Samsung warns ongoing chip shortage could impact production of its smart TVs

midian182

Posts: 6,795   +61
Staff member
In brief: With the global chip shortage showing no signs of abating, the next product impacted could be smart TVs. Samsung, whose televisions make up 20% of the market, has warned that if the situation doesn’t improve, it “may not be possible to produce” the devices.

While most of us know the detrimental effect the chip shortage is having on PC hardware/accessories, phones, game consoles, etc., it has also impacted production within industries such as vehicles and home electronic goods, including smart TVs.

Speaking to reporters in South Korea, the head of Samsung Electronics’ visual display business, Han Jong-hee, warned that “the industry in general is facing a severe supply shortage,” and that if the issues continue, the company “may not be able to produce TVs.”

“We are doing all we can to prevent problems,” the exec added.

Sources claim that Han recently visited Taiwan to meet local chipmakers MediaTek and Novatek, which produce components such as driver integrated circuits for Samsung TVs. He said that the company’s supply is secure for at least this year, but with reports that the situation won't be resolved until 2023, the Korean giant might be sweating.

Despite the shortage concerns, Han said production for Samsung’s 146-inch Micro LED TV was in full operation. The production line will expand once the 110-inch version (above) revealed in December launches. The television will also be available in 70-inch and 80-inch sizes.

Samsung held almost 20% of the smart TV market last year, ahead of second place LG (12.2%), while its revenue share was close to 31%.

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Dimitriid

Posts: 558   +960
Really Samsung? REALLY?

If there's one company that truly controls almost every single part of the supply chain for their products anyway it's you: From the processors to the LCD panels to the memory chips Samsung does all of it.

Yet they're too going to cry "This shortage will affect us!"

I'll refrain from using strong language here but it really does seems like one of the more blatant excuse to artificially inflate prices: if everybody else is doing it while should we be left out of a profitable increase in margins? People are fools and will still believe in silly stuff like "supply & demand" always dictate prices and won't bother to look into our blatant manipulation of supply constrains to inflate our prices!
 

seeprime

Posts: 542   +614
Sounds like a good reason to produce a 'dumb' TV again. Might even be able to charge more for it, with the right marketing.
We need tubes again! Wait. No one makes tubes any more. Also, my last tube TV weighed 150 pounds. No thanks.
 

Theinsanegamer

Posts: 2,452   +3,607
Solution: Stop making "SmartTV's". Just make standard display devices.
Even "dumb" TVs still need microcontrollers and underlying software to run their variety of interfaces and controls. My "dumb" TV from 2007 is one of the rreal early 1080p displays, no smart features at all, yet it has a computer in it running windows XP to control the variety of digital inputs. Today if you were to make a "dumb" TV with none of the integration it would likely still use that same computer to save on development and production costs, the same way every VolksWagen product uses the same ECU and media control system, and one of 2 different displays.

The only way you can have a TV without a processor in it is to go full CRT analog tech.
 

Dimitriid

Posts: 558   +960
Sounds like a good reason to produce a 'dumb' TV again. Might even be able to charge more for it, with the right marketing.

To expand a bit more on this yes: I find it particularly aggravating that companies like Samsung want to make every TV a "smart" TV. While having the functionality it's nice, it's also fairly easy to introduce planned obsolescence: It is far cheaper and more convenient to upgrade your TV stick/dongle/whatever for a dumb TV than to basically just get rid of your TV once Netflix or Disney decide their service (Or worst, some features for it) will require a software update or even a hardware one that doesn't involves the TV at all, except now it's "smart" and I doubt Samsung would be willing to service any of these with hardware updates or even software ones in case of a botched firmware update done remotely/online.
 

Neatfeatguy

Posts: 300   +431
Maybe it's just me, but I dislike "smart" TVs. Their interface is generally clunky and there's really nothing smart about them.

The 2010/2011 40" flat screen I have from Sony isn't a "smart" TV. It's just a TV. Plug a Roku stick into it and it works better than any other "smart" TV I've tried playing with.
 

captaincranky

Posts: 16,796   +5,551
Hopefully. it will only be the chip that makes the TV "smart".

I have to listen to enough sh!t from my Blu-ray player about, "you do not have a an internet connection".

I don't need OLED, and I don't need some a**hole TV bossing me around.

A TV should be, "a monitor with a tuner built in. I'll buy the cheapest one I can find to facilitate myself being, "behind the times".

In other news, if you buy any more streamng services, you'll be back to paying > cable bills.
 

mbrowne5061

Posts: 1,840   +1,068
We need tubes again! Wait. No one makes tubes any more. Also, my last tube TV weighed 150 pounds. No thanks.
That is not what I proposed, and you know it. Flat panel TVs predate Smart TVs.
Even "dumb" TVs still need microcontrollers and underlying software to run their variety of interfaces and controls. My "dumb" TV from 2007 is one of the rreal early 1080p displays, no smart features at all, yet it has a computer in it running windows XP to control the variety of digital inputs. Today if you were to make a "dumb" TV with none of the integration it would likely still use that same computer to save on development and production costs, the same way every VolksWagen product uses the same ECU and media control system, and one of 2 different displays.

The only way you can have a TV without a processor in it is to go full CRT analog tech.
They do use less of them though, and less sophisticated ones at that. Its not a complete lack of supply, but a shortage.
 

ZedRM

Posts: 459   +261
Even "dumb" TVs still need microcontrollers and underlying software to run their variety of interfaces and controls.
While true, standard, non-smart displays need a whole lot less, which means what few resources exist can go a lot farther without the "Smart" functionality, which some of us prefer anyway. I refuse to by "Smart" TV's.