The controlling Lee family is trying to reinvent Samsung as a purveyor of Internet-connected appliances to grab share of a market that may be worth $7.1-trillion (U.S.) by 2020. Samsung wants to generate revenue from Tizen applications and services just as Apple Inc. and Google do from their operating systems, and the Suwon, South Korea-based company is emphasizing TVs and consumer electronics after falling a year behind schedule on a Tizen-based phone.
“In smartphones, there’s no chance that Samsung’s Tizen can edge out the two dominant operating systems,” said Claire Kim, a Seoul-based analyst at Daishin Securities Co. “But in TVs, Samsung may have a chance.”
Samsung’s rise to No. 1 in global phone sales depended on Google’s Android. Nearly all of the 243 million smartphones Samsung shipped through Sept. 30 ran the software, which Google typically gives away in return for mobile advertising revenue and a share of app sales.
Samsung faces the strongest challenge to its phone supremacy after posting the smallest quarterly earnings in more than two years. Operating profit at the mobile-phone unit, the company’s biggest cash generator, slumped 74 per cent in the September quarter and sales fell about 33 per cent.
I own an Apple TV and I just can’t get excited about paying extra for a smart TV when I can plug one of those or a Google Chomecast (or Amazon Kindle, Roku….) for under $100 (or under $40 for the Google Chromecast) into the TV and have a smart TV.
The smart appliance market may become huge but I can’t see the smart TV one being that big of deal at all, not when I can get my apps on my tablet and stream to my television.