Chi Mei’s Nexgen Bullish on LCD TV Sales in 2006

The Chi Mei Group in Taiwan owns many member companies including Nexgen Mediatech. Never heard of them? I haven't either. According to a Digitimes article, Nexgen claims that it shipped 150,000 LCD TVs in Q1'06, whereas it shipped a 300,000 LCD TVs for the entire year of 2005. Of that 300,000, around 210,000 were 32" LCD TVs, the company claims. Nexgen's target for 2006 is 600,000 LCD TVs worth about NT$10 billion. About 30% of that total will be for the Chi Mei-branded TVs and the rest will be OEM. Another group affiliate, CMO, supplies about 75% of Nexgen's need for LCD TV panels.

This is all rosy and nice, but let me chime in and may I focus on the thorns. First of all, I wouldn't buy a no brand like Nexgen or a Chi Mei brand unless it was dirt cheap. For a 32" LCD TV, it would need to be $499 or something ridiculously low. Why? I would use it for gaming or have it my children's room. I would not put it in my living room, that's for sure. Second, when I watch TV (I seldom do), I want the quality to be there. I haven't tested a Nexgen or Chi Mei-branded TV, but something tells me I will not be getting the best picture quality with these units. Sure, Sharp is procuring CMO panels, but most likely those TVs will not be sold in Japan because if they do, the Japanese consumers will not buy them. There are distinct differences between how a Sony or Samsung TV looks compared to a Westinghouse Digital or Maxent-branded large monitor that looks like a TV. And the reason why I'm so harsh is because to maximize picture quality you need to tweek the electronics, you can't simply slap on plastics on a LCD TV module and declare it a TV.

Leave a Reply