Samsung pulls second-gen dual-format player
Company will still ship first-generation set-top BD-UP5000
By Susanne Ault -- Video Business, 3/7/2008
MARCH 7 | Citing the end of the format war, Samsung Electronics will not launch its planned second-generation HD DVD/Blu-ray combination player.
Samsung’s dual-format BD-UP5500, announced at January’s Consumer Electronics Show, was originally targeted to ship to retail later this year.
Samsung has committed to continue shipping its first-generation dual-format player, the BD-UP5000, as long as retailers keep ordering.
Samsung believes that more people will want to purchase relatively cheaper standalone models in the winning format.
“We’ve always said that Blu-ray was in the best position to win because of studio support, and the duo player was an interim strategy,” said Reid Sullivan, VP of digital audio/video marketing at Samsung Electronics America. “While dealers are still ordering the 5000, demand is slowing down based on its premium price [compared to straight BD hardware].”
LG Electronics also remains supportive of its current dual-format player, the BH200. The company will be releasing firmware in mid-March that upgrades the player to support picture-in-picture features within BD software.
Likely due to their higher price tags, combo players always have lagged in sales to single-format set-tops. Through last year, dual-format players typically captured less than 5% share in unit weekly sales, according to the NPD Group.
As for Samsung, it is shifting most of its energy to promoting its pure BD products, including the June launch of its fourth-generation BD set-top. This model will represent the manufacturer’s first BD set-top with picture-in-picture functionality.
Since Toshiba formally conceded the format war, “sales have definitely spiked for the BDP-1400,” said Sullivan of Samsung’s third-generation player, now in stores. “We are seeing a dramatic increase in our sales, as consumers are hungry for high-def players and Blu-ray is the format going forward.”
