Logitech (Nasdaq: LOGI) sure wishes it could turn back the clock on its Google (Nasdaq: GOOG) partnership. Combined with missteps in EMEA, the dismal failure of the Google TV-powered Revue ended up costing Logitech roughly $100 million.
Who's next?
Come on down, LG Electronics! Bloomberg BusinessWeek reports that LG and Google are set to unveil a new TV at the Consumer Electronics Show in Las Vegas. The CES trade show is a technophile's dream and takes place every January in Sin City.
The potential offering would be LG's first hook-up with Big G, and would naturally tie in the services of LG's subsidiary and TV manufacturing arm, LG Display (NYSE: LPL). Google continues to add allies to its TV army, as Sony (NYSE: SNE) currently offers a Google-powered set and Samsung allegedly has one in the works. Panasonic (NYSE: PC) had passed, calling it too expensive. Google might even be about to become a TV service provider.
Sony says it has something big on the way, and there are plenty of reasons Apple (Nasdaq: AAPL) will inevitably make a TV.
A TV made by LG powered by Google alongside its recent interface redesign sounds remotely promising for consumers, but Google still needs to get content partners on board, like Comcast's (Nasdaq: CMCSA) NBC Universal and Disney's (NYSE: DIS) ABC network.
All of Google's hardware buddies in its TV ambitions have thus far gotten slaughtered; will LG be any different? The TV making business is broken, and partnerships with the search giant have failed others in the past. With other hardware partners also bundling in Google, the deal also wouldn't provide any differentiation from its TV-making brethren.
LG Display's net loss continues to widen, and TV panels comprised 47% of last quarter's revenue. LG may feel compelled to go along with Google, since if it doesn't, it may lose market share to other TV manufacturers. The problem for LG is that it still probably won't be enough to turn red ink into black.
Add these TV players to your Watchlist to see how things turn out.
- Add LG Display to My Watchlist.
- Add Sony to My Watchlist.
- Add Panasonic to My Watchlist.
- Add Google to My Watchlist.
- Add Apple to My Watchlist.
