LG's Google TV Sets Global War Over Next-Generation Smart TV

http://www.koreaherald.com/national/Detail.jsp?newsMLId=20120411000332 (click for full article)

"LG Electronics is set to launch the world's first Google TV version 2.0 in the United States this weekend amid rising expectations about Apple's smart TV debut.


According to a report by Shinhan Investment Corp., LG will set the stage for its attempt to carve out a bigger share in the smart TV market with Google TV, which allows users to enjoy broadcasting, Internet, applications and video with ease.


"Google TV operates on the Google operating system, which enables Internet browsing, social networking, and the Android market through the Google Chrome browser," the brokerage said.


The new 3D LED TV model will come in two sizes ― 47-inch and 55-inch ― and prices on Amazon are set at $1,600 and $2,100, respectively.


LG's push for high-powered TV sets in the world's biggest electronics market comes ahead of Apple's much-speculated-on move to introduce its own TV, possibly near the end of this year or early next year.


Soh Hyun-cheol, analyst at Shinhan, said Apple's smart TV will "spur cooperation within the non-Apple camp such as strategic alliances among Google, Samsung, LG and smart TV content providers."


Soh said that just as Apple's iPhone set off a big bang in the mobile phone market worldwide, Apple's foray into the TV market will likely have a major impact.


For LG, Google TV is a showcase of what it can achieve before a full-fledged battle with Apple gets started. LG is keen to promote its own smart TV platform called "Netcast" while continuing to innovate the user interface and bring in more sophisticated controls based on motion and voice sensors.


LG's Google TV provides a peek into the current level of technologies in terms of smart functionalities, but analysts are expecting something more revolutionary in the near future, particularly concerning artificial intelligence and user interface as Apple's debut in the TV market signals another paradigm shift.


"Subsidies for Apple TV will be offered by telecom operators and cable providers, which should shorten the TV replacement cycle by about two years from the previous eight to 10 years," Soh said.


To stay ahead in the smart TV battle, Soh said, both the Apple and non-Apple camp should produce a glass-free 3D TV, which will require OLED panels rather than LCD panels. Against this backdrop, Samsung Display and LG Display are pouring more investment into OLED TV panel development, the brokerage said. "

 

This is interesting news. According to the article LG will release 2 Google televisions in the USA over the weekend.

However IMO the prices are way too high - $1600 and $2100. Wholly Molly! I guess Larry Page can afford one - but I'm not sure about the general masses.

Hmmmm - So the lesson to be learned here is: If the first round of GTV hardware failed because it was too expensive - then the solution is to make the second round of hardware even more expensive???? -

 

This part of the article was also concerning for me:

" Subsidies for Apple TV will be offered by telecom operators and cable providers, which should shorten the TV replacement cycle by about two years from the previous eight to 10 years," Soh said. "

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I've been advocating for a long time now that in order for GTV to be a big success - the price needs to be low enough to compete with Apple TV and Roku. Apple TV and Roku both subsidize their hardware. In other words they esentially keep hardware prices low and approximately 'break-even' on the hardware. This makes sense because the bulk of the profits come from itunes (content), advertisements, etc.


Google is the same position to benefit by subsidizing GTV hardware (break-even) and make the profits from Google Play store and advertisements.


This idea of putting out (shall we say "less than optimal" GTV software package (Too much content blocked- and not enough good apps) - and expecting hardware partners to embrace it in a big way and succeed by offering a GTV device with expensive premium pricing - is DOOMED to failure IMO. Sony and Logitech already learned that from the first round of hardware.

 

These sets should be an improvement over the Sony GoogleTV sets and I don't know if the prices are too high. What needs to happen is the sets need to sell at a small premium compared to comparable sets without GoogleTV. Upscale TV sets won't be what makes GoogleTV succeed if it will succeed but it can be a small piece of the success and can certainly help. More important in my opinion will be the lower priced GoogleTV HDTVs from Vizio, Samsung, LG and any other companies choosing to compete in that market. The set top box will be important as well and I think we want all market segments covered with Google TV products, budget to premium price products and these HDTVs are higher end products.

 

LG also has their own line of smart TVs - so it's not like they put GTV in their "main line" of televisions - but this is more of a little "side-experiment" to see how it sells in high-end premium models. So IMO LG hasn't really "embraced" GTV in any big way yet. Same for Samsung. And it remains to be seen what Vizio will charge for it's GTV products.


IMO a $99 GTV box was the sweet spot. (According to the Amazon sales charts - the Revue sales improved DRAMATICALLY at $99 - but at $300 sales were "terrible"). I followed the sales charts on Amazon closely all last year.


According to this research report (see link below) - GTV has the least amount of premium content (and thus the worst VALUE) of ALL the major Smart TV boxes:


Apple TV or Google TV? New Report from FixYa Reveals Top Consumer Issues With The Most Popular Web TV Systems


Yeah MAYBE the interface got better (debatable) with the honeycomb update - and voice and gesture commands would be interesting. And we have the app market - but so far it's very limited. So that's all just basically COSMETIC stuff. The saying goes: "Content Is King". And since the launch - GTV has really done very little on the content front.


I'm not trying to "bash" on GTV and I really want it to succeed - but I'm also a "realist" and try to be objective in my posts. So I'm neither an Apple or GTV "fanboy". But IMO if somebody can buy a Roku for $50 or an Apple TV for $99 - I think "most" would go that route instead of paying $300 for a GTV box. Yeah the web browser, and HDMI overlays are nice - but most people either don't understand it fully - or aren't willing to pay three to six times more for a GTV box than a Roku or Apple TV box. We already saw this with the first round of hardware.


So what we have here is a situation where a consumer study rates the GTV box as the worst value - and yet Google/manufacturers seem intent on marketing it with relatively expensive premium pricing. It's just not a good combination. Either Google has to add more premium content - OR the hardware needs to be marketed at LOWER prices. At $99 it could compete with Roku and Apple TV.


This is taken directly from the article: "Google TV is plagued by a lack of content, making it the worst value for consumers." And that wasn't just an editorial opinion by the way - it was a consumer research survey done with actual smart TV users. So for what GTV is (currently) - Google needs to market the box at $99. The first round of hardware failed because the prices were too high - so now we have a "different" interface but still essentially no new premium content. This doesn't justify high premium prices for GTV.


And I'll also add that prospective GTV hardware manufacturers currently have a tough go - because they are being "lowballed" in price by Roku and Apple TV. Apple TV & Roku have the advantage that they subsidize their hardware. This doesn't create a level playing field for independent Google TV manufacturers.

 

^ I must say your (edited) choice of articles (GTV& Entertainment Devices) seems to be interesting.

Cheers

 

The sweet spot has to be a price that is cost plus a profit, if there are no profits, there will be no products pretty quickly. We know Logitech couldn't sell the Revue for $99 profitably but maybe the new design with ARM processors will be possible at $99, although I doubt it. The manufacturers are unlike Google which can generate profits from advertising, profits need to be made on selling the product for LG, Vizio and the other companies involved in the hardware manufacturing and hardware marketing.

 

Well obviously Google TV will be a success if consumers perceive it as a good value. Thus if manufacturers are unable to match Apple TV & Roku prices - the GTV product will need to be clearly perceived as "worth paying the extra money for". IMO this would primarily mean more premium content.


However I noticed that Sony announced they will be releasing a GTV set-top box in Europe for $270 and a GTV blu-ray for $400. This seems awfully close to the prices of the first round of hardware that failed. IMO there have been some changes to GTV since then - however just mostly cosmetic (new interface with honeycomb, a few apps) - but nothing much added on the premium content front.


IMO the best chance for GTV to succeed might mean Google subsidizes the hardware in the same manner they are planning to do with their own branded tablet. Read this article (see link below) that discusses reasons why subsidizing a tablet makes so much sense for Google.


Why Amazon can't win a tablet price war against Google - Computerworld


From the article: --- "The Wall Street Journal reported this week that Google plans to sell co-branded tablets made by several category-three companies in a new online store.

But buying Motorola for patent protection, co-branding tablets, selling them in a store and even the existence of the Android mobile platform are all means to an end, which isn't big bucks from the hardware business, but revenue from Google Play digital content, online services and advertising.

Google is the only player in category two that's in the position to profit from the bits without stressing about the low- or zero-margin hardware business. That's its greatest advantage. Google can grow the market with reckless abandon because every new customer brings additional revenue, but not additional costs or risks. "



I think the same reasoning on subsidizing a tablet can be applied to subsidizing a Google TV. Obviously Google might run the risk of alienating some potential hardware partners in doing this - but IMO it's been a year and a half since launch - and not much new premium content has been added - so I'm not holding my breath on that front. The issue of being severely undercut in price by Apple TV & Roku is a MAJOR issue IMO. Thus the only (and best) solution might be that Google needs to produce it's own GTV box and market the hardware at approx. break-even.


Wouldn't you be tempted to buy a Google subsidized tablet with a quad-core processor for $200 - instead of a GTV box with inferior hardware for $300?

 

So... This is the weekend. Where is the TV?

 

For those of you that are interested in reading a bit more about the upcoming LG GTV televisions - both models are currently listed on Amazon. (However as of today on the Amazon site it says the TV ships in 2 to 3 months). I also tried searching for these TVs on the Best Buy web site and the LG web site and came up empty. So as of now it appears the primary way to purchase one of these TVs will be through Amazon. Here are the links:

Amazon.com: LG 55G2 55-Inch Cinema 3D 1080p 120 Hz LED-LCD HDTV with Google TV and Six Pairs of 3D Glasses: Electronics (55 inch model)


http://www.amazon.com/LG-47G2-47-Inch-LED-LCD-Glasses/dp/B0074WVYWA/ref=sr_1_5?s=electronics&ie=UTF8&qid=1334515118&sr=1-5 (47 inch model)

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Product Features

--LG's LED technology provides a slim profile and delivers amazing brightness, clarity and color detail, as well as greater energy efficiency compared to conventional LCD TVs.
--With LG Cinema 3D technology you can enjoy amazing 3D effects, comfortable lightweight battery free glasses, 2D to 3D content conversion, 3D depth control and a clear picture from virtually any angle.
--TruMotion 120Hz technology lets you see sports, video games and high-speed action with virtually no motion blur. Now your TV can keep up with your fast- moving entertainment.
--The full qwerty keyboard remote control and easy to navigate Google TV interface make this one TV that is easy to use and enjoy.

Technical Details

Brand Name: LG
Model: 55G2
Display Technology: LED-lit
Display Size: 55 inches
Image Aspect Ratio: 16:09
Image Contrast Ratio: 6000000:1
Resolution: 1080p
Refresh Rate: 120

 

LG 47G2 Review - Watch CNET's Video Review (click for full article)

CNET Editors' Rating:
2.5 stars (out of a possible 5 stars)
"OK"
Design: 7.0
Features: 8.0
Performance: 5.0
Reviewed by: Ty Pendlebury
Released on: 04/30/2012
Reviewed on: 04/17/2012
Edited by: David Katzmaier

The good: The attractive exterior design of the LG G2 series gives an inkling of LG's "back to the drawing board" approach this year. The hybrid Magic Remote with QWERTY is one of the best TV peripherals on the market. The passive 3D system creates significantly less crosstalk than its active competitors.


The bad: Picture quality suffers from poor black levels, desaturated colors, a glossy screen, and lack of uniformity. The Google TV interface isn't as easy to use as any other TV interface you'd care to name.


The bottom line: While it may sport high-end looks and a cutting-edge remote, LG's G2 series is a disappointing attempt at Google TV with ho-hum picture quality and a frustrating user experience.


Editors' note: This review also takes into account a subrating of 5 for Value.


Despite the generally poor reviews and financial fallout associated with Google TV over the past 18 months, Google has made good on at least one promise to deliver more hardware to the marketplace. That hardware is the LG G2 series. Fresh from a name change (it was formerly the "LMG620 series") and a paring down (a second series, the LMG860, was scrapped) it represents the only actual television since 2010's disappointing Sony GT1 to support the Google TV platform.
While the rejiggered interface -- part ... Expand full review "

 

LG set to roll out Google TV models later this month — paidContent (click for full article)

"Hoping to spark both the suddenly sagging U.S. TV market and Google's struggling Android-based TV platform at the same time, consumer electronics maker LG has confirmed that it will release in the U.S. two new smart TV models based on Google TV software later in May.


Priced at $1,699 for a 47-inch model and $2,299 for another measuring 55 vertical inches, LG's so-called "G2 Series" televisions were unveiled in January at the International Consumer Electronics Show in Las Vegas and represent the first products from the second generation of Google TV devices.


The 3D-capable TVs will come with a Marvell dual-core chip set operating at 1.2GHz, allowing users to blend PC-like Google experiences-such as searching the Web and watching video on YouTube and Google Play-with watching good old-fashioned live TV. For its nifty new sets, LG has also developed a Wii-like gesture-based remote controller that comes with a QWERTY keyboard.


New Google TV devices are also expected from Samsung, Vizio and Sony later this year, with Sony expected to expand the platform into Europe in September. "

 

UPDATE 1-LG Elec to launch Google TV in U.S. in late May -exec | Reuters (click for full article)

"May 7 (Reuters) - LG Electronics Inc, the world's No.2 TV maker, plans to launch Internet-enabled TV based on Google's platform in the United States in the week of May 21, as the South Korean firm seeks to gain a larger share of the emerging Internet TV market, a senior LG executive said on Monday.


The move reflects an aggressive push by the duo to defend against a potential threat from Apple Inc, which reshaped the handset market with its iPhone smartphone and is widely expected to unveil a full-fledged TV product later this year or early next year.


"Production of Google TVs will start from May 17 from our factory in Mexico and U.S. consumers will be able to buy the product from the week of May 21," Ro Seogho, executive vice president of LG's TV business unit, told a small group of reporters.


Google TV allows viewers to access Google services such as searches and YouTube videos on their television screens.


Ro said LG will decide whether to expand the offering to Europe and Asia after reviewing sales performance in the U.S. market. "

 

LG's Google TV set debuts this month - but will anyone care? | VentureBeat (click for full article)

"After announcing that it's jumping into the Google TV fray at CES in January, an LG executive said today that it will begin building and shipping the sets later this month. But, with Google TV's lukewarm welcome by consumers, and a non-existent Apple television set grabbing headlines, will LG fare better than Google's first round of partners? "

 

LG Previews Google TV At Internet Week - MarketWatch (click for full article)

"NEW YORK, May 14, 2012 /PRNewswire via COMTEX/ -- LG Electronics USA is conducting live demonstrations of LG's highly anticipated Google TV models at Internet Week New York, which starts here today. LG's Smart TV with Google TV (G2 Series) combines the power of Google services with the speed of LG's new L9 dual-core chipset and a user-friendly interface for the next-generation Google TV experience. The event runs from May 14-17 at 82 Mercer Street in Manhattan. "

 

The LG web site is now listing their two GTV televisions for sale.

Interesting I typed my zip code into their retailer finder (and put a 20 mile radius from my zip code) - and 24 retailers came up. However they seem to be not the big name stores. Kind of like the independent mom & pop retailers. Most noticeable was that Best Buy, Walmart, Target etc. wasn't listed as a retailer. Oh well at least they do have retailers carrying it. There were also 4 online sources (including Amazon) listed to purchase the LG GTV televisions:

LG Electronics: Consumer Electronics & Appliances from LG | LG USA

 

Hands On: How LG Models Will Improve Google TV | TechNewsDaily.com (click for full article)

"Along with Google+ and Google Wave, Google TV has so far been one of the company's flops. It's the latest in a 17-year line of failed efforts by various companies to stick a computer - or in this case, an Android phone - into a television.


Sony was the original TV-maker to crash and burn with a TV piloted by Google. Now LG gives it a try, but having learned some lessons. The collection of video apps on the home screen, such as Netflix, HBO Go and YouTube (with Hulu on the way) simply appears on the home screen, as do Web page bookmarks - a big improvement on the seven different screens on the very first version of Google TV when it first came out with Sony (an update came later).


But perhaps the best way to use Google TV is ... sparingly. Like Google's home page, the TV interface can simply be a search bar in which you type, or say, the program you want to watch, such as "Game of Thrones," and see the options - in this case, watching it on HBO's own app, HBO Go (if you already subscribe to HBO on cable), or on Amazon's online video service (for an extra fee). If the show happened to be playing on regular TV at the time, that would appear as an option, too.


That simple way of using it - a single search on one device, with Web video available on the big screen - may be the most appealing to most people. If you want, you can simply watch the TV as a regular set, and have the option to bring up just that search bar, which you can fill in from a slim hand-held keyboard on the back of the remote, instead of a massive handful of a keyboard as originally came with the Sony.


LG will start selling two of these sets next week: a 47-inch model for $1,700 and 55-inch version for $2,400, respectively. They're pricey, but in line with what you would pay for other high-end TVs (Internet-connected with 3D screens) from the company. And one price bonus: LG's sets use the low-cost "passive" 3D glasses that sell for just $10 a pair, if you need more than the six that come with each set. "

 

LG shows off the best Google TV yet, with motion controls, dual-core CPU, 3D | VentureBeat (click for full article)

"When we first learned that LG would be launching its crop of Google TV sets this month, I asked "will anyone care?" - now after seeing LG's G2 series in action, I'm surprised to report that plenty of consumers just may.


With slick motion control technology and a speedy dual-core CPU, LG's G2 sets are certainly the most powerful Google TV devices so far. LG also has the privilege of offering the first 3D-capable Google TVs. Even better, the sets are passive 3D, so you can use cheaper plastic 3D glasses instead of the expensive rechargeable variety.


The Korean TV maker debuted its G2 Google TVs today at Internet Week New York, an annual event where NYC celebrates technology and digital culture. I chatted with Georg Rasinski, director of LG's home electronics brand management, who was kind enough to give us a demonstration of the G2 series (see below).


What truly differentiates LG's Google TV entries is the company's motion-control "Magic Remote." Waving LG's remote around felt smoother than using Sony or Logitech's Google TV trackpads, and it was surprisingly accurate. The remote communicates with an infrared device embedded at the front of the television, similar to the Nintendo Wii's sensor bar. The Magic Remote supports gestures and it also has a built-in microphone for voice commands.


The Magic Remote itself feels nice, with a rounded portion that makes it comfy in your hand. The remote sports a scroll wheel on the front, along with the most commonly used Google TV buttons, and a full QWERTY thumb keyboard on the back.


LG's Google TV interface also looks dramatically different from the GTV devices I've used from Sony and Logitech. They're running Google TV 2.0, but LG has also heavily customized the home screen with a 3D interface. It gives you quick access to a variety of apps, and you also have quick access to bookmarks.


The Google TV experience was noticeably faster on LG's sets, which I mostly attribute to the company's fast dual-core CPU. The G2 series is powered by LG's custom ARM-based L9 processor, the first dual-core chip in a Google TV device. Eventually, the L9 will make its way to LG's other flagship sets, but it's making its debut on the G2 series.


Rasinski said that Internet Week ended up being perfectly timed for its Google TV launch. Last week, an LG exec announced that the company would begin building the sets this week, with retail availability to follow next week. That's a fast turnaround for any company, but Rasinski tells me that LG wanted to roll out its Google TV offering as quickly as possible.


LG's G2 Series Google TVs will be available in 47-inch and 55-inch models beginning next week at $1,699 and $2,299 respectively. "


LG Google TV Demo:

 

LG's Google TV looks impressive, but is it enough for Google TV to take off? (click for full article)

"Remember when Eric Schmidt said that "By the summer of 2012, the majority of the televisions you see in stores will have Google TV embedded in it."? It doesn't look like that's the case so far, and probably won't be for a while. But LG has just demoed a very impressive TV that runs the Google TV OS, with the help of a dual core processor, that handles 3D as well.


Is Google TV finally ready to take over the market then? I doubt it, and I blame Google for that. While I think Google has learned a lot over the past few years about the consumer market, and they are still learning fast, that doesn't change the fact that they are still "not there yet", at least in some regards.


Take Google TV for example. When every set top box on the market was priced from $70 (Roku) to $200 at most (Boxee Box), Google comes out with no experience in this market, almost no content deals, and with software that didn't look very polished, and wants to sell its first set top box, the Logitech Revue, for $300. Even Apple was selling theirs for $99 (although more limited software wise).


First off, you can't try selling consumers a product that costs a few hundred dollars with software that isn't fully ready or doesn't have enough access to content to justify its price. It's one thing to pay $300 for something and get access to everything you want, and it's quite another to pay $300 to get access to Youtube on that device (and granted, a few more channels and Amazon's video service). The point remains that the value just wasn't there.


But why did this product cost so much? I still ultimately blame Google for the cost, because they were the ones launching the initial product, and they most definitely had a say in how it works and what specs it has. But other than that, the two biggest factors were Logitech and Intel.


Logitech was at fault because I believe they tried the same old "early adopter pricing" tactic, so, in a way, they tried to rip-off the early adopters with high prices, by being the first one in the market with Google TV. The second one was Intel with its Atom CE CPU, that definitely took the biggest chunk out of the pricing of the components, which of course influenced the final retail price in a major way.

LG's Google TV might change the game


I think Google has finally put some pieces of the puzzle together though. For instance, the new Google TV from LG has a much better remote, with a keyboard on the back. The new gizmo provides a much better experience than the clunky full keyboard from Logitech, or the weird keyboard from Sony that looked like something from the 80's. It's still not perfect, though, and I don't understand why there has to be a "mouse pointer" on a TV. That doesn't make sense to me - it's a waste of effort to move the pointer around, when there's already a much simpler way to interact with the UI.


But other than the user experience (which I think has been greatly improved), and the fact that the new TVs and set top boxes might finally use ARM chips, the Google TV doesn't do anything so great that it feels like a revolution.


I've been hoping that Google will start promoting Google TV as a gaming platform, so that it revolutionizes the console market, through cheap $100 ARM-powered consoles/set top boxes. Or they could just come built-in with all new TVs (although that means that you'd be stuck with the same chip for 5-10 years). But I still see no hint from Google that it's going to actively promote it's TV business like that. It's more of an afterthought for them right now.


Video-chatting is also something they've never really tried to promote with Google TV, and I'm sure Apple will promote it heavily with their upcoming TVs. Expect the emotional ads with family members that interact with each other from the couch, and so on. I'll be very disappointed if Apple's TV will become a lot more popular than the Google TV, even though Google TV will have had a 2 year head-start over Apple.


But maybe that's what both Google and its partners need in order to wake up and do it right, and, hopefully, before the Apple TV becomes too popular. "

 

A quick hands-on look at LG's first Google TVs (click for full article)

"Earlier this week, during Internet Week in New York, we reported on LG's new Google TVs, which will be available this month. I also had a chance to try the TVs briefly, to see how well they performed and what the Google TV platform added to LG's already robust Smart TV Internet service.


My interest was especially piqued given the dismal reception received by the first generation of Google TV products, which included a few LCD TVs and a Blu-ray player from Sony and the Logitech Revue standalone set-top box.



As far as I can tell, there are no new Google TVs in Sony's 2012 TV lineup, though the company did announce a Google TV-powered set-top box (the NSZ-GS7 Network Media Player) and a Blu-ray player ( NSZ-GP9) at CES. Both are slated to arrive this summer. Logitech pulled the plug on the Revue box and hasn't announced a successor. But the platform could get a boost later this year if other manufacturers-such as, reportedly, Samsung and Vizio-debut Google TV-powered devices, including TVs, Bu-ray players, and set-top boxes. Last fall, Google addressed some of the shortcomings of the Google TV platforms via an updated that streamlined the interface, improved search (via an app called TV & Movies), and perhaps most important, added access to the Android market, now called Google Play.



LG's first Google TVs. LG is the first company to bring second-generation Google TV products to market. Although price-wise, the new G2-series LCD TVs sit in the middle of LG's 2102 TV lineup, they're fairly full-featured models that include the company's passive Cinema 3D technology, edge LED backlights, LG's TruMotion 120Hz anti-blur technology, built-in Wi-Fi, and of course, access to online content. The idea is that Google TVs will appeal to a younger, tech-savvy audience, so they can't be priced as top-of-the-line models. Still, at $1,700 for a 47-inch set and $2,300 for a 55-inch model, the TVs aren't inexpensive. "