Export Compliance Daily is a Warren News publication.
Wary of Unresolved 3D Issues

Westinghouse LED-Backlit LCD TVs Targeted at Budget Homes

Westinghouse Digital is taking aim at the LCD TV market’s high end by bowing a line of low-cost, eco-focused LED-backlit sets that arrive in the company’s distribution centers this week. First announced at CES, the 26- and 32-inch edge-lit LED-backlit LCD TVs will be sold through high-volume retailers like Amazon, BJ’s, Costco and Target.

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

The 720p models will lower the bar for entry to LED-backlit LCD TVs to $329 list for the 26-inch model and $429 for the 32-inch TV, Vice President of Marketing Rey Roque told us Tuesday as Westinghouse was showcasing the product in Manhattan. The TVs will carry “substantially lower street prices at mass merchants and wholesale clubs,” Roque said. The models will be joined by 1080p versions late this third quarter, he said.

Noting that U.S. median household income is about $45,000 a year, Roque said the LED lineup is targeted at that demographic with the message that advanced LED technology need not be restricted to tier-one TVs. The sets also are among “some of the greenest available” in the 26- and 32-inch sizes, he said. They're already Energy Star 5.0-compliant, though that spec doesn’t take effect for two years, he said. With power consumption of 54 watts, the 32-inch set is 10 percent more efficient than a 60-watt light bulb, Roque said, and the 26-inch model uses less energy than a 45-watt bulb, with both models falling within California Energy Commission (CEC) requirements.

In addition to energy savings, Roque said the TVs’ thin 1.5-inch depth has contributed to reduced packaging and a reduction in overall carbon footprint over last year’s equivalent model. “We can fit 24 percent more TVs in a container in a 53-foot trailer so that’s further savings on the carbon footprint,” he said. All packaging is recyclable and uses soy-based inks, Westinghouse said.

An 80-watt 42-inch 1080p model, also meeting Energy Star 5.0 and CEC specs, is due in August at $849 list and an expected street price of under $799, Westinghouse said. A 24-inch 1080p model, claiming energy use of less than 40 watts, is set to ship in Q3, it said. Each of Westinghouse’s 42-inch and smaller models is manufactured in China and packs PC inputs and a pair of HDMI 1.3 inputs. The models will co-exist with current Greenvue CCFL models that are expected to sell out of inventory during the third quarter, Roque said. The company expects its LCD TV line to be fully LED-backlit-based by Q4, he said. At the Manhattan briefing, Westinghouse also showcased prototypes of 46- and 55-inch LED-backlit models due for delivery in December. Roque said the company hasn’t decided whether to have them assembled in China or in Mexico.

With the new line, Westinghouse is continuing its lightweight design approach that has been popular with female customers who find them easy to set up and move, Roque said. The new LD-268 26-inch TV weighs only 11 pounds and the 32-inch, 15 pounds, the company said.

As for plans for Westinghouse to field 3D TVs, Roque said the company for now will focus on tapping the value segment of the market with LED-backlit LCD TVs, and suggested that 3D doesn’t really mesh with that strategy. “We don’t believe 3D makes sense for the value segment since these are more all-purpose TVs,” Roque said. Still, the company will monitor developments in the 3D TV business, though it will opt for now to sit it out, he said. “Do we want to sell $150 glasses on a TV that’s going to be about $300 or less?” he asked. “And how will we address 3D glasses across members of the household? We want to make sure it’s mainstream first."

Westinghouse also is wary of unresolved issues accompanying the introduction of 3D TV technology, and wants them put to rest before jumping in, he said. He cited, for example, Samsung Australia advisories last month warning consumers not to watch 3D TV if they're tired, drunk or pregnant. “We don’t want to wade into it until those issues are settled,” he said, also citing the high cost of 3D accessory glasses and the lack of interoperability among brands as other concerns. He said he also disdains set makers that have decided to put 2D-to-3D conversion chips in their 3D TVs. “Content producers are asking, ‘If you set makers are going to do that, why should we invest millions of dollars in authoring or production technology if you're going to confuse consumers with 2D-3D conversion? There’s a lot more in 3D than making the set look good, like we've done in LED.”