TW6864, TW6868 Respond to Increased Demand for More
Integrated ICs for the Software Compression PC DVR Cards Used
in Security Surveillance Applications
Techwell, Inc. (Nasdaq:TWLL), a leading designer of mixed signal video semiconductor solutions for the security surveillance, automotive, and consumer electronics markets, today announced two multi-channel video capture products, the TW6864 and the TW6868. These devices feature Techwell's premium quality 4-in-1 video decoder technology -- which has the best weak signal performance in the industry, four high-performance audio ADCs, and an integrated PCI Express interface. This high level of integration simplifies the PC DVR card hardware design and reduces production costs.
Demonstrated at the CPSE show in Shenzhen, China earlier this week, the TW6864 and TW6868 take advantage of the significantly faster speed and overall larger data bandwidth of the PCI Express interface -- a feature in high demand for security surveillance systems utilizing a software compression PC DVR card.
The TW6864 and TW6868 support both real time and non-real time video and can output multiple video resolutions including D1, half D1, and CIF, providing maximum application flexibility. Techwell's proprietary video locking technology enables a non-real time switching speed that is faster than competitive products, allowing for the highest possible frame rate per channel. In addition, both ICs contain a high-performance proprietary DMA controller that fully utilizes the PCIe x1 bandwidth, enabling video and audio data transfer at an optimal throughput rate.
The TW6864 can decode and transfer four channels of real time D1 video (up to 16 channels of non-real time video) and four channels of audio. In comparison, the TW6868 can be cascaded with an external Techwell 4-in-1 decoder such as the TW2865 to achieve eight channels of real time D1 video and 9 channels of audio. In non-real time mode, the TW6868 (when combined with TW2865) can support up to 24 channels of video.
"The PCIe bus is becoming the dominant interface on the PC motherboard. Fortunately, the TW6864 and TW6868 provide a versatile and scalable solution for the software compression PC DVR card market," said David Nam, Techwell's VP of sales and marketing. "Techwell has set the precedent for highly integrated front-end surveillance video semiconductor solutions since 2001 and these two new video decoder solutions demonstrate why we continue to be the market leader."
About Techwell, Inc.
Techwell is a semiconductor company that designs, markets and sells mixed signal integrated circuits for multiple video applications in the security surveillance, automotive and consumer electronics markets. Techwell designs both general purpose and application specific products that enable the conversion of analog video signals to digital form and perform advanced digital video processing to facilitate the display, storage and transport of video content. Headquartered in San Jose, Calif., Techwell currently has more than 200 employees in the U.S., Korea, Taiwan, China and Japan. More information is available at http://www.techwellinc.com
Thursday, November 19, 2009
Thursday, November 12, 2009
TURNING LG INTO A MARKETING-DRIVEN LEADER
Dermot JM Boden, executive vice president and chief marketing officer of LG Electronics, told Kwanchai Rungfapaisarn about his strategic mission to make LG the No-1 brand in the world. "My personal mission is to make LG the best marketing company in the world and to make LG the No-1 brand in terms of sales, brand health, image perception and awareness," said Boden, who joined South Korea's LG Electronics two years ago as head of marketing.
He said the key elements were to focus on building the LG brand, as well as the customer service and market research functions.
"I will enhance marketing programmes, some from my office and the others through our local subsidiaries. We have a clear desire and aspiration to be No 1 in terms of sales and brand. We want to promote emotional attachment so that consumers think of LG as part of their family," said Boden.
He added that LG Electronics had created a human-face logo to nurture the brand identity as enhancing the emotional connection with consumers.
"We want to build real connection and loyalty in consumers by bringing products that are the best of design and technology and that enrich their life," he said.
"My strategy is common [to all parts of the organisation]. Everything we do is done to build the brand," said Boden.
He said the products themselves had a very short selling cycle. Telephones, for instance, are on the market for only six months, and it is a couple of years for televisions, refrigerators and washing machines.
These products make the brand and the brand will last forever, said Boden, adding that the brand needs to be consistent and continuous so that consumers feel the same message and value.
"We build the brand through our products and services, through our marketing programmes, advertising, digital, in-store media, event and marketing partnerships. We want to build our brand and allow people to feel our brand as aspirational and worthy of premium pricing," he said.
He added that LG targeted consumers who want the best they can afford and were willing to pay for it. "We do a lot of market research into consumer behaviour and usage of the products, which differ from market to market," said Boden.
He gave the example of Bangkok and upcountry Thailand, where the sizes of houses are different - and this drives the need for refrigerators and washing machines of different sizes as well.
In South Korea, the company developed the Kimji refrigerator by focusing on how to keep the appliances fresh and odourless. The refrigerator fit very well with local consumer behaviour. Having been in the market for about 10 years, the Kimji range has strong penetration with 80 per cent of households owning one of the refrigerators.
"We are working very hard to get consumer insights. We rely on local insights and consumer knowledge, particularly in major markets such as Thailand, Indonesia, India and China in this region. We bring those local insights back to Korea to develop products that are good for specific markets," he said.
Boden said Thailand, for example, was a "young" country. The company is building a relationship with young Thai consumers through its electronic products such as mobile phones and televisions. Customer service is very important in building the brand and communicating with Thai consumers.
"There are many things we can learn from Thailand and then expand those best practices to other markets around the world," he said.
Boden identifies with the "3C" marketing principles, which are consistency, continuity and creativity - particularly local creativity.
He feels a great challenge in making LG Electronics a leading global marketing-driven company.
He said LG was a large company with 82,000 people, and annual sales close to US$50 billion (Bt1.66 trillion).
"We're a very young brand at only 15 years old. We have transformed ourselves from a manufacturing, research and development and trading company into a marketing-driven firm in just the last two to three years. That's a different business model for us.
"So now, we're focusing our effort behind the brand and understanding consumers. LG is becoming a very global English-speaking company. All of these changes are challenges, but hopefully they will make us even stronger," said Boden.
He said the key elements were to focus on building the LG brand, as well as the customer service and market research functions.
"I will enhance marketing programmes, some from my office and the others through our local subsidiaries. We have a clear desire and aspiration to be No 1 in terms of sales and brand. We want to promote emotional attachment so that consumers think of LG as part of their family," said Boden.
He added that LG Electronics had created a human-face logo to nurture the brand identity as enhancing the emotional connection with consumers.
"We want to build real connection and loyalty in consumers by bringing products that are the best of design and technology and that enrich their life," he said.
"My strategy is common [to all parts of the organisation]. Everything we do is done to build the brand," said Boden.
He said the products themselves had a very short selling cycle. Telephones, for instance, are on the market for only six months, and it is a couple of years for televisions, refrigerators and washing machines.
These products make the brand and the brand will last forever, said Boden, adding that the brand needs to be consistent and continuous so that consumers feel the same message and value.
"We build the brand through our products and services, through our marketing programmes, advertising, digital, in-store media, event and marketing partnerships. We want to build our brand and allow people to feel our brand as aspirational and worthy of premium pricing," he said.
He added that LG targeted consumers who want the best they can afford and were willing to pay for it. "We do a lot of market research into consumer behaviour and usage of the products, which differ from market to market," said Boden.
He gave the example of Bangkok and upcountry Thailand, where the sizes of houses are different - and this drives the need for refrigerators and washing machines of different sizes as well.
In South Korea, the company developed the Kimji refrigerator by focusing on how to keep the appliances fresh and odourless. The refrigerator fit very well with local consumer behaviour. Having been in the market for about 10 years, the Kimji range has strong penetration with 80 per cent of households owning one of the refrigerators.
"We are working very hard to get consumer insights. We rely on local insights and consumer knowledge, particularly in major markets such as Thailand, Indonesia, India and China in this region. We bring those local insights back to Korea to develop products that are good for specific markets," he said.
Boden said Thailand, for example, was a "young" country. The company is building a relationship with young Thai consumers through its electronic products such as mobile phones and televisions. Customer service is very important in building the brand and communicating with Thai consumers.
"There are many things we can learn from Thailand and then expand those best practices to other markets around the world," he said.
Boden identifies with the "3C" marketing principles, which are consistency, continuity and creativity - particularly local creativity.
He feels a great challenge in making LG Electronics a leading global marketing-driven company.
He said LG was a large company with 82,000 people, and annual sales close to US$50 billion (Bt1.66 trillion).
"We're a very young brand at only 15 years old. We have transformed ourselves from a manufacturing, research and development and trading company into a marketing-driven firm in just the last two to three years. That's a different business model for us.
"So now, we're focusing our effort behind the brand and understanding consumers. LG is becoming a very global English-speaking company. All of these changes are challenges, but hopefully they will make us even stronger," said Boden.
Solar lanterns light the way
For more than 100 Indian villages cut off from the electricity grid, life no longer comes to an end after dark thanks to an innovative solar-powered lantern that offers hope to the nation's rural poor.
While cooking, farming and studying after sunset were once a struggle using inefficient kerosene or paraffin lamps, the solar lantern now provides a cheap and practical source of light.
The simple device, which is charged during the day from a communal rooftop solar panel,uses between five and seven watts of power and has a battery that lasts up to eight hours.
It also boasts a socket for charging mobile phones and a hand crank for topping up the power.
Villagers pay between 3 and 6 rupees (2 to 4 baht) a day to rent the lantern under the "Lighting a Billion Lives"(LaBL) scheme, which was launched last year to promote solar energy as the environmentally friendly answer to India's energy shortages.
"I keep my shop open as late as 9pm. All my fish get sold by that time," a fish seller in Govindorampur district in West Bengal state who uses the lamp told researchers.
He is one of those whose lives have been transformed by the first wave of 5,000 lanterns distributed across nine states in India.
The LaBL scheme, run by The Energy and Resources Institute (Teri) in New Delhi, plans to eventually put 200 million lamps into use.
Organisers say each lamp should work for 10 years, saving between 500 and 600 litres of kerosene which would produce about 1.5 tonnes of carbon dioxide.
Government figures show more than 10,000 impoverished Indian villages have no access to grid electricity, but the solar revolution could also change middle-class lives in urban India,where energy demands have soared.
Power cuts are common even in the smarter suburbs of New Delhi, Mumbai and Kolkata as residents soak up fragile supplies with airconditioning units, freezers and washing machines.
While per capita electricity use in India -704 kilowatt hours in 2007-2008- is far lower than the 8,000 kilowatt hours per capita in many industrialised countries, there is no sign of consumption slowing.
"There is something like 30 percent overdemand. There's significant undergeneration as it is, even if you don't electrify any more," said Joel Slonetsky, a researcher with LaBL.
One "green" solution to the outages is a solar-charged inverter for backup electricity during cuts.
"People have started realising the scarcity of power," said Chandra Sekhar, CEO of Solar India Solutions, which sells the inverters in the southern state of Andhra Pradesh."They have become scared so they don't mind spending a little extra."
Sekhar said most of his clients belong to the "domestic middle-income group" and they choose to shell out between $3,000 to $6,000 for the solar inverters that work as well as traditional ones.
"Right now the technology is at a stage where we can say that it stands side by side with conventional electricity," said Ajay Prakash Shrivastava, president of the Solar Energy Society of India.
Increased efficiency and new materials mean the price of solar-powered equipment has been coming down for years, although initial installation costs are steep, said Shrivastava.
While the long-term benefits may be an incentive for some, he acknowledged that most people who have opted to use solar energy have done so out of necessity rather than a desire to be environmentally friendly.
"There are certainly people thinking in that direction," said Shrivastava."But that group is not very large."
Slonetsky said although the Indian solar industry is constantly evolving, the options for domestic solar power use are still somewhat limited.
"It may just be a lag both in terms of consumer awareness and supply here." he said.
It is certainly not for lack of sunshine India receives a high level of solar radiation,equivalent to more than 5,000 trillion kilowatts or up to 3,200 hours of sun a year, according to government statistics.
The government hopes to harness this potential into 20,000 megawatts of solar power by 2020 as part of its National Solar Mission to promote renewable energy.
The plan envisions railway signals and water pumps eventually running on solar technology,but for now, villagers are content with the portable lamps that have made daily tasks such as cooking and cleaning easier.
"The lanterns have changed our position in society," said Ayesha Begum from Sahsoul village in the eastern state of Bihar.
While cooking, farming and studying after sunset were once a struggle using inefficient kerosene or paraffin lamps, the solar lantern now provides a cheap and practical source of light.
The simple device, which is charged during the day from a communal rooftop solar panel,uses between five and seven watts of power and has a battery that lasts up to eight hours.
It also boasts a socket for charging mobile phones and a hand crank for topping up the power.
Villagers pay between 3 and 6 rupees (2 to 4 baht) a day to rent the lantern under the "Lighting a Billion Lives"(LaBL) scheme, which was launched last year to promote solar energy as the environmentally friendly answer to India's energy shortages.
"I keep my shop open as late as 9pm. All my fish get sold by that time," a fish seller in Govindorampur district in West Bengal state who uses the lamp told researchers.
He is one of those whose lives have been transformed by the first wave of 5,000 lanterns distributed across nine states in India.
The LaBL scheme, run by The Energy and Resources Institute (Teri) in New Delhi, plans to eventually put 200 million lamps into use.
Organisers say each lamp should work for 10 years, saving between 500 and 600 litres of kerosene which would produce about 1.5 tonnes of carbon dioxide.
Government figures show more than 10,000 impoverished Indian villages have no access to grid electricity, but the solar revolution could also change middle-class lives in urban India,where energy demands have soared.
Power cuts are common even in the smarter suburbs of New Delhi, Mumbai and Kolkata as residents soak up fragile supplies with airconditioning units, freezers and washing machines.
While per capita electricity use in India -704 kilowatt hours in 2007-2008- is far lower than the 8,000 kilowatt hours per capita in many industrialised countries, there is no sign of consumption slowing.
"There is something like 30 percent overdemand. There's significant undergeneration as it is, even if you don't electrify any more," said Joel Slonetsky, a researcher with LaBL.
One "green" solution to the outages is a solar-charged inverter for backup electricity during cuts.
"People have started realising the scarcity of power," said Chandra Sekhar, CEO of Solar India Solutions, which sells the inverters in the southern state of Andhra Pradesh."They have become scared so they don't mind spending a little extra."
Sekhar said most of his clients belong to the "domestic middle-income group" and they choose to shell out between $3,000 to $6,000 for the solar inverters that work as well as traditional ones.
"Right now the technology is at a stage where we can say that it stands side by side with conventional electricity," said Ajay Prakash Shrivastava, president of the Solar Energy Society of India.
Increased efficiency and new materials mean the price of solar-powered equipment has been coming down for years, although initial installation costs are steep, said Shrivastava.
While the long-term benefits may be an incentive for some, he acknowledged that most people who have opted to use solar energy have done so out of necessity rather than a desire to be environmentally friendly.
"There are certainly people thinking in that direction," said Shrivastava."But that group is not very large."
Slonetsky said although the Indian solar industry is constantly evolving, the options for domestic solar power use are still somewhat limited.
"It may just be a lag both in terms of consumer awareness and supply here." he said.
It is certainly not for lack of sunshine India receives a high level of solar radiation,equivalent to more than 5,000 trillion kilowatts or up to 3,200 hours of sun a year, according to government statistics.
The government hopes to harness this potential into 20,000 megawatts of solar power by 2020 as part of its National Solar Mission to promote renewable energy.
The plan envisions railway signals and water pumps eventually running on solar technology,but for now, villagers are content with the portable lamps that have made daily tasks such as cooking and cleaning easier.
"The lanterns have changed our position in society," said Ayesha Begum from Sahsoul village in the eastern state of Bihar.
SAMSUNG, LG KEEN TO PROMOTE SMART PHONES
LG Electronics' chief executive Nam Yong said that LG's main competition was not Nokia but smart-phone makers Apple and Research in Motion.
His remarks last week show how eager the No 3 handset maker is to raise its profile in the smartphone market.
LG suffered falling sales in North America, one of its key markets, in the third quarter because of the expansion of the smart-phone market led by Apple and Reserach in Motion.
Despite their leading positions in the handset industry, LG and it Korean rival Samsung Electronics have a limited profile in the rapidly growing smart phone market.
The two companies hold a combined share of less than 4 per cent in the global smart-phone market, even as their total share in the handset market tops 30 per cent, according to IDC and Shinhan Investment.
Some analysts said their failure to expand into the smart-phone market would limt their growth. The smart-phone market is expected to grow and account for 20 per cent of the handset market next year, from 16 per cent this year, according to Gartner and Shinhan Investment.
Korean handset makers are closely working with operators to boost their weak smart-phone sales and better compete with Nokia, Apple and Research in Motion. They have also launched smart phones powered by various operating systems including Windows Mobile and Android.
"Apple has its own smart-phone business model, which is not welcomed by wireless opeators," said Jay Yoo of Korea Investment & Securities.
"Samsung and LG have no choice but to cooperate with operators ... It is an inevitable choice, but not a bad one."
LG says it will spend heavily to develop competitive smart phones.
"We plan to release about 10 smart phones powered by Windows Mibile next year," an LG spokesperson said, adding that the company has not decided on how many smart phones it will roll out next year.
He said LG had previously focused on the Windows Mobile operating system, but that it is now focusing on both Windows Mobile and Google's Android operating system.
Samsung, the world's No 3 handset maket, also seeks to take on Apple and Research in Motion in the smart-phone market, in which the Korean company holds a 2.7-per-cent share.
Samsung has introduced a series of new Omina smart phones in September, and plans to double the number of its models next year.
His remarks last week show how eager the No 3 handset maker is to raise its profile in the smartphone market.
LG suffered falling sales in North America, one of its key markets, in the third quarter because of the expansion of the smart-phone market led by Apple and Reserach in Motion.
Despite their leading positions in the handset industry, LG and it Korean rival Samsung Electronics have a limited profile in the rapidly growing smart phone market.
The two companies hold a combined share of less than 4 per cent in the global smart-phone market, even as their total share in the handset market tops 30 per cent, according to IDC and Shinhan Investment.
Some analysts said their failure to expand into the smart-phone market would limt their growth. The smart-phone market is expected to grow and account for 20 per cent of the handset market next year, from 16 per cent this year, according to Gartner and Shinhan Investment.
Korean handset makers are closely working with operators to boost their weak smart-phone sales and better compete with Nokia, Apple and Research in Motion. They have also launched smart phones powered by various operating systems including Windows Mobile and Android.
"Apple has its own smart-phone business model, which is not welcomed by wireless opeators," said Jay Yoo of Korea Investment & Securities.
"Samsung and LG have no choice but to cooperate with operators ... It is an inevitable choice, but not a bad one."
LG says it will spend heavily to develop competitive smart phones.
"We plan to release about 10 smart phones powered by Windows Mibile next year," an LG spokesperson said, adding that the company has not decided on how many smart phones it will roll out next year.
He said LG had previously focused on the Windows Mobile operating system, but that it is now focusing on both Windows Mobile and Google's Android operating system.
Samsung, the world's No 3 handset maket, also seeks to take on Apple and Research in Motion in the smart-phone market, in which the Korean company holds a 2.7-per-cent share.
Samsung has introduced a series of new Omina smart phones in September, and plans to double the number of its models next year.
Sunday, November 8, 2009
PANASONIC BEGINS TENDER OFFER TO BUY SANYO
Panasonic said yesterday it has begun a tender offer to take over smaller rival Sanyo Electric for an estimated 402 billion yen (Bt150 billion), moving loser to create one of the world's biggest electronics makers.
Panasonic, the world's biggest plasma TV maker,is expected to purchase more than 50 per cent of Sanyo shares, hoping to take advantage of the smaller rival's green businesses in solar panels and rechargeable batteries.
Panasonic spokesman Akira Kadota said the tender offer is planned for Nove,ber 5 through December 7 at the price of yen 131 per share.
Sanyo's three major shareholders, Goldman Sachas, Daiwa Securities SMBC and Sumitomo Mitsui Banking Corp, have agreed to sell at least a combined 3.07 billion shares to Panasonic at the per-share price, which guarantees the Osaka-based company to take majority stake in Sanyo.
The three shareholders tog4ther control about 70 per cent of Sanyo's total about 70 per cent of Sanyo's total outstanding shares.
Panasonic has said earlier it hoped to purchase up to all of Sanyo's shares,but the company is largely expected to have to settle with the minimum controlling stake, as other shasre holders are unlikely to want to sell theirs, with half of the market level.
Kadota said that Sanyo is expected to become Panasonic's subsidiary by mid-December, a year after the two companies announced the buy out deal.
The tender offer had been delayed by several months as Panasonic had to wait for clearance from antimonopoly authorities in the US, China and the European Union to go ahead with the takeover.
Panasonic, the world's biggest plasma TV maker,is expected to purchase more than 50 per cent of Sanyo shares, hoping to take advantage of the smaller rival's green businesses in solar panels and rechargeable batteries.
Panasonic spokesman Akira Kadota said the tender offer is planned for Nove,ber 5 through December 7 at the price of yen 131 per share.
Sanyo's three major shareholders, Goldman Sachas, Daiwa Securities SMBC and Sumitomo Mitsui Banking Corp, have agreed to sell at least a combined 3.07 billion shares to Panasonic at the per-share price, which guarantees the Osaka-based company to take majority stake in Sanyo.
The three shareholders tog4ther control about 70 per cent of Sanyo's total about 70 per cent of Sanyo's total outstanding shares.
Panasonic has said earlier it hoped to purchase up to all of Sanyo's shares,but the company is largely expected to have to settle with the minimum controlling stake, as other shasre holders are unlikely to want to sell theirs, with half of the market level.
Kadota said that Sanyo is expected to become Panasonic's subsidiary by mid-December, a year after the two companies announced the buy out deal.
The tender offer had been delayed by several months as Panasonic had to wait for clearance from antimonopoly authorities in the US, China and the European Union to go ahead with the takeover.
Wednesday, November 4, 2009
PANASONIC UNVEILS PRODUCT STRATEGY
Electronics giant Panasonic has elaborated three key concepts that will guide its product development from now on.
President Fumio Ohtsubo recently said his firm believed the three concepts - "Eco Living", "Connected Living" and "Living with Peace of Mind and Safety" - encapsulate the major consumer trends of the foreseeable future and that developing products in line with these trends would ensure steady growth and boost profitability in the long term.
In particular, the "Eco" concept will be central to all of Panasonic's activities from now on, he said. As a result, developing ecofriendly electrical appliances is the firm's long-term priority.
The focus on these three areas was motivated by the need to keep up with consumers' changing lifestyles and a desire to conduct Panasonic's business in a socially responsible way, Ohtsubo said.
Between now and 2020, the percentage of households in Panasonic's major markets is expected to rise dramatically, the president said, with the epicentre of this growth being the BRIC markets (Brazil, Russia, India and China).
Another important factor for Panasonic is the increasing proportion of older consumers in major markets, said Ohtsubo, citing a UN estimate that the proportion of Japanese people aged 65 and above would increase from 20 per cent in 2005 to 38 per cent in 2050. The proportion of Japan's population aged 15-64 will decline from 66 per cent to 51 per cent in the same period and that of people aged below 14 from 14 per cent to 11 per cent.
The so-called greying of the population is also an issue in Germany, France, China and the US, Ohtsubo said.
"We have to develop products from the customer's perspective. Consumers in each region have different needs and tastes. Our challenge is finding ways to make appliances they really want," he said.
The "Eco Living" guidelines require that products save energy, create energy and store energy. At the CEATEC Japan 2009 exhibition held recently at Makuhari Messe in Chiba City, near Tokyo, Panasonic displayed its Intelligent Home Energy Management System, which showcased the firm's latest technologies developed to save, create and store energy in the home.
Panasonic now sells 96 appliances deemed to be "energy-saving products", but all of its products are developed with an eye to reducing carbon dioxide (CO2) emissions, Ohtsubo said, adding that Panasonic had set its own emissions-reduction targets in each product category.
A total of 296 Panasonic products were certified as Superior Green Products in fiscal 2008, ended this past March 31. By the end of that fiscal year, the firm had reduced its CO2 emissions 65 per cent from the 1990 level.
Ohtsubo said another technology Panasonic was developing was the Advanced Video Motion Detector (AVMD), the world's most advanced tracking technology for use in security and behaviour-analysis systems. Among its functions, AVMD automatically detects intruders or the abandonment of packages or other possibly suspicious items in a particular location. The technology is aimed at enabling immediate responses to and prevention of accidents and crimes.
Panasonic is also developing life-assisting robots designed to assist the elderly, both in hospitals and households. The robots are expected to enter the market soon, Ohtsubo said.
Along with developing products, Panasonic is gradually updating its brand image to make it more fashionable, in order to better compete with other brands.Takumi Kajisha, managing executive officer in charge of corporate communications, said that since changing its name from Matsushita Electric Industrial last year, Panasonic had allocated a large budget to advertising its products worldwide, setting aside ?175 billion (Bt65.5 billion) for that purpose.
The figure represents less than 10 per cent of Panasonic's total global sales. The advertising budget is expected to decline next year, Kajisha said.
"Panasonic has been in the appliance market for a long time. We need to build recognition among consumers worldwide that we're still developing and manufacturing [cutting-edge] appliances," he said.
Hitoshi Otsuki, senior managing director, said this had been a tough year for Panasonic, as the strong yen had affected the company's competitiveness. Nevertheless, the firm expects revenue worldwide to increase at a double-digit rate next fiscal year (starting April 2010).
"Currently, the yen is 25 to 30 per cent stronger than it was a year ago. This has reduced our competitiveness relative to other brands, such as those from South Korea, by 25 to 30 per cent, as well. However, Panasonic isn't overly worried about this problem. The yen's value changes cyclically ... We expect the yen to begin weakening in the near future," he said.
President Fumio Ohtsubo recently said his firm believed the three concepts - "Eco Living", "Connected Living" and "Living with Peace of Mind and Safety" - encapsulate the major consumer trends of the foreseeable future and that developing products in line with these trends would ensure steady growth and boost profitability in the long term.
In particular, the "Eco" concept will be central to all of Panasonic's activities from now on, he said. As a result, developing ecofriendly electrical appliances is the firm's long-term priority.
The focus on these three areas was motivated by the need to keep up with consumers' changing lifestyles and a desire to conduct Panasonic's business in a socially responsible way, Ohtsubo said.
Between now and 2020, the percentage of households in Panasonic's major markets is expected to rise dramatically, the president said, with the epicentre of this growth being the BRIC markets (Brazil, Russia, India and China).
Another important factor for Panasonic is the increasing proportion of older consumers in major markets, said Ohtsubo, citing a UN estimate that the proportion of Japanese people aged 65 and above would increase from 20 per cent in 2005 to 38 per cent in 2050. The proportion of Japan's population aged 15-64 will decline from 66 per cent to 51 per cent in the same period and that of people aged below 14 from 14 per cent to 11 per cent.
The so-called greying of the population is also an issue in Germany, France, China and the US, Ohtsubo said.
"We have to develop products from the customer's perspective. Consumers in each region have different needs and tastes. Our challenge is finding ways to make appliances they really want," he said.
The "Eco Living" guidelines require that products save energy, create energy and store energy. At the CEATEC Japan 2009 exhibition held recently at Makuhari Messe in Chiba City, near Tokyo, Panasonic displayed its Intelligent Home Energy Management System, which showcased the firm's latest technologies developed to save, create and store energy in the home.
Panasonic now sells 96 appliances deemed to be "energy-saving products", but all of its products are developed with an eye to reducing carbon dioxide (CO2) emissions, Ohtsubo said, adding that Panasonic had set its own emissions-reduction targets in each product category.
A total of 296 Panasonic products were certified as Superior Green Products in fiscal 2008, ended this past March 31. By the end of that fiscal year, the firm had reduced its CO2 emissions 65 per cent from the 1990 level.
Ohtsubo said another technology Panasonic was developing was the Advanced Video Motion Detector (AVMD), the world's most advanced tracking technology for use in security and behaviour-analysis systems. Among its functions, AVMD automatically detects intruders or the abandonment of packages or other possibly suspicious items in a particular location. The technology is aimed at enabling immediate responses to and prevention of accidents and crimes.
Panasonic is also developing life-assisting robots designed to assist the elderly, both in hospitals and households. The robots are expected to enter the market soon, Ohtsubo said.
Along with developing products, Panasonic is gradually updating its brand image to make it more fashionable, in order to better compete with other brands.Takumi Kajisha, managing executive officer in charge of corporate communications, said that since changing its name from Matsushita Electric Industrial last year, Panasonic had allocated a large budget to advertising its products worldwide, setting aside ?175 billion (Bt65.5 billion) for that purpose.
The figure represents less than 10 per cent of Panasonic's total global sales. The advertising budget is expected to decline next year, Kajisha said.
"Panasonic has been in the appliance market for a long time. We need to build recognition among consumers worldwide that we're still developing and manufacturing [cutting-edge] appliances," he said.
Hitoshi Otsuki, senior managing director, said this had been a tough year for Panasonic, as the strong yen had affected the company's competitiveness. Nevertheless, the firm expects revenue worldwide to increase at a double-digit rate next fiscal year (starting April 2010).
"Currently, the yen is 25 to 30 per cent stronger than it was a year ago. This has reduced our competitiveness relative to other brands, such as those from South Korea, by 25 to 30 per cent, as well. However, Panasonic isn't overly worried about this problem. The yen's value changes cyclically ... We expect the yen to begin weakening in the near future," he said.
Thai Samsung invests B4bn
Thai Samsung Electronics Co, the leading consumer electronics manufacturer and distributor, plans to spend 4 billion baht to increase the production capacity of its audio-visual and home appliances in Thailand next year.
The budget will be used to install new machines and moulds for its five main product lines: televisions, air conditioners, front-loading washing machines, two-door refrigerators and kitchen products. Thai Samsung did not disclose the additional production capacity but the new investment will create 500 to 1,000 new jobs at the company's factory in Si Racha district, Chon Buri.
Arnut Changtrakul, deputy managing director of Thai Samsung Electronics,said the new investment is a response to improving demand in both export and domestic markets, where sales of all electrical appliances have clearly risen since August.
"This is in line with the projection of GDP growth at 1.5% in the fourth quarter of this year and 3% to 4% in the first quarter of next year. Also, the US expects its GDP next year will rise by 3% to 3.5%next year," he said.
Samsung expects its domestic sales next year will rise by 50% to US$1.5 billion while export sales will rise to $1.6 billion from $1.3 billion this year.
The main products driving sales next year are expected to include LED TVs,computer notebooks, digital cameras,front-loading washing machines and airconditioners. For these products Samsung is currently ranked between No.2 and No.4 in the Thai market.
"Overall sales for Samsung here will reach 80 billion baht in 2010, up from 500 million baht since its inception in 1988. Next we aim to become the market leader for all product categories we produce here step-by-step," said Mr Arnut.
The company currently leads in 11 electrical product categories such as LED TVs, PDP TVs, side-by-side refrigerators and microwave ovens. It is expected to be No.1 in the Thai mobile phone market by the end of this year.
The budget will be used to install new machines and moulds for its five main product lines: televisions, air conditioners, front-loading washing machines, two-door refrigerators and kitchen products. Thai Samsung did not disclose the additional production capacity but the new investment will create 500 to 1,000 new jobs at the company's factory in Si Racha district, Chon Buri.
Arnut Changtrakul, deputy managing director of Thai Samsung Electronics,said the new investment is a response to improving demand in both export and domestic markets, where sales of all electrical appliances have clearly risen since August.
"This is in line with the projection of GDP growth at 1.5% in the fourth quarter of this year and 3% to 4% in the first quarter of next year. Also, the US expects its GDP next year will rise by 3% to 3.5%next year," he said.
Samsung expects its domestic sales next year will rise by 50% to US$1.5 billion while export sales will rise to $1.6 billion from $1.3 billion this year.
The main products driving sales next year are expected to include LED TVs,computer notebooks, digital cameras,front-loading washing machines and airconditioners. For these products Samsung is currently ranked between No.2 and No.4 in the Thai market.
"Overall sales for Samsung here will reach 80 billion baht in 2010, up from 500 million baht since its inception in 1988. Next we aim to become the market leader for all product categories we produce here step-by-step," said Mr Arnut.
The company currently leads in 11 electrical product categories such as LED TVs, PDP TVs, side-by-side refrigerators and microwave ovens. It is expected to be No.1 in the Thai mobile phone market by the end of this year.
Fill me up, put me down
Stuck in the middle of nowhere?No problem, just make sure you take Toshiba's new Dynario along. Fuelled by concentrated methanol, the Dynario can recharge your BlackBerry, iphone or ipod. The direct methanlo fuel cell battery delivers a charge methanol fuel cell battery delivers a charge via the USB jport and comes with a methanol cartridge for easy refuelling. It went on sale last Thursday through the company's Japanese direct-order websit. Shop 1048.jp.
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