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Audiovox Cuts In-Car FLO TV Price

9/22/2010 11:53:55 AM Eastern

Hauppauge, N.Y. - Audiovox is
banking on a major price cut to its FLO TV in-car TV tuner and continued
advertising by FLO TV to boost the product's sales during the holiday season.

Through retail channels, the price
of the Audiovox-brand FLO TV tuner, which connects to existing car video
systems, has been reduced to $199.99 from $399.99, plus installation. The
wholesale price of a version for the expediter channel, which sells through car
dealers, "has been significantly reduced," the company added.

 The tuner is able to receive FLO TV's
subscription service while a vehicle is in motion.

 "This move, combined with advertising programs
from FLO TV Inc., a wholly owned subsidiary of Qualcomm Inc., clearly indicates
the commitment that both companies have to this new product category and should
result in a significant impact on sales as retailers and car dealers move into
the key holiday selling season," Audiovox said in a prepared statement.

 Said Audiovox Electronics president Tom
Malone, "Making a price move at this juncture makes sense. We and our partners
at FLO TV are totally committed to the idea of affordable live mobile TV and to
finding the price delta that will allow this product to reach what we believe
is its explosive potential. As we enter the key holiday selling season, we
wanted to make sure that our retail partners were armed with the very best
tools to achieve success. This price move along with the current advertising
campaign from FLO TV should do just that."

Earlier this year, the company
shipped the Audiovox-brand FLO TV car kit. With installation, it retailed for
about $599.  The Advent-branded expediter
version was launched in late 2009 and sold for anywhere from $899 to $999,
including installation.

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