May 21, 2012 — Paul Gray, DisplaySearch, recently blogged about the effect of organic light emitting diode (OLED) displays will have on the TV industry, in light of Sony and Panasonic’s possible collaboration on an OLED technology.
“Some of the messaging from industry seems to indicate a mindset that there is a technical fix for profitability,” Gray said in “Will OLED Revitalize the TV Industry?”, but points out that too many companies could pursue the OLED TV market, which would simply duplicate the profitability/scale issues seen in the liquid crystal display (LCD) TV sector. Consumers also may not be on board with a move to OLED.
OLED displays boast high contrast, vivid color, and thin form factor. However, in television applications LCDs combined with LED backlights can compete in these areas. Gray notes that direct LED backlighting have failed in the market. And few consumers have indicated a willingness to pay extra for a TV set that was 5mm-thick instead of 20mm.
The television industry learned from its push for 3D TVs that content and the consuming experience matter. Consumers’ purchasing behavior is driven by factors other than raw image quality.
Gray advises that TV makers “think deeply about how consumers are watching long-form video at home” before leaping to conclusions about OLED’s impact. “The industry need not take billion dollar technology bets to provide better products.”
Paul is director, European TV Research for DisplaySearch. Read his full blog at http://www.displaysearchblog.com/2012/05/will-oled-revitalize-the-tv-industry/