By Kim Yoo-chul
Staff reporter
Three-dimensional (3D) television appears to be counting down its primetime arrival, but it's debatable whether Sony is ready for the party.
Considered to be the natural successor to the high-definition (HD) flat-screen TVs that are conventional today, 3D TVs are now groomed by the consumer electronics industry to become potential mainstream products, and the rising sales figures in advanced markets show that consumers are convinced as well.
A clear beneficiary of the market would be Samsung Electronics, the world's largest provider of televisions and flat-screen panels, which is currently making Herculean efforts to refine its 3D TV lineup, while its bitter domestic rival, LG Electronics, has declared a strong 3D commitment as well.
Among their well-received products are 3D liquid crystal display (LCD) televisions with light-emitting diode (LED) backlights, which provide better pictures with less power consumption.
However, the prospects for Sony, the Japanese technology titan that is desperate to regain its television throne from Samsung, appear murkier than its Korean competitors, industry sources say, Tuesday.
The Tokyo-based TV manufacturer is currently experiencing difficulties trying to realign its business strategies toward 3D TVs, as it struggles to secure sufficient supplies of advanced flat-screens that are needed to produce goods supporting stereoscopic images.
Obviously, the flat-screen is the key component of today's television sets, conventionally accounting for about 60 percent of production costs.
The global demand for televisions has been rising sharply in recent years, due to the stabilization of the world economy and upcoming mega international events such as the FIFA World Cup, and this has television manufacturers scrambling to secure enough flat-screen panels and other components to exploit the growing market.
And there are reasons to believe that Sony is in danger of falling short in the race for parts.
This has some industry watchers wondering whether the iconic Japanese maker, which is desperate to see profit from its television business for the first time in seven years, will be able to meet its annual target in TV sales.
"It's true that Sony is experiencing difficulties in acquiring advanced panels and LED-related components for 3D televisions," a senior industry official told The Korea Times.
The official, who wished to remain anonymous, said that the lack of parts troubles may dent Sony's aggressiveness in promoting its 3D TVs around the World Cup in South Africa.
Sony had planned to sell over 2 million 3D TVs by the end of the year.
Its chief executive, Howard Stringer, had said 3D TVs will eventually account for more than half of the company's flat-screen television lineup over the next few years.
Stringer, who was in Seoul earlier this month for a meeting with Samsung Electronics Chairman Lee Kun-kee, is believed to have discussed the possibility of Samsung helping to relieve Sony's panel woes.
To Samsung, boasting a dual strength in parts and finished products, Sony doubles as a major client for components such as flat screens and a foe in the markets for televisions and mobile phones.
Sony seems to be doing everything it can to wriggle free from its panel deadlock, with Stringer's visit being interpreted as a gesture to improve its deteriorating ties with the Korean technology giant.
Sony has operated an LCD joint venture with Samsung since 2004.
Last year, however, Sony announced it will spend $756 million on a separate joint venture with Sharp, of which it will acquire a one-third stake by next year. The relationship between Samsung and Sony has since deteriorated.
"Sony needs Samsung more than the other way around, and it will also need the help of LG Display to sufficiently feed its pipelines for 3D TVs and Internet-enabled TVs. Sony also needs to improve its performance in conventional LCD TVs and things look to be getting desperate," said another industry official.
Samsung is also the top provider of LCD panels in the global market, and helped by the economies of scale, the company has sold over 270,000 3D LCD TVs in the past few months, according to company data.
A Samsung spokesman declined to comment on the company's relationship with Sony, although another Samsung official said that the Koreans could ill-afford to let their relationship with Sony breakdown too much when they could benefit from a partnership in 3D-related technologies.
For Sony, however, a renewed partnership with Samsung wouldn't be enough for it to get over the hump.
It might be inevitable for Sony to get a larger chunk of panels from LG Display, the world's No. 2 LCD panel provider and Samsung’s bitter industry rival.
"As far as I know, LG Display has been shipping its television screens to the Japanese company upon urgent calls from the latter," said the Samsung official.
Representatives for both Sony and LG Display declined to comment on the business activities between the two companies.