Rough Week For Plasma
If reports out of Japan this week prove correct, the industry may be losing a pair of powerful players in the plasma TV category.
Over the weekend, Japanese news services cited sources saying that Pioneer may be planning to exit the TV business, and will handle its video products, including Blu-ray players, through a joint venture with investor Sharp.
Then in conference calls with the press, Vizio officially said it was giving up its foray into plasma (at least for now) to focus on more advanced LCD TV products, including models with 120Hz and 240Hz processing.
Laynie Newsome, Vizio’s co-founder and sales and marketing communications VP, told us, “We are not planning on shipping any plasma products going forward. We have decided that with the recent cost decreases in the LCD TV market that LCD may be a better choice for consumers from the Spring time forward, based on the cost of product and the feature set.”
Newsome continued, “Consumers have shown in the retail environment that they prefer LCD because it is transmissive and doesn’t reflect any light.”
Newsome explained that the company’s decision last year to add plasma SKUs in the 32-inch and 42-inch screen sizes was based on the company’s ability to deliver “incredible value and performance” but now that LCD pricing has declined so much, “it is a better choice for consumers this spring.”
Newsome didn’t rule out the possibility that Vizio could return to the category if given the right price and performance advantages.
On the U.S. side, Pioneer spokespeople issued only a formal “no comment” in reply to the TV exit story.
Paul Gagnon, DisplaySearch North American TV research director, said that if both companies leave the plasma category, it will have a negative impact on market projections, but “neither [company] does a substantial amount of volume, so the impact won’t be large.”
Panasonic remains the kingpin of the plasma display category, but in the past company executives have said they would carry the business even if it were the last player standing.
Let’s hope so. Both plasma and LCD categories have significant strengths in the right applications, and plasma manufacturers have made tremendous strides in recent years evolving the technology to new levels of price and performance.
The industry could ill afford any further reduction in its display assortment at a time when rear-projection and CRT products are fading from sight.
Frank C. commented:
Frank C. commented:
Definitely this is the worst news for videophiles who are going for
perfection! I am a AV salesman and I alway recommend Pioneer Elite
Plasma to my customers and they all express their appreciations of
my advices after they got their TVs. In this year's CES, the
Pioneer Elite still have the BEST PICTURE among all the other
competitors' new products. [ Comparison among TVs this year was
easy as everyone demonstrated with The Dark Knight BD ]. I was very
sad that Pioneer decided to stop producing the Best TV in the
market. In the past, I changed my Elite plasma every year with its
new model. From this year onward, I will hang on to my PRO-111FD
for the long long time. I just hope that Pioneer will start making
TV again when the economy gets better.
CRT Owner commented:
Is this progress? Sure; but market progress, not technical. If
plasma can shake the sigma of the old Jaguars (beautiful but in the
shop more than the home), then it could stay alive (or come back).
However, it will likely come back with a different name (something
other than plasma, like 'wave gas') and a slightly different
technology (organic plasma?). Beta and VHS: ah yes... but licensing
issues kept companies out of Beta. VHS provided for only a partial
signal reproduction but who cared when ghosty TV signals were all
you could get back then anyway? VHS was better than broadcast
reception at the time. Laser Disk should have won if you want to
talk technical -- but eventually that came back as DVD-Video.
HD-DVD or Blu-Ray Disc: What studio wants to back a platform that
doesn't provide region protection? It doesn't matter that it may be
a better platform. Anyone remember the Wi-Fi and HomeRF battle?
HomeRF was faster but geared toward only the home. With Wi-Fi the
work notebook PC connects at home. It is not a sad day when people
are happy with what they have and the prices are in the range they
can afford. Two Kuro panels? That's a car for my teen. Not everyone
will buy the Ferrari that they really want -- even if they could
afford it. Perspective and priority shapes buying decisions, not
just being told what's "the best."
CRT Owner commented:
Douglas Smith commented:
Douglas Smith commented:
I think that it is most unfortunate for Pioneer to be exiting the
TV market. They have produced top-of-the-line TVs for a long time
now. However, we live in a society that is "dumbed down" in almost
every aspect. So, when you make a superior product that is priced
rather higher than the competition's inferior products, the average
consumer will go for the cheapie. As an owner of two Kuro panels,
they really are magnificent. However, everyone that I know has gone
for the cheaper alternative when shopping for their flat panel TV.
The wiser ones have gone for Panasonic plasmas, but you can now buy
an LCD set for far less. Recall what happened with Beta and VHS.
It's sad time, and a sad statement on our society, when people
almost always go for the cheaper and lower quality alternatives. Is
this progress?
in response to 12 yrs selling commented:
This is a sad day in electronics to be losing the best television
maker in the industry. Yes major electronic chains play a role but
please don't make it out to be all their fault. Most of the sales
associates prefer plasma. The problem is the opinion of ones
brothers sisters cousin who may make tires for a living informs
that LCD is a much better technology and the sales associates
crediblilty can't compete with the "expert" opinion of the tire
making cousin. I think we agree that more could have been done by
the manufacturers to dispel some myths. Indeed, very sad.
in response to 12 yrs selling commented:
Ronaldo Franchini commented:
It was the same as with the HD disc format. HD-DVD from Toshiba was
the best but Blu-Ray from Sony won. Who can withstand the strength
of the market?
Ronaldo Franchini commented:
12yrs selling electronics commented:
The sad truth is that if consumers were better informed by sales
associates at major electronics chains plasma would be king and lcd
would disappear. Anyone that has done a direct head to head with
the two technologies walks away knowing plasma has a better
picture. It's the fear of problems from many years ago that has
allowed lcd to gain market share as very little has been done to
inform consumers. Very Sad.
12yrs selling electronics commented:
