Expression of Sense of Crisis?
As Samsung Electronics recently uploaded a video claiming technical faults of organic light-emitting diode (OLED) display panels to YouTube, all eyes are on what the company’s intention is.
Considering the business practice that should not mention about competitors’ products when promoting one’s products, it is exceptional that Samsung carried out the “slander marketing” strategy that directly attacks the products of its competitors by spending a considerable amount of money.
According to industry sources on October 15, Samsung Electronics uploaded a 103-second-long video to YouTube at the end of last month under the title "QLED vs OLED: The 12-Hour Image Retention Test.".
Samsung conducted a comparison test between its QLED panel and LG’s OLED panel. After having six professional gamers play games for 12 hours in turns, Samsung claimed, "Image retention has not appeared" on its QLED TV, while stressing the image retention of LG’s OLED TV.
The test appears to be in line with the electronics giant's previous attempts or marketing activities to promote its smartphones – the Galaxy S6 Edge and Galaxy Note 4 – in comparison tests with Apple's iPhone.
In this regard, market watchers say that Samsung Electronics may begin its move to eliminate the OLED market. The company seems to believe that it should no longer sit on its hands as the OLED TV camp is expanding its influence in the global TV market and should take aggressive measures now.
In addition, they also say that Samsung Electronics expresses its sense of crisis as its Consumer Electronics (CE) division, including TV, still shows poor sales, though the company continuously posts a record profit.
In fact, the total operating profit of Samsung Electronics’ CE business division was as low as 700 billion won (US$621.28 million) in the first half of this year, which was lower than 720 billion won (US$638.98) of LG Electronics’ operating profit in the TV business division over the same period.
An official from the industry said, “Recently, the war of nerves between the OLED camp led by LG Electronics and the QLED camp led by Samsung Electronics in the global TV market is more intense than you can imagine. Samsung Electronics’ latest video can be actually seen as its move to start a full-blown war through the “preemptive attack.”