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Samsung Cuts Into Vizio’s Lead in U.S. LCD TV Market in Second Quarter

While Vizio Inc. maintained its leadership in the U.S. LCD-TV market in the second quarter, No.-2 ranked Samsung Electronics Co. Ltd. closed the gap significantly as buyers gravitated toward its LED-backlit sets, according to iSuppli Corp.

Samsung’s share of U.S. LCD-TV unit shipments rose to 21.3 percent in the second quarter, up 3.5 points from 17.8 percent in the second quarter. The gain represented the largest increase of any LCD-TV brand in the United States in the second quarter. With its strong rise, Samsung of South Korea in second quarter cut Vizio’s lead to only 0.4 percentage points, down from 3.6 points in the first quarter.

“Samsung in the second quarter was very aggressive in introducing and marketing its LED-backlit LCD-TVs, allowing it to boost sales of these sets,” said Riddhi Patel, principal analyst, television systems, for iSuppli.

“U.S. consumers increasingly are warming up to higher-specification LCD-TV models, including those using new LED-backlighting technology,” Patel added. “iSuppli estimates 2.2 percent of LCD-TVs shipped in the U.S. in the second quarter used LED backlights, up from zero during the same quarter a year earlier. In mature markets like the United States, while many consumers are moving up from their CRT or rear-projection televisions, an increasing number of LCD-TV purchases are replacements of first-generation flat-panel sets. In these cases, consumers are gravitating toward higher-specification televisions, such as those with LED backlights.”

Unlike traditional Cathode Ray Tube (CRT) televisions that generate their own light, LCD-TVs require an additional illumination source-or backlight-in order to present a visible image. LCDs historically have employed Fluorescent Lamps (CCFLs) as backlights. However, due to price reductions, LEDs in recent years have become a viable alternative to CCFLs.

“LEDs deliver multiple advantages compared to CCFLs,” Patel said. “These include achieving greater power savings and thinner form factors for LCD-TV sets and the elimination of toxic materials employed in CCFL manufacturing.”

Global penetration of the LED-backlight technology for LCD-TV panels will increase to 37 percent of all shipments in 2013, up from 3 percent in 2009, iSuppli predicts.

Vizio retains market lead

Despite Samsung’s surge, Vizio retained leadership in the U.S. LCD-TV market for the second consecutive quarter.”

“U.S.-based Vizio continues to benefit from its combination of low-cost and full-featured sets, combined with its high-volume retail channels, including Wal-Mart,” Patel said. “The company seems to have found the right balance between price and features that appeals to many consumers.”

U.S. LCD-TV market rebounds in Q2

The overall U.S. LCD-TV market posted a strong performance in the second quarter, with shipments rising by 8.7 percent to 6.9 million units, up from 6.3 million in the first quarter. This represents a major turnaround from the first quarter, when shipments plunged by 15.3 percent.

“While sales of consumer electronics often decline in the first quarter compared to the hot holiday season in the fourth quarter, LCD-TVs have been so popular that they have defied this trend in recent years,” Patel said. “For example, U.S. television shipments rose by 5 percent sequentially in the fourth quarter of 2008. And even though the economic downturn clearly had a major impact on sales in the first quarter, the rebound in the second quarter shows the market has entered a recovery.”

Beyond demand for LED-backlit sets, second-quarter demand was stimulated by declining prices for older models.

 [August 18, 2009]


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  • Samsung First to Begin Shipping 40nm-class, 32-Gigabyte Memory Module for Server Applications (March 29, 2010)
  • Samsung Announces Launch of eReader for the US Market (March 11, 2010)
  • Samsung to Unveil Broadband HDTVs with Embedded Skype Capability (March 1, 2010)
  • Nokia Weathers Smart-Phone Onslaught, Maintains Industry-Leading Profitability (February 18, 2010)
  • Samsung Flight Takes Wireless Users to New Heights (February 11, 2010)
  • Samsung 500GB External HDD Available Pre-loaded with ‘Michael Jackson’s THIS IS IT’ (February 8, 2010)
  • Samsung Unveils Slim 2010 Plasma Series HDTVs (January 25, 2010)
  • Samsung Announces 30nm-class, High-density NAND Flash for Mobile Devices (January 21, 2010)
  • MOSAID and Samsung Reach Comprehensive Agreement (January 18, 2010)
  • Napster Live on Samsung Connected TVs (January 11, 2010)
  • Samsung, DreamWorks Animation and Technicolor Form a Global Strategic Alliance for 3D Home Entertainment in 2010 (January 8, 2010)
  • Samsung and Bell Mobility Take Mobile Communications to Another Galaxy (December 17, 2009)
  • Semiconductor Market Declines Less Than Expected, Samsung Shines in 2009 (November 24, 2009)
  • Samsung Collects and Recycles 12 Million Pounds of E-Waste in 2009 (November 18, 2009)
  • Samsung Retakes Leadership in U.S. LCD-TV Market in the Third Quarter (November 17, 2009)
  • Samsung Intensifies Advanced Foundry Logic Process Development with New Semiconductor R&D Center (November 9, 2009)
  • Samsung Brings Real-Time Mobile Updates to Fans as Part of Vancouver 2010 Olympic Winter Games (November 6, 2009)
  • Samsung to Collaborate with Microsoft on Green IT Technology (November 4, 2009)
  • New netbook a fashion phenomenon packed with power (October 28, 2009)
  • Samsung Mobile Innovator Announces Update to Samsung Software Developer Kit (October 14, 2009)
  • Leading Companies Form Mobile High-Definition Interface Working Group to Drive Industry Standard for Mobile Wired Connectivity (September 30, 2009)
  • Samsung Announces YouTube Service Availability for Select Blu-ray Players (September 9, 2009)
  • Samsung Maintains Worldwide LCD-TV Lead in the Second Quarter (September 8, 2009)
  • Leading tech company Samsung shows off more than innovative electronics at WorldSkills Calgary 2009 (September 1, 2009)
  • Samsung Announces First TCO Certified Netbook (July 8, 2009)
  • Samsung to Promote New Product With Provision Interactive’s 3D Air Touch Technology (May 14, 2009)
  • Samsung VICE 3G mobile handset makes worldwide debut in Canada (May 11, 2009)
  • Even Samsung Gets Stung by DRAM Downturn (February 10, 2009)
  • IBM Research and Samsung Electronics to Boost Automation in Consumer Electronics Industry (December 10, 2008)
  • Samsung Announces Major European Hotel Deals (December 1, 2008)
  • Samsung Electronics Launches Innovative Cultural Initiative: The Samsung Imagination Icon Series (August 25, 2008)
  • Leaders in Consumer Electronics and Wireless High-Definition Video Delivery to Discuss the Next Wave of Wireless Audio/Video Connectivity (July 24, 2008)
  • Samsung and its 2160p screen (July 7, 2008)
  • Bell and Samsung provide Canadian Olympic Team with global connectivity at the Beijing 2008 Olympic Games (June 25, 2008)
  • Marvell and Samsung Announce Shipment of New PDA Phone in Korea (December 26, 2007)
  • TELUS gets personal with new wireless phone (November 23, 2007)
  • Samsung Chooses Azimuth Systems’ Fixed-Mobile Convergence Performance Test Solution (October 30, 2007)
  • Bell debuts exclusive Samsung u740TM Double-Flip device (August 15, 2007)
  • Samsung Takes the Multi-Purpose Digital Camera Concept to the Next Level with its New Thin Eight Mega Pixel i85 (July 30, 2007)
  • Samsung cements leadership in enabling rich digital experiences at CES 2007 (January 9, 2007)
  • Want 2 Go Out 2nite? Samsung Survey Reveals Americans Open to Texting Matters of the Heart (October 13, 2006)
  • Samsung increases storage capacity with Hot new 400 GB parallel and serial ATA hard disk drives (June 5, 2006)
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