A flat panel TV battle is looming in Australia between Samsung, plasma market leader Panasonic and LG Electronics following the decision by Pioneer electronics to quit the top end of the TV display market.
In recent days both LG and Samsung have issued statements claiming that they are committed to the plasma market and that during the next 12 months they will not only be launching new models but cranking up their marketing in an effort to take share away from each other.
During the past 18 months several vendors including Hitachi, Fujitsu, Philips and Pioneer have quit the Australian plasma TV market. This say retailers like Harvey Norman, JB Hi Fi and Audio Connections has led to a shortage of panels.
David Ackery the General Manager of Electrical at Harvey Norman said some weeks ago that TV panel shortages had been caused by vendors underestimating the impact that the exit of vendors would have on the market.
“Flat panel TV’s have been in short supply because vendors underestimated the demand and the exit of vendors. Plasma is still popular at the top end of the market and I am confident that it will survive”.
Len Wallis of Len Wallis Audio said “The top end of the flat panel market is still plasma and when we show consumers the difference between plasma and an HD LCD TV they can see the quality difference. Plasma is still the best in the larger screen market and the fact that there are now three core players will be interesting”.
Last week Samsung announced that they are ramping up production of plasma TV panels and earlier today LG issued a statement which claimed that as a founding member of the Plasma Display Coalition, we are committed to the plasma business and we believe plasma TVs are an important segment in the flat panel display sector.
In addition, unlike some current and former plasma TV players, LG possesses core technologies for plasma TVs and PDP modules, giving us unique advantages in the market. We have invested heavily to strengthen the LG brand in this segment and will continue to do so.
The demand for plasma TVs is still growing. Based on this, we have set a global goal to sell 3 million plasma TVs in 2009, giving us 19 percent of the total plasma TV market. We will focus primarily on plasma TVs 50 inches and larger, where demand is highest.
Warren Kim, TV Category Manager, LG Electronics Australia said “LG Australia has experienced year on year growth in market share for the plasma TV category. On a local level, we will be focusing primarily on Full High Definition plasma TVs where demand is rapidly growing.”
He added “To help us achieve our goal for this year, LG is introducing new plasma TVs with advanced features like Time Machine function and Full HD resolution, along with innovative frameless designs. Additionally, LG is initiating and expanding relationships with both premium retailers and mass merchandisers through proactive collaboration in promotional activities for plasma TVs”.
In 2009, we integrated our PDP module and plasma TV businesses to leverage vertical efficiencies between sets and components and create a stronger supply chain.
