Price Competition
Intense price competition between manufacturers of next-generation high-definition TVs has started in Korea.
According to industry sources on October 13, Samsung Electronics recently cut prices for its 65-inch and 55-inch UHD TVs. Samsung’s 65-inch UHD TV unit price is 7.4 million won (US$6,905.89), down 17% from 8.9 million won in May. Its 55-inch ultra high definition televisions cost 4.9 million won (US$4,566.80) per unit, a 23% decrease compared with the initial price of 6.4 million won.
LG Electronics also lowered prices for its 65-inch and 55-inch UHD TVs by 17% to 7.4 million won (US$6,905.89) and 4.9 million won (US$4,566.80), respectively. The initial unit prices were 8.9 million won and 5.9 million each.
Ultra HD TVs have a resolution of 3840x2160, four times higher than 1920×1080 of full HD TVs.
In the overseas market, Sony and Chinese companies are vying for price cuts. In particular, the Japanese electronics company is trying to make a comeback with UHD TVs.
In the US, Samsung lowered prices for its 65-inch and 55-inch UHD TVs to US$5,000 and US$4,000 each. Initially, the 65-inch TV unit price was US$7,500, while the corresponding figure for 55-inch TVs was US$5,500. LG cut prices as well. Its 65-inch and 55-inch UHD TVs can be purchased with US$6,500 and US$4,500 each, per unit. At first, they cost US$8,000 and US$6,000, respectively.
Ultra HD TVs became commercialized in August 2012, when LG Electronics launched the industry’s first 84-inch products. In January 2013, Samsung Electronics unveiled its 85-inch version. Sony introduced its relatively affordable 65-inch and 55-inch UHD TVs, whereas Chinese firms flooded the market with cheap small and medium-sized items.