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Logitech Slashes Google TV-Based Revue to $99 as Returns Exceed Sales

As noted by This is my next..., Logitech today revealed that its Google-TV based "Revue" set-top box has been a complete flop, actually recording negative sales numbers last quarter as returns exceeded new sales. In response, Logitech has announced that it will be slashing the Revue's price from $249 to a below-cost $99 and taking a $34 million charge to cover the loss.


Google TV had been seen as a major push into combining television viewing with Internet content, but got off to a rough start as Google asked manufacturers to hold off on introducing Google TV hardware as it sought to refine the software. But the Logitech Revue had already hit the market as a launch product for the concept, and has been unable to find a footing in the consumer market.


Apple has long been treading carefully in the television market with the Apple TV, and Steve Jobs noted in an interview at the D8 conference in June 2010 that the subsidized set-top boxes used by cable companies have squashed innovation in the television market.
On the future of television: "Subsidized set-top boxes have squashed innovation because no one wants to pay for separate boxes...ask TiVo, Roku, us, Google in a few months. The set-top box needs to be torn up and redesigned to get people things they way they want them. And there's no go-to-market strategy for that. With the iPhone, and now the iPad, we could partner with carriers, but television is very balkanized...everything is local.
Apple made its next attempt at the television market a few months later with the second-generation Apple TV, but even still that is primarily a hub for iTunes content with a few third-party streaming services like Netflix, MLB.tv, and NBA League Pass also being supported. Apple has repeatedly referred to the Apple TV as a "hobby", noting that the company feels that "there is something there" but that television presents a very difficult challenge for developing a go-to-market strategy.

For several years, analysts and other sources have been claiming that Apple is trying to develop its own Apple-branded television set integrating iTunes Store connectivity. The company's only public statements on the matter have, however, expressed strong disinterest in such a move given the competitive environment and low margins in the industry, but Apple has certainly been known to publicly dismiss certain ideas even as it has been working on implementing them.



Top Rated Comments

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99 months ago
- Give ATV the app store and everything that brings to the table (including iPlayer, 4OD etc..)
- Let other iOS devices act as controller/keyboard for aforementioned apps

...watch them sell like hotcakes.

Why has this not happened yet?!?!? Seems like a no brainer.

M
Rating: 16 Votes
99 months ago


how do you return more stuff than you can sell?


I think they meant negative sales for that quarter. The ones returned were sold in the previous quarter.
Rating: 12 Votes
99 months ago
The lack of success in the TV space is not the fault of the technology companies. They have been trying many interesting ideas, but always stumble at the same point: Content. These devices will remain a niche so long as the content owners continue to deny premium content at reasonable pricing.
Rating: 11 Votes
99 months ago
people actually paid 250 for something made by logitech???
Rating: 11 Votes
99 months ago
I pre-ordered the Logitech Revue and returned it within a week. It just doesn't do anything.
Rating: 7 Votes
99 months ago
What...
Rating: 7 Votes
99 months ago
My father-in-law has a TV with Google TV in it.

Like most Google products they simply crammed too many features in. It's a TV, not a computer, and people don't want their TV to feel like a computer.

People say the Apple TV doesn't do enough. Well yeah, that's why Apple keeps selling them.
Rating: 7 Votes
99 months ago
Returns exceeding sales? Huh?

Is someone else manufacturing them and returning them to stores to cash in on returns?

how do you return more stuff than you can sell?
Rating: 5 Votes
99 months ago

It's not just the poor interface, but even more importantly, the lack of content.

Many networks started blocking Google TV units from streaming their content.


Yep. That's it.

Blame the content providers who are trying to lock the market every which way they can.

At the same time, keep in mind this is a first generation product. Android is improving fast, which will translate into a better Google TV.

The concept is right, and it is more open and thus ultimately better than Apple TV. It also supports a full version of Chrome (with full Flash support), thus with a full wireless keyboard and a mouse it can come close to replacing a full-blown HTPC.

I use Apple products for all my computing needs, but have gone to PC for my HTPC setup -- it's simply much better than what is possible with Mac OS or iOS (I have tried to make work both a Mac Mini (running first Mac OS and PLEX, then Windows) and ATV).

I think Google has a chance of doing it better with OS 3, to which I would imagine the current Review is upgradable. For $99 I think the Review is a better alternative to ATV, for those who do not install XBMC on it.
Rating: 4 Votes
99 months ago

I read it as... Out of 100 units sold.. at least 51 of them are being returned. So the number they "sell" is lower than the number of returns.


No, no it´s like this:

In Q1 they sell 10,000 of them, then in Q2 they sell 3,000 but see returns of, say, 5,000 (this number includes returns of sales of Q1 that where returned in Q2 as well as returns in the current Q2).

So you have a negative 2,000 units in Q2.
Rating: 4 Votes

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