December 12th, 2006

Sony Says TV Prices are Dropping Too Fast Because of “No-Name” Brands

sony-logo.jpgBy Jimmy Daniels
Contributing Writer, RealTechNews

Anybody feel sorry for Sony?

Television prices are dropping faster than expected, and Sony’s not too happy about it.

Prices for liquid crystal display TVs should drop between 25 percent and 30 percent this year. That’s between 5 percent and 7 percent more than Sony anticipated, Stan Glasgow, president of Sony Electronics, said in a meeting with reporters in San Francisco last week.

“We will stay competitive but we won’t do anything that damages the industry long term,” said Vandenbree, who added that Sony has a “responsibility” not to accelerate price declines in a way that could hurt the industry.

“We decided that we had to be competitive, but we didn’t want to send a signal that there is not value in the products,” he said. “We didn’t think a permanent price cut was in order.” Source: News.com

We Say: The article said that there are currently 90 different manufacturers, many using the same off the shelf components and that will end up hurting consumers hunting for bargains. How about an informal poll, anyone who has bought a LCD TV from anyone other than Sony, Samsung, or any of the big name brands, having trouble with their TV’s yet?

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30 comments to "Sony Says TV Prices are Dropping Too Fast Because of “No-Name” Brands"

  1. Sony's Responsibility? Their Bottom Line! says:

    Since Sony products blow chunks anyway, this should be no suprise/big deal to consumers who actually bother to do research on products they are going to buy… Sony products have ALWAYS been overpriced, and their reliability as a whole has gone straight down the toilet since Samsung stopped manufacturing products for them. I currently own a Samsung 56″DLP, a Samsung 42″ plasma, a Vizio 32″ LCD and a Olevia 23″ LCD. I have never had a problem with any of them. I have a strategy - Samsung for the “big ticket” models, and for the smaller end I look for lower priced models that have fairly comparable specs to the higher priced “more well known” brands. Since the lower end TVs are in the “disposable electronic” price range, I will probably replace them within 5 years anyway, as the technology, features and specs improve and the prices continue to drop. You will probably want to get a new one anyway to take advantage of the new innovations. You need to keep in mind that these are not refrigerators that you are going to keep for 15 years! A TV that costs $500 today will be $250 -$300 in 5 years… VCRs and then DVD players have proven out this price/functionality model over the las 10 years, and the current trend with flat panel TVs seems to be following the same model. Bottom line - don’t buy the most expensive models, buy models that are being replaced (for up to half off the original selling prices!) and expect to replace them several years down the road with a model that will be better than today’s expensive model, at much lower prices!

    December 12th, 2006 at 8:28 pm

  2. Davis Freeberg’s Digital Connection - Are Sony’s Entertainment Assets Dragging The Company Down? says:

    […] Sony used to be in that position when it cames to television sets, but over the last decade, they’ve lost their control over pricing and now Sony executives are publically worried that prices on LCDs are dropping so fast that it could have a material impact on the company’s bottom line. Their response has been to threaten no more price cuts even if competitors continue to slash prices and frankly, if they had a premium brand on TV sets, they could get away with this, but consumers are no longer willing to pay premiums for Sony TVs and if Sony insists on not staying competitive, they’ll soon learn the hard way how much value their brand really has. […]

    December 12th, 2006 at 9:17 pm

  3. Dave says:

    Sony and those other brands are way over priced. I already have a 56″ Samsung DLP that cost almost $3,000 a year and a half ago. Yes the picture is incredible. But the picture is also incredible on the 42″ Olevia LCD that I bought for $800. The Olevia is made by LG and the quality is amazing. I think the big brands are just worried that they can no longer gouge the consumer.

    December 13th, 2006 at 5:14 am

  4. Dave S. says:

    I wonder if Sony offers a “tv rootkit”? Since they pulled that stunt, I won’t buy Sony again. I have three Sony TV’s, two SW radios and other products.

    We live in a Price Über Alles society now and Sony just has to live with it! Next year I may buy a LCD screen televisor. Anyone’s tv is on my consideration list (except Sony).

    If I feel that the manufacturer will provide support, I would buy. I don’t want to spend $1000 or more only to find that I have to buy again in a couple of years if something happens.

    Now that there is no Trinitron, the bloom is off the Sony rose.

    December 13th, 2006 at 5:24 am

  5. R.J. Johnson says:

    I bought the Sony 50″ LCD projection TV this year and I love it. You DLP lovers just wait until those “mirrors” go bad (and they do). That is a $700 repair. Sony still rules. Half of all LCD and LCD projection TVs sold are Sony. Go to the Circuit City web page and look at the comments from those who bought Sony LCD TVs.

    December 13th, 2006 at 5:33 am

  6. Jay P says:

    Just bought a 46″ Visio LCD, half the price of the Sony and just as good PQ, there cust. service is great too. Just because it says Sony on the outside doesnt mean the insides are made by Sony, Samsung, etc. Samsung is made by 5 rivers electronics in TN. Most Chinese made sets are just as good or better quality than sets made in the US. Dont pay for a brand name, go for the good price

    December 13th, 2006 at 5:45 am

  7. Mike M. says:

    I bought a Sony WEGA 42″ Rear projection LCD 2 years ago, and it’s still great. I have no complaints at all. Picture quality is great using Dish network HD. I’m a big fan of LG, though, and the next TV I buy won’t necessarily be a Sony, but not because I’m unhappy with the one I have.

    December 13th, 2006 at 6:00 am

  8. Buy Sony - Buy Overpriced Junk! says:

    Hey R.J. Johnson -

    Would you expect anything else from a bunch of Sony-Snobs? Do you think these idiots that just paid way too much for their TV are going to bash it? There seem to be a group of (self impressed) elitists who think that if they buy a Sony that they are “getting the best”… I got news for you Buckwheat, I would buy either the Hitachi or Panasonic LCD projection TVs (for about 2/3 the price of the Sony) before I touched a Sony!!!! The picture is just as good, features are very similar and you won’t support the ‘Sony has a “responsibility” not to accelerate price declines in a way that could hurt the industry’ PR machine - oops, you already did!
    Did you bother to do any research before you paid way too much for your Sony??? If you did, I have bridges, National Parks and National Monuments available at “just below Sony prices”. I don’t know about you (hmmm, based on your purchase, maybe I do!), but I vote to support companies that have a goal other than to extract as much money as possible from my wallet (see: proprietary Sony Memory Sticks) by spending my money by buying from anybody but Sony!!!! Sony just loves saps like you, totally hooked by the marketing & PR spins that they produce. Look at the specs, compare the prices & buy a quality product from another manufacturer!!!

    As for your LCD Projection TV, I hope you enjoy the screen door effect! And what about your light bulb, ding-dong? A Samsung bulb costs about $200, a Panasonic about $220, but a Sony replacement bulb is about $300!!!!!
    As for Sony quality, have you had to replace your Sony-made Laptop battery lately?

    December 13th, 2006 at 6:16 am

  9. Tim says:

    I have a SONY SXRD 50inch grand wega, I bought it for $3000 earlier this year. ANd I didnt even consider the brand name at the time, I just saw the gorgeous picture quality compared to the others in the showroom. I am still satisfied with my purchase, I did a lot of research after seeing it in the showrooma nd read reviews in the top magazines. I still would buy this set again its amazing.
    I agree though with some of you saying that SONY has relied on its reputation and charged high prices for their TVs but I would have to say this one was spot on excellent.
    I bought the protection package plan to replace the bulb if it blows out, the only repair cost really to consider.
    I guess only time will tell.

    December 13th, 2006 at 6:30 am

  10. Nobody says:

    Do you mean Sunyee, the popular Chinese electronics brand? Like Magnetbox, and Panastonix? I’ve heard of “Sony” - don’t they make unusable products, crippled at the factory with DRM? You know, like the Sony Screwray optical disc format - I think the marketing phrase is “unsuitable for any purpose, do not buy”.

    December 13th, 2006 at 6:37 am

  11. Mike says:

    I have a westinghouse lcd and It’s great. and the support from their website is good too.

    December 13th, 2006 at 6:41 am

  12. Resolver says:

    Back in 1998, we bought a Sony 41in projection TV, probably one of the smallest available at the time, but perfectly adequate for our situation. At that price ($1500), Sony owned the market as an innovator as there was no competition at all that we could find. It still is serving us well. Fast-forward to 2006 - I bought a Samsung 20in LCD monitor with a 1600×1200 resolution - yes there was some competition, but not at the price of $269 (after a $50 manufacturer rebate). In another 8 years, one wonders who will be the defacto leader in this space?

    December 13th, 2006 at 7:12 am

  13. jwmc1971 says:

    hey , whats the screen door effect…i have 2 lcd projection screens …not sure what you mean …they both are hitachi .but yeah , sony blows …the only sony i have is a minidvd cam and we bought it cuz it was below cost !

    December 13th, 2006 at 7:14 am

  14. Some Guy says:

    Somehow, in some weird twisted way, this must tie back to the fact that Sony is still pissed about the whole iPod thing.

    December 13th, 2006 at 7:18 am

  15. Taylor says:

    I got myself a 42″ Plasma TV. Brand name is Harsper. After about 3 minutes of searching Google, I found that all the innards are either Samsung or LG. VERY reputable brands in the LCD/Plasma market. OH, did I mention i only paid $1300 for it? Save yourself $1000 and do some research. I did! :)

    December 13th, 2006 at 7:33 am

  16. Jon says:

    They’re probably manufactured in the same factories just with different brand names stamped on them.

    It’s done with tons of other products from carbon fiber bicycle frames to electronic goods. Why would these TVs be any different?

    December 13th, 2006 at 8:17 am

  17. Eric says:

    Name brand TV’s are generally manufactured with in-house components, knock-offs are manufactured with COTS (Commercial Of The Shelf) components. This means that knock-off brand electronics really are all the same inside, whereas the more expensive stuff is generally better (with the obvious drawback of price). Specifically designed components can be matched to the system perfectly, and assuming that money is spent on R&D this results in a truly superior product. Building a TV out of COTS components is cheaper, but you generally run into the square peg/round hole problem. COTS components are designed to do a specific job, and it’s never exactly what you want. This can introduce some roundabout solutions that deteriorate quality, but for a better price. This is one of those cases where you get what you pay for.

    December 13th, 2006 at 8:39 am

  18. brad davis says:

    From some people you get what you pay for, but not from Sony. How arrogant do you have to be to undercut people to sell a product one year then the next year whine about how all those “no-names” dare sell products cheaply. When did Sony become so out of touch with their target demographic as to sue them on one hand for using p2p software then expect them to keep buying their shoddy overpriced products to fund more bribery of our own politicians?

    December 13th, 2006 at 9:19 am

  19. k4mi says:

    I worked at a large electronics store (which will remain un-named) part-time the last few years while I finished college and realize how big of a sham the “picture quality” in the display models are. I witnessed sales reps from many of the larger companies making “donations” to our managers to ensure that their products were the ones that recieved the high end signals and cables to guarantee the picture looked better than the other, cheaper alternatives from the smaller companies. You cannot trust that every television hanging on the wall of the store is recieving the HD signal. I KNOW they aren’t. Next time you go to Best Buy or Circuit City try to pick out the ones running on normal sattelite TV. It’s kind of funny in a way hearing the salesmen and the customers oogling over some of the high end models. Just something to think about next time you shop for a TV at a major electronics store. I’ll be buying at Wal Mart, mostly the same TV’s and they are all getting the same shit signal, then you truly get to see how good the TV is.

    December 13th, 2006 at 11:26 am

  20. Espy says:

    I recently purchased a new 1080P Samsung 61″ of pure joy. I researched for over 3 months all kinds of brands. My final decision was between Sony and Samsung. I learned Samsung is now making all of Sony’s TVs. When it comes to no-named TVS whether its LCD,Projection, or Plasma (the old saying stays true) you get what you pay for and for those who can’t tell the difference than you havent done enough research. If price is the major concern it should be. The no-named sets are geared to the consumer who want the CRIBS type TV without the price. There is no way you can tell me that an LG, Panasonic or for godsakes a Westinghouse next to Samsung, Pioneer etc is just as good PQ. NO WAY! The inovators of LCD, Projections, and Plasma are exactly that inovating the quality of display. Its like Dell, they have 12 month behind technology for half the price b/c they dont invest in R&D. I would go with a solid reputable set and SONY is not one of them for 30% additional cost for a name. If shopping an electronics store make them take the 2 types of signals SD and HD and decide what you are going to watch more. Then walk out and shop the internet b/c my set was 1K plus at the stores than what i payed online. Its the stores killing us on price. If you buy a HD set w/out HD programming than why buy it at all? TVS are dropping so fast in price that its hard to decide when to jump in. Make sure you future proof your set and buy the new 1080p capability. You’ll pay a bit more but then again your investing in the next 5-10yrs if paying 2K+. (your TV life, or your next urge for a new Pioneer Elite Plasma bar none the best and most expesive on the open market)

    December 13th, 2006 at 12:22 pm

  21. Falcon says:

    Sony snobs are ALMOST as bad as Bose snobs. How you can support something that is both overpriced and overrated?

    December 13th, 2006 at 12:29 pm

  22. Mike says:

    Sony is quality but overpriced. I’ll stick with Samsung. I’ve had a 13″ Samsung for 15 years that still works like new, and a 27″ for 10 years that has never had a problem.

    December 13th, 2006 at 12:46 pm

  23. HeyNow... says:

    Hey now…the Bose comment was totally uncalled for…Sony blows, but leave Bose out of it!

    December 13th, 2006 at 2:48 pm

  24. Eric says:

    I wish I could agree with the people who say the innards are the same, but I can’t. I sell TVs, and we are currently having difficulty getting parts for the no-name brands (Protron, Haier, Sylvania, Vizio). I heard that Sears isn’t offering any extended service contracts on Protron or Haier now, and Circuit City is having difficulty servicing other products.

    On the Sony vs Samsung side, the two companies share LCD panel factory parts (they are partners). The other Eric above illustrates the issue above with the COTS parts vs in-house items.

    December 13th, 2006 at 4:05 pm

  25. Barnum says:

    Sony, Bose, high priced crap - all connected by “solid gold” Monster Cables no doubt.

    WOW!

    Any supposed “advantages” of these self-called “Superior Products” is mostly PR Hype.

    Go ahead, you foolish a$$hats, pay the large difference.

    We’re EXTREMELY impressed - mostly by your stupidity.

    Whatever you buy, buy it at COSTCO. They have a “bring it back if you don’t like it for any reason” policy.

    No huge money-maker “extended warranty” BS needed for most products including ALL flat screen TVs!

    Duh!

    December 13th, 2006 at 5:23 pm

  26. Sony & Bose Suck, but Monster Cable Swallows! says:

    Sony, Bose & Monster Cables…. Now there is the epitome of elitist snobbism! 3 mediocre, outrageously priced products! The perfect set - Hook, Line & Sinker! The next time a salesperson tells you that you need Monster Cables to get the “Best possible signal”, remind him that in the digital world, there is no static and that if you are not seeing the “squares of digital signal loss”, that your $3 cables provide the exact same image that your $80 Monster Cables do! You can test this for yourself, hook up your tuner or cable box with Monster Cables as one input & cheap cables as another input and switch back & forth between them. You ain’t gonna see a difference, except for in your wallet!

    As for Sony TVs, if you really want to do an accurate comparison, buy one & competitor’s model with the same specs. Take them home, hook them up with the same inputs, and do a side by side comparison. You’ll take back the Sony every time, and pocket %30 of the Sony’s cost in savings on the other model. Comparisons in Big Box stores are nearly impossible, as they can alter the inputs to the various models and don’t forget that the customers change (mess up) the display settings all the time!

    As far as the comments above about “getting what you pay for”, I will always take a model that provides 85-90% of the performance from the so called “quality” models at 1/2 to 2/3 of the price, and replace it in 5 - 6 years with a newer, bigger, badder model. in 10 - 12 years, I will have had 3 new TVs (with all their newer functionality, performance, price drops, etc) in the same amount of time that you can have 2 of the elite snobbist brands! When you don’t pay as much for them, you aren’t as likely to die defending them (or be reluctant to replace them!).

    I’m not EVEN gonna waste my time on discussing Bose….

    December 13th, 2006 at 6:40 pm

  27. JTyson says:

    Sony is, and will remain for a long time to come, an innovative company. One of the things they’ve ALWAYS done best is televisions. Granted, any technology that has been around for 2+ years (i.e. liquid crystal display) will be adopted by other companies and offered at a substantially lower rate. And yes, the quality will likely be just as good. But that’s not why you buy Sony. You don’t buy Sony to purchase a product based on technology that’s YEARS old. You buy Sony to get the new 55″ SXRD LCD, whose panel is specially produced to allow more pixels on screen per square inch than any other panel on the market. Does the technology cost more? You bet your left foot it does, but if you’re a visual purist like myself, there’s really no other choice.

    December 14th, 2006 at 11:05 am

  28. P. T. Barnum says:

    “If you’re a visual purist, like myself” . . . blah, blah, blah; then by all means feel free to BET your left foot!

    We common (visual non-purist)folk remain impressed by your love to impress us.

    Sony LOVES you guys!

    December 14th, 2006 at 1:21 pm

  29. Geek Philosophy » Blog Archive » The TV With No Name says:

    […] An article over at Real Tech News talks about how Sony thinks TV prices are dropping too fast, due to “no-name” competitors. […]

    January 2nd, 2007 at 10:06 pm

  30. eeellll says:

    this stinks i was not looking for this gosh

    May 18th, 2009 at 10:45 am

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