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Been in a Target lately? According to VideoBusiness, since upping Blu-ray displays back in May, the retailer's upped BD facings again, from 90 to 150 titles. With several Blu-ray standalone players on sale -- including the store-exclusive Olevia box -- it looks like someone's feeling bullish about its potential. Reports also indicate some stores have installed a second Blu-ray demo area, with spokesman Joshua Thomas saying it is committed to creating a "fun, intuitive shopping environment", but we'd settle for a BOGO, or perhaps some more fully featured value-priced hardware before we officially add Target to the Friends of Blu list.
So yeah, apparently that whole attempt to "streamline operations" back in April didn't go over so well, as Syntax-Brillian -- you know, that firm neck deep in panel partnerships and responsible for Olevia HDTVs -- has just filed for Chapter 11 bankruptcy. The Arizona-based company has also "entered into a deal to sell certain of its assets to a newly created company called Olevia International Group LLC," which has agreed to pick up some $60 million of its secured debt. We're also told that operations in Tempe have ceased, and "about eight employees" (including the finance chief, general counsel and finance staff) are sticking around with nothing better to do.
Looking for more competition among Blu-ray players? TV and appliance manufacturer Taiwan Kolin is apparently prepping a player for the Taiwan market, expected to debut around the third or fourth quarter of this year. Built around Sharp components (not at all the first player to do so), the Economic Daily News quoted Taiwan Kolin's president as saying it would also see store shelves in the U.S. under Syntax-Brillian's Olevia brand. Unfortunately, with no features listed and a retail price only remarked as "less than NT$30,000 ($977 U.S.)" it'll probably need to be a lot less than that to make any kind of splash here.
As evidenced by the rash of partnerships entered into by Syntax-Brillian in the past several months, the company is aiming to "undertake a series of strategic initiatives to position [it] for future growth." Looking beyond the corporate speak, you'll find plans to "simplify its network of supplier relationships through which it develops and manufactures its Olevia and Vivitar product lines, streamline its channel partnerships to focus on a more targeted group of customers within Syntax-Brillian's current base of 3,000 retail and online partners, and eliminate positions representing an approximate 20-percent reduction in overhead costs." Unfortunately, we're not told exactly how many employees will be sent packing, but the firm is expecting the workforce reductions to result in "annualized savings of approximately $4 million in operating costs."
As seen previously, the FCC isn't scared to put the financial smackdown on anyone it finds not playing up to the rules of the digital transition, and has dropped about $6 million in fines on 11 companies. Several of the companies fined were retailers it says did not properly mark TVs that had only analog tuners and won't get OTA TV after it's shut off next year. Wal-Mart got dinged for $992k, $1.1 million went against Sears, $712k for Circuit City, $296k against Target and $280k against Best Buy. Syntax-Brillian was one of two companies that caught a charge for importing TVs without a digital tuner after the deadline, two more were fined for V-chip violations, while Panasonic and Philips were among seven others that settled to avoid fines. That probably won't cover all those $40 coupons, but it can't hurt.
We've already heard about how the economic slowdown in the US may be hiking up your cable bills, and it stands to reason that gadget buying will feel a pinch as well as buyers tighten their belts. But like so many other things in business, it may be the "little guys" (in this case, smaller LCD brands) that get jammed up. Even though consumers will be looking favorably at value-oriented LCDs, there are murmurs that resellers are pushing out their payment terms from 2-months to 3-4-months. It's hard to argue that a change in payment terms like this will negatively affect smaller, more tightly-budgeted manufacturers. But, we'd also like to remind folks that in the specific case intimated in the article (Syntax-Brillian), there's also the whole issue of its ill-fated LCOS efforts. On a positive note, we suggest value-oriented manufacturers tout the money-saving that staying at home with a good TV can produce (cheaper and more enjoyable than going out).
It looks like Syntax-Brillian (makers of Olevia LCD TVs) won't be scrounging around for LCD panels anytime in the near future, as the company has just announced that it's signed a deal with Sharp that'll see the company deliver a minimum of 700,000 LCD panels to 'em during 2008. That includes 32-, 37-, 52- and 65-inch size panels, with an option to buy additional panels based on market demand. Nothing too extraordinary there, but the deal does gives Syntax-Brillian and Taiwan's Kolin exclusive rights to Sharp's top-end 65-inch, 120Hz LCD panels through September 2008, which is certainly nothing to sneeze at. While the ink's still barely dry on this contract, as we heard during CES, those panels are already their way into some Olevia sets due in the second quarter of this year, making that "exclusive" period a bit on the short side, though we don't doubt Syntax-Brillian will make the most of it.
Newly LCD-focused HDTV maker Syntax-Brillian has teased a few details about its plans for CES, bringing a high-end feature from CES 2007, 120Hz, to its mainstream Olevia brand. No word on specific models or prices, but 1080p and 120Hz motion processing are the highlights of the 42-, 47-, 52-, 55- and 65-inch LCDs. Rounding out the CES 2008 plans are a JPEG/MP3 support, USB firmware upgrades, a new universal learning remote, and a whole slew of Olevia-branded accessories including HDMI cables, wall mounts and a wireless/waterproof LCD. Expect more details in a few days, and look for these HDTVs to hit shelves in the second quarter.










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