it’s all about connectivity 2015... · 2016. 9. 6. · fung business intelligence centre global...
TRANSCRIPT
1 Fung business intelligence centre global retail & technology publication: FLASH REPORT FROM CES Copyright © 2015 The Fung Group, All rights reserved.
Global Retail & Technology flash report J an u ar y 6 , 2 0 1 5 J a n u a r y 6, 2 0 1 5
CES 2015 PRESS DAY: It’s All About Connectivity
D E B O R A H W E I N S W I G E x e c u t i v e D i r e c t o r – H e a d G l o b a l R e t a i l & T e c h n o l o g y F u n g B u s i n e s s I n t e l l i g e n c e C e n t r e d e b o r a h w e i n s w i g @ f u n g 1 9 3 7 . c o m N e w Y o r k : 6 4 6 . 8 3 9 . 7 0 1 7
1 Fung business intelligence centre global retail & technology publication: FLASH REPORT FROM CES Copyright © 2015 The Fung Group, All rights reserved.
Global Retail & Technology flash report J an u ar y 6 , 2 0 1 5
CES 2015 PRESS DAY: It’s All About Connectivity While most of the world focuses on the avalanche of new products, the real theme of CES Day 2 was connectivity. From smart cars to fitness trackers to phone-‐controlled home appliances, company presentations made it clear that from now on, no device will stand alone but will be part of an ever-‐expanding digital conversation.
Nowhere was this clearer than at Samsung CEO BK Yoon’s keynote presentation focusing on the Internet of Things (IoT). We are entering an age of “superconnectivity”, according to Yoon, when all everyday objects will eventually mesh together. He predicted that 90% of Samsung products will be IoT devices by 2017 (he hopes to make that 100% in five years). Perhaps most important, he said that all of Samsung’s devices would be open to developers—and to prove its commitment to an “open ecosystem”, the company plans to invest more than $100 million in the development community this year.
Here are the top themes we gleaned from the press conferences we attended today:
THE SMART HOME JUST GOT A LOT SMARTER
• Samsung’s SmartThings introduces a new Hub, new sensors, and a subscription service
• LG Electronics’ new washing machine has Wi-‐Fi connectivity; HomeChat may hit the US in 2015
• Nest expands its list of partners to include locks, fans, lights, and appliances
• Qualcomm moves into smart lighting in partnership with Lifx
Not that long ago, the digital “smart” home seemed like a pipe dream, but the plethora of new product and partnership announcements at this year’s CES made it abundantly clear that the connected home is getting more connected by the day. At BK Yoon’s presentation, the CEO of SmartThings (a smart home company Samsung acquired in August 2014) introduced a new smart home Hub that, among other things, has backup battery power and cellular connectivity to keep home devices humming in case of a power outage. It is also expanding third-‐party integration to include everything from locks and thermostats to garage door openers. And the company is launching a first-‐of-‐its-‐kind premium subscription service, which can text or call homeowners when some kind of problem is detected.
2 Fung business intelligence centre global retail & technology publication: FLASH REPORT FROM CES Copyright © 2015 The Fung Group, All rights reserved.
Global Retail & Technology flash report J an u ar y 6 , 2 0 1 5
LG is also determined to become a bigger player in the connected household. The company’s new Twin Wash system (essentially two washing machines in one) will be able to communicate with the LG ThingQ app via Wi-‐Fi connectivity about everything including cycle alerts and with easy programming. LG also hinted that its HomeChat service—which connects a variety of appliances to the Internet via mobile apps—may be coming to U.S. stores in 2015.
Not surprisingly, Nest, perhaps the dominant industry player in smart-‐home tech with its popular Learning Thermostat and smoke/CO2 detectors, continues to forge ahead, announcing more than a dozen new brand integration partnerships through its developer program “Works with Nest.” These include: August Smart Lock (so that locking or unlocking your door could also change your thermostat setting), Philips Hue, Big-‐Ass Fans, and Lutron, among others.
Chip giant Qualcomm is also moving further into the connected home with a new initiative aimed at creating Wi-‐Fi-‐based smart lighting. With its partner smart-‐tech lighting vendor Lifx, the company announced its Alljoyn Lighting Service Framework. The technology includes Wi-‐Fi connectivity inside the actual light bulbs, which would let you switch your lights on or off using a smartphone app. (Qualcomm is already an IoT leader, as it is a key player in the AllSeen Alliance, a group of companies working together to create an open software framework for smart home devices.)
4K TV IS HERE TO STAY
With companies such as LG, Samsung and Panasonic announcing their involvement in the newly formed Ultra High Definition (UHD) alliance, 4K was another hot topic on Press Day, particularly given the arrival of quantum-‐dot technology (called ColorPrime by LG and SUHD by Samsung), which uses phosphor-‐based LED backlighting for better image control. Our takeaway: This year will see far more UHD sets, far more available 4K content and likely new iterations on the 4K TV theme.
• Samsung was instrumental in bringing 4K UHD TVs into the mainstream, and management unveiled a diverse group of products, including a super Ultra 4K UHD (SUHD) set, which leverages Samsung’s semiconductor manufacturing expertise to offer 64 times the color expression of conventional TVs. While it still uses an LCD panel (albeit with input from designer Yves Behar), the new SUHD technology uses nanocrystal semiconductors to deliver “the highest color purity and light efficiency available today,” according to the company.
Samsung also updated its proprietary smart TV interface, the Tizen OS, and is making it the backbone of its 2015 Smart TV Hub.
3 Fung business intelligence centre global retail & technology publication: FLASH REPORT FROM CES Copyright © 2015 The Fung Group, All rights reserved.
Global Retail & Technology flash report J an u ar y 6 , 2 0 1 5
Samsung reinforced last year’s Gear virtual reality brand with the announcement of Milk VR for Galaxy smartphones. The free app will feature 30 titles at launch, with new content added regularly.
• LG Electronics kicked off its press conference with its chief technology officer giving a vision of a connected future and talking up its OLED (organic light-‐emitting diode) TV line, which is now entirely in 4K resolution, with 55-‐, 65-‐ and 77-‐inch models in both flat and curved designs, including the flagship 77-‐inch flexible curved model, first announced in 2014. The company is investing $600 million to double its capacity for OLED (organic light-‐emitting diode) TVs, which differ from LCD TVs in that they actively emit light.
LG has seen spectacular growth in sales of 4K Ultra HD sets and is upgrading its TVs’ software and signing partnerships with new content providers. In addition to a TV set using quantum-‐dot technology, the company is also demoing an 8K HD set, whose resolution approaches the limits of the human eye.
The LG press conference also featured a cameo from Greg Peters, Netflix’s chief of streaming and partnerships, who unveiled the new “Netflix Recommended TV” program, which is an evaluation service that will help customers to identify TV sets that offer a better Internet viewing experience.
Separately, on the cellphone front: The LG G Flex 2 is a cellphone with four curved surfaces, a new iteration of its back-‐pocket-‐friendly smartphone, complete with a 5.5-‐inch screen, 1080p display, selfie mode and Qualcomm’s newest high-‐end chip. The phone also features a surface that heals itself from scratches, and with fast recharging.
• Sharp emphasized that it was the first company to commercialize the LCD display and is launching a full line of 4K TVs this year, ranging from 43 to 80 inches. These include a “free form” (that is, a non-‐rectangular display that can be manufactured in virtually any form factor—for example, in the shape of an automotive instrument panel). Sharp is also demoing what it has dubbed Beyond 4K TV, a high-‐end model that uses its Quattron yellow subpixel technology to deliver a billion more shades of color and an image that provides “the best commercially available viewing experience in 2015.”
4 Fung business intelligence centre global retail & technology publication: FLASH REPORT FROM CES Copyright © 2015 The Fung Group, All rights reserved.
Global Retail & Technology flash report J an u ar y 6 , 2 0 1 5
Sharp also highlighted its IGZO technology, which when combined with MEMS (micro electro-‐mechanical systems) from Qualcomm subsidiary Pixtronics, offers sets with low-‐power use, high resolution, and which can be used in daylight.
• Sony took the wraps off its new X900C line of 4K TVs, with a panel as thin as the company’s own Xperia smartphone in some sections. To underscore its focus on Internet connectivity, the company also announced that it was joining Netflix’s new “Recommended TV Programming” service. Android TV will be built into Sony’s new TV lineup as the platform of choice for all of its 2015 TVs with Google Cast compatibility, an app for Smartwatch control and voice controls.
• Panasonic unveiled its new Life+Screen smart TV platform with Firefox OS integration this year, as well as a Blu-‐ray player capable of playing native 4K and High-‐Dynamic Range (HDR) content. (dynamic range describes the ratio between the lightest and darkest picture elements, and high HDRs offer richer color and more realistic pictures.) The company also announced a plethora of consumer products, including its new Lumix still cameras, 4K UHD camcorders, the return of the Technics audio brand, home-‐monitoring systems, and home security and monitoring systems.
The company also highlighted its competitive strength in lithium-‐ion battery technology and the factory it is building with Tesla Motors. Panasonic is also developing a display for use on transparent windows, and discussed the town is has built near Tokyo with leading-‐edge energy efficiency and low water consumption.
• Hisense, is the number-‐one TV maker in China and has moved up five notches to hit number seven in the US, as a result of its partnering with Walmart, Amazon, Best Buy, and PC Richard. Hisense announced a curved 4K UHD TV sets at this year’s CES, and a projection TV using laser emitters and with cinematic sound.
5 Fung business intelligence centre global retail & technology publication: FLASH REPORT FROM CES Copyright © 2015 The Fung Group, All rights reserved.
Global Retail & Technology flash report J an u ar y 6 , 2 0 1 5
ON THE CONTENT FRONT
• Dish staged an elaborate entrance at its press conference, featuring a marching band of dancing “joeys”, celebrating the continuation of their Joey, Super Joey, Virtual Joey and Hopper products. Dish announced the first 4K set-‐top box of any provider, the 4K Joey, with a dual-‐core ARM processor, which connects to the Hopper and allows the viewer to seamlessly switch between live TV, DVDs, DVR and Netflix, and adds the music video streaming music service, VEVO. It features a touchscreen remote and multi-‐room audio support for its app, due in the spring.
Dish also unveiled Sling Television, a new Internet TV service, a $20-‐per-‐month package billed as a no-‐commitment service for Millennials, bringing live streaming TV to tablets, game consoles, PCs and smart TVs in a customized experience not connected to cable TV.
THE SMART CAR
• Volkswagen’s press conference played up on the coming convergence of cars and computers and its efforts to integrate intuitive use of technology into its lineup. New VW models will be able to inform owners remotely if their teenagers are driving their car too fast; to check sports scores, make restaurant reservations and receive any other kind of information from the car remotely via smartphone or smart watch, via Android smartphones or Apple’s Car Play interface.
The new Golf R Touch employs touchscreen technology from smartphones and tablets to eliminate all mechanical switches from the vehicle, and all actions are controlled on flat-‐panel displays via gestures, with haptic feedback, proximity switches, an internal 3D camera, all for the purpose of freeing the driver from distractions that could reduce safety.
6 Fung business intelligence centre global retail & technology publication: FLASH REPORT FROM CES Copyright © 2015 The Fung Group, All rights reserved.
Global Retail & Technology flash report J an u ar y 6 , 2 0 1 5
ETCETERA
• Monster continued its tradition of introducing music and celebrities, with Nick Cannon and Shaquille O’Neal touting their favorite Monster products. Shaq provided a quick video presentation of Monster’s Superstar Backfloat, a completely waterproof sound system (we saw Shaq drop it into a tub of water on screen!)
The company introduced the iSport Wireless system, the thinnest in-‐ear blue tooth headphone with a 50-‐foot range and 5-‐plus hours of battery life. Vern Smith, director of product development, hinted at a recent collaboration with UFC, the most recognized brand of MMA, and the development of future products. The women’s bantamweight champion was recently named Product Ambassador.
Deborah Weinswig, CPA Executive Director – Head Global Retail and Technology Fung Business Intelligence Centre Global (FBIC Global) New York: 917.655.6790 Hong Kong: +852 6119 1779 [email protected] Marie Driscoll, CFA [email protected] Christine Haggerty [email protected] John Harmon, CFA [email protected] Amy Hedrick [email protected] Fong Lau [email protected] Lan Rosengard [email protected] Jing Wang [email protected]