Downturn may hurt autumn tech show
Korean firms have no plan to display brand new products at IFA
By Kim Yoo-chul
The deepening economic turmoil in Europe is expected to hit the upcoming IFA global technology exhibition slated for August in Germany. The IFA trade fair is the Europe’s biggest technology exhibition showcase comparable to the Consumer Electronics Show (CES) in the U.S.
Many, including IFA organizers, expected leading technology companies, including Samsung, LG and Apple, to unveil new devices and gadgets at IFA, which will run from Aug. 31 through Sept. 5 in Berlin.
But unfortunately, Korea’s two giants have no plan to introduce brand new devices due to the economic slowdown caused by the deepening eurozone crisis.
``Samsung Electronics is preparing for this year’s
IFA fair. But it’s unlikely that we will release wholly-new products. Rather, management will use the show to check up on business operations in Europe,’’ said an official, Tuesday.
The company earlier confirmed that it is going to release an improved 55-inch flat-screen TV set using advanced organic light-emitting diode (OLED) technology.
This is no surprise as the world’s largest electronics firm previously displayed the same format TV at the CES in Las Vegas early this year.
Officials say that there will be some announcements regarding partnership with content providers at the IFA. The firm plans to exhibit a new Galaxy Note ― dubbed the Galaxy Note 2. ``The Note 2 has enhanced data speed and strengthened the stylus-pen touch functions. But the Note 2 is also expected after the impressive performance of the first Note,’’ said another official.
Samsung recently claimed that it’s now in ``emergency mode’’ due to the fluctuating value of the euro. The firm is suffering from a steep decline in dollar-denominated revenue, with the euro value significantly dropping in comparison as the fate of the single currency hangs in the balance.
``Rather than showing off our technologies, Samsung’s key decision-makers will hold strategic meetings to take steps to ensure our bottom line in the wake of deepening uncertainty in the European market,’’ he added.
New Samsung Electronics CEO and Vice Chairman Kwon Oh-hyun, who replaced Choi Gee-sung, will meet executives of Samsung's European operations and later he will announce new business strategies for the European market in a meeting with Korean reporters during the fair.
Like Samsung, LG Electronics will participate in the IFA but there will be no new products that can impress the technology industry.
``Our executives will meet key clients in Europe to check out the business situation at this year’s IFA. But no major announcements are coming,’’ said an LG Electronics official.
He said LG, the world’s second-biggest TV maker, is going to seek ways to strengthen its partnerships with leading content providers as the company has keen intention to level up its competency in Web-connected devices.
LG Electronics’ TV chief Kwon Hee-won will hold a press conference to the Korean media for its updated business strategies in Europe. It is still not certain that LG Electronics CEO Koo Bon-joon will appear at the show, according to LG.