Samsung Underestimating Apple's Potential Impact on Television Market?

Soon after rumors of Apple's plans for entering the television market began to gain significant momentum late last year, analysts noted that the industry's existing players were already "scrambling" to react to Apple's likely entry and its chances of remaking the industry.

But perhaps not all television manufacturers are sweating Apple's arrival, as Pocket-lint reports on comments from a Samsung product manager indicating that his company is confident that its massive investment in picture quality improvements will trump anything Apple might be able to put together in other areas.

"We've not seen what they've done but what we can say is that they don't have 10,000 people in R&D in the vision category," [Samsung product manager Chris Moseley] said.

"They don't have the best scaling engine in the world and they don't have world renowned picture quality that has been awarded more than anyone else.

"TVs are ultimately about picture quality. Ultimately. How smart they are...great, but let's face it that's a secondary consideration. The ultimate is about picture quality and there is no way that anyone, new or old, can come along this year or next year and beat us on picture quality.

"So, from that perspective, it's not a great concern but it remains to be seen what they're going to come out with, if anything."

As a product manager, Moseley's words carry less weight than if they had come from a senior executive with broader responsibility for the company's overall direction, and so it remains unclear whether Moseley's lack of concern about Apple's plans is a personal perspective or a broader indication of the company's thinking on the matter. Moseley is also obviously charged with promoting his company's products and thus would be expected to position them as industry leaders.


Nevertheless, Moseley's comments leave him open to comparisons with other representatives of Apple's competitors who underestimated the company as it entered new markets. Executives at Microsoft and Research in Motion famously panned Apple's iPhone announcement, while others scoffed at Apple's plans to completely reinvent the tablet market with the iPad.

Apple's ultimate plans for a television set are unknown, and its ability to drive a revolution in the well-established and low-profit television industry remains to be seen, but the company's success over the past 10-15 years has proven that competitors would be wise to keep an eye on Apple's efforts.

Top Rated Comments

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114 months ago
What is he supposed to say? "We are running around like a bunch of chickens with our heads cut off over a product that might not even exist" :rolleyes:
Score: 45 Votes (Like | Disagree)
Avatar
114 months ago

TVs are a commodity item - and current offerings already offer a good feature set.

It's not whether Apple can produce a good TV... it's whether the market will bear an Apple-style premium price. Personally I doubt it.

Apple hasn’t charged a premium price in ages. Competitors from MacBook Air-alikes to tablets have had a tough time coming close to Apple’s pricing without cutting a lot of corners!

Apple, if they enter this market, will be competing against a “TV plus something,” not against a TV screen alone.
Score: 20 Votes (Like | Disagree)
Avatar
114 months ago
Finally Cracked it...

Maybe Jobs meant that he finally figured out how to crack a Samsung screen.
Score: 18 Votes (Like | Disagree)
Avatar
114 months ago
TVs are a commodity item - and current offerings already offer a good feature set.

It's not whether Apple can produce a good TV... it's whether the market will bear an Apple-style premium price. Personally I doubt it.
Score: 17 Votes (Like | Disagree)
Avatar
114 months ago
How can Samsung underestimate a product that technically does not exist? What a load of nonsense.
Score: 15 Votes (Like | Disagree)
Avatar
114 months ago

Just look at MS. Massive R&D budget with an employee count that dwarfs Apple's. Then compare their results to Apple's for the last 12 years or so. A big eye-opener.


What? Helped make computers a regular household item, completely conquered the enterprise marketspace, and released a successful home console that's currently transitioning to a rather robust content delivery service?

Yeah. Microsoft has been a failure since day one.
Score: 11 Votes (Like | Disagree)

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