Asia Express - East Asian ICT
Display - Hannspree and Quanta Power up LCD TV Business
October 19, 2004
While their strategies differ, Taiwanese makers such as Hannspree and Quanta are aggressively entering the foray into consumer electronics industry, with a focus on the LCD TV segment.

 

Hannspree, in which Hannstar has 20% stake, is expected to roll out its first branded LCD (Liquid Crystal Display) TV in Taiwan at the end of October 2004, before expanding to include other product lines. In the future, the company is expected to add over 100 LCD and plasma TVs to the line-up.

 

In a departure from conventional strategy, Hannspree has secured licensing rights from Disney, the NBA (National Basketball Association), MLB (Major League Baseball), and the NFL (National Football League) to leverage their famous brands on product designs. This enables the maker to launch a series of LCD TVs with sports and cartoon designs targeted at niche markets. 

 

Hannspree plans to roll out 9.2", 12", and 15" models at the initial stage, and gradually move to 23", 26", and 42" in the future. Other than Hannstar, panel suppliers will primarily comprise NEC, Fujitsu, and Hitachi.

 

In addition to a flagship store that will open in Taiwan at the end of October, Hannspree has set up a marketing head office in the US, marking the two major markets of the company's LCD TV business. The markets in China and Europe will be targeted later.

 

Meanwhile, Quanta has successfully secured LCD TV orders from a major distributor in the US and Europe. Although Quanta has yet to reveal the distributors' names, one of which is rumored to be Wal-Mart, the deal serves as a booster to Quanta's contract manufacturing in LCD TV business.

 

The Taiwanese maker started to gain a foothold in the LCD TV market after soliciting cooperation with from Sharp Electronics. Other than having the largest distributor in the customer portfolio, Quanta also seized orders from Acer. In 2004, Quanta's LCD TV shipment volume is expected to reach 300,000 to 500,000 units.