that the CRT business is becoming more commodity
oriented, which plays in well with Philips' dual brand strategy that
allows it to position more of the low-end CRT products under
Magnavox, while saving some more advanced widescreen HDTV products
for the Philips brand.
But going forward, the company's investment dollars in both research
and development and advertising will be focused on "making Philips
the flat-TV brand in North America," Power said.
For more on Philips' video products and sales strategy see story at
www.TWICE.com .
<<TWICE -- 07/13/05>>
<< Copyright ©2005 Reed Business Information. All Rights Reserved. >>
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