Business Opportunities of 3D TV Without Glasses - Essay Example

? “3D TV without Glasses” A Business Plan Introduction The television industry andrelated media have goon through an immense boom in the last century. The very beginning of ‘moving pictures’ which advanced from cinemas into homes with possible as the medium becoming more portable, cheaper and accessible with every new step in the technology. The technology has advanced with the consumer’s demand and interest. Televisions went from black and white, to colored, bringing greater quality, content and visuals for the viewers. The current trend which has captivated the international market is the spread of HD TV. High Definition television aims to bring viewers closer to the reality when pursuing their favorite shows and the global market for these sets is priced at billions of dollars. However, the next ‘big thing’ in the television market in 3D technology which literally brings the characters on screen into the living rooms of the users. Though existing since the mid 1900s, the 3D technology had always been relegated to the realm of ‘unnecessary fads’. Attempts to popularize the technology were made in the 80s but due to ineffective marketing, devices which did not perform as well as had been hyped and an extremely extravagant pricing well above the price point of the average consumer, the trend of 3D did not catch on. It was not until the release of blockbuster movies like ‘Avatar’, beautifully rendered in eye catching 3D and boasting the best visual effects that technology could create that people finally began to see the value of 3D televisions. As the demand increased, the industry responded by producing different types of 3D devices in large sizes which would be more appealing for families (Display Bank 2010). The boom in 3D televisions has been supported by subsequent networks and shows created for this audience, featuring popular dramas, sports coverage and movies which can be enjoyed in 3D. It is obviously an added expense but one that many people are ready to pay for. The current situation and potential for growth: “The global market for 3D TVs is projected to exceed 200 million units by 2018, primarily driven by increased consumer interest, falling prices of 3D TVs, and the introduction of 3D standards” (PRweb, 2012) The growth in the interest in 3d TVs has also been supported in turn by other forms of entertainment media and the changing preferences of the average consumer. People demand perfection from their ‘digital media entertainment’ and want it to be synchronized with their hand held devices, all the time providing an enriching experience at par with real life. An important growth driver has been the penetration of high-bandwidth broadband services throughout households which can easily connect all their devices and provide access to specialized content on demand, and it has become possible due to successful implementation of fiber-based high-capacity broadband connections which provide greater bandwidth speeds. Devices such as smart TVS, smartphones and tablet PCs are steadily becoming a part of the modern landscape and they provide the boost in consumer interest in having the best possible displays for these. The big names in the industry, Samsung, LG, Sony, and Panasonic entered the 3D format in 2010 after analyzing the huge potential that had been created for a new market. Currently the United States is the largest regional market for shipment by volume of 3D TVs and the Asia Pacific a close second; it is also the fastest growing regional market for the product with volume from the region waxing at a CAGR of about 122% during the analysis period of a report compiled by Global Industry Analysis in 2012 for the market of 3D TVs (PRweb, 2012). Another study published in Quarterly Large Area TFT LCD Shipment Report showed that for the US in 2011 there was massive increase of 104% in the number of shipments of 3D-capable HDTV displays to meet rising demand for the technology just within the first quarter of the financial year (Carlton, 2011). There is a prediction that the number of passive sets sold by 2015 will be greater than the number of active being shipped out, indicating great sales in the coming few years. Unfortunately, even with the bright reports of future forecasts about the sales and demand of 3D television, one cannot be sure of the profitability of the devices specifically for such companies as Toshiba, Samsung, Sharp, and many others were counting on a complete change in the television industry trends back in 2005 and had, expectedly, invested heavily into developing the medium. Stated previously, there was a great growth in the sale of 3D television in the first quarter of 2011 but According to Nielsen’s Cross-Platform Report for the same time period just 66% of American homes used an HD television, with the remainder still using older TVs (Agnello 2011). It can be case of the usual trend of the consumers being divided into innovators, early adopters, late adopters and the laggards- many had not yet been exposed to the technology or were hesitant to adopt 3D sets in favor of 2D sets. If the market has to be carefully tapped into to ensure the success of the product, the inventors have to keep in mind the factors which make the ‘laggards’ or ‘late adopters’ from being comfortable enough with the technology. The growth which has been forecasted can be doubled or even tripled if the right insights are gathered into how the consumers can be convinced to shift to 3D TV. The best way is to look at what their complaints or reservations are and then improve the product to their liking. Problems with 3D TV sets: The study done by Neilson had an alarming statistic about 30% of adults that had seen a 3D television said they were “not at all likely” to buy one in the future. This was not because of they hadn’t been exposed to the content or the quality of 3D TVS- they had in fact done the exact thing and it had made them disinterested in the medium (Only 13% of the consumers who had never seen a presentation of the sets were opposed to buying it in the future). The truth of the matter seems to be that there are some problems with the current technology which makes the average consumer disinclined to invest in 3D technology. The biggest concern identified has been with regards to the high price of the sets. An average 3D TV can run up to $800 for a family of four, counting the actual set and the glasses which are essential for the viewing experience (Paul 2010). These glasses seem to be the reason behind most consumers’ dissatisfaction. “The need to wear special glasses has been a common complaint about early 3D televisions. The glasses are required for each viewer, they generally weigh more than a typical pair of eye glasses, and because they contain an electronic circuit, they also need to be regularly recharged” (Williams, 2010). Even the lower cost pairs cost at least as much has $60-70 and greatly the expenses of a family which is deciding to convert to 3D TVs. And watching a TV has traditionally been a group activity, with lots of people present and enjoying the shows together- it would not make sense to buy just one pair of glasses or two, there will be as many glasses needed as the people using the TV. So why aren’t the big companies moving to make a glasses free experience for the consumers? The challenge is that the technology for television set cannot be designed in the same way as for hand held devices or even gaming consoles. These devices or activities require the participation of one or two persons and then it is easy to provide the 3D experience without the need for glasses."There are already glasses-free TVs, big screens and small screens out there," Mick Hocking, Sony's 3D gaming boss, told Eurogamer at a Develop conference "The problem with glasses-free, or auto-stereoscopic as it's called, is that it has inherent limitations. Considering our current technology, we can make glasses-free 3DTV in R&D level, however it can be viewed from only a few viewing spots," (Yin-Poole 2011) Samsung said. There have been a few strong contenders in the market such as StreamTV’s Ultra-D: Wide-viewing-angle 3D without glasses, which provides up to nine viewing angles from which people can experience the 3D vision without the glasses. But the quality is not up to par and visual effects can also get disturbed. Most companies have tried to solve the problem from another angle, instead focusing on making the glasses less cumbersome and more convenient to use. A premium experience can be provided with inexpensive polarized glasses or even new version of expensive, but now wireless, active glasses.  LG has responded aggressively with a modified stance on 3D glasses, providing only inexpensive polarizing glasses, known as passive glasses for all of its 3D TVs. These are cheap and available in a large number of styles and remove the hassle of charging the devices for use. A new design by Pioneer and Sharp, long-time innovators in LCD design, “comes with two pairs of newly designed, lightweight, active glasses that recharge from the set itself and allow individual viewers to turn the 3D effect on or off for them personally”.(Cardinal, 2012). This solves the problem of what to do when two people disagree on what quality to watch in (some people just generally don’t like the 3D versions). However, the expense factor is still there, not to mention the pairs can still get broken, lost or damaged and without these the TV will be all but useless. Better glasses can work. “In October last year a study suggested 80 per cent of gamers were willing to wear 3D glasses to play video games and…the glasses are getting better."The glasses are getting cheaper and lighter all the time, and less invasive in the process," (Wesley, 2011). But what would really work is a new 3D model which can provide the maximum number of people, a good quality 3D experience without the use of any glasses whatsoever. The Solution: The most recent contender for the glasses free 3D TV is Toshiba’s 2012 model; offered in a 12-inch model (costing around $1430) and a 20-inch model. In current 3D TVs, images for each eye are shown quickly one after the other, reproducing a depth as a slightly different image is conveyed to each eye. Filters in the glasses flash on and off in sync with the TV picture so the right eye sees one image and the left eye sees the next. This model works by utilizing the thin sheet of small lenses in front of the display and having a large number of 8.29 million pixels in the screen which flash alternatively creating differing images which can be seen by the left and right eye simultaneously in nine designated spot, thus creating a 3D effect. One of the problems with the set besides its high cost is that it is yet unavailable in the states as larger models have not been produced. The limitation of nine viewers is daunting too; and rudimentary comparisons have found out that the quality is nothing compared to the latest 3D TVs which require glasses. Some might say that the plain 2D viewing will be a much better option than what is currently available in form of glasses free 3D. That is why investing in my prototype glasses free 3D TV model will be a prudent choice for any financial institution or individual with the resources to do so. The prototype builds up on the concept of “parallel barrier” that is utilized in gaming and hand held devices, but increases the number of pixels utilized to bring forth a uniquely 3D image and it can be viewed from any angle in front of the set. This is what sets it apart from the existing models in the international market and why if properly capitalized it can be the ‘next big thing’. The technology has been made possible through some recent breakthroughs in the plasma and laser technology and furthermore, the model was designed to be cost effective and catered towards western tastes. We have even conducted basic surveys and comparisons of the viewing experience of our product with the popular brands of 3D TVs with glasses and the results have been extremely positive. While the consumers did not proclaim to be blown away the graphics or visuals, they were equally satisfied by the existing models and our prototype, giving them equal ranking in non-invasiveness and quality of the experience. The simple fact that we are ready to offer our prototype for scrutiny shows that we are surer of our product than many of the big brands out there. Steps taken to protect the invention: Prospective investors should rest assured that all steps have been taken to ensure that our invention, idea and prototype have been protected through all possible legal vehicles available for us. A Provisional Patent Application has been filled to ensure no one can copy or cheat off the prototype and we will be following up the application within this year. Nondisclosure Agreements have been used in all our meetings with investors and funding agencies, measuring out that all that is discussed in the meetings- any technologies discussed, designs presented and any use of the prototype is strictly confidential and the receiving party can disclose anything about the meeting for a time period of as long as 3 years (Patents 2012). Usually “Disclosing parties want a long period; receiving parties want a short one. Five years is a common length in the United States, although many companies insist on no more than two or three years. In Europe, it is not unusual for the period to be as long as ten years” (Nolo, 2006). But for this prototype a time period of 3 years is sufficient as we suspect that the interest in 3D TV means that it will not be long before the idea will be discovered or invented by another rival company in which case the non disclosure protection will not be of use to us anymore. As soon as capital is acquired for large scale production, the patent will be finalized and we will begin to actively pursue Trademark protection. As the prototype is without a name or logo at the moment, a trademark protection is not necessary (Monosoff 2006; Patents 2012). Conclusion: The coming years will determine whether 3D TV technology is here to stay or will it fade like another fad. The amount of capital already invested by the big brands makes the latter unlikely; they will pursue all avenues of profitability they can especially when the market seems ready for further penetration. The biggest complaint about the glasses has been solved by us, provided with the proper capital and investment the prototype can be launched to the market in within 2 years with large probability of success. Bibliography The United States Patent and Trademark office. 2012. Patents. [Online]. Available at: < www.uspto.gov/inventors/patents.jsp > [Accessed 31 July 2012]. Agnello, A. J., 2011. The Problem With 3D TVs Is Not Just Cost [Online]. Investor Place. Available at: [Accessed 31 July 2012]. Cardinal, D., 2012. 3D TV: Will 2012 be the year to trash the glasses? [Online]. ExtremeTech. Available at: < http://www.extremetech.com/extreme/111961-3d-tv-will-2012-be-the-year-to-trash-the-glasses/2 > [Accessed 31 July 2012]. Carlton, R., 2011. 3D TV Technology Gaining Popularity Amongst Viewers [Online]. HDTV Test. Available at: < http://www.hdtvtest.co.uk/news/3d-tv-technology-popularity-201106061181.htm> [Accessed 31 July 2012]. Display Bank, 2010. 3D TV industry Trend and Market forecast. Special report, May 2010 [Online]. Available at: < http://www.displaybank.com/research_file/710527.pdf > [Accessed 31 July 2012]. Monosoff, T. 2006. Top Legal FAQs for Inventors [Online]. Entrepreneur. Available at: [Accessed 31 July 2012]. Nolo, 2006. How To Protect Your Invention When Pitching It [online]. Forbes. Available at: < http://www.forbes.com/2006/12/06/patent-smallbusiness-tradesecret-ent-law-cx_nl_1206nolo.html> [Accessed 31 July 2012]. Paul, F., 2010. $800 per family for 3D TV glasses? [Online]. Reuters, MediaFile. Available at: < http://blogs.reuters.com/mediafile/2010/01/13/800-per-family-for-3d-tv-glasses/ > [Accessed 31 July 2012]. PRWeb , 2012. Rising Popularity of 3D Content Drives the Global 3D TV Market, According to New Report by Global Industry Analysts, Inc. [Online]. Yahoo News. Available at: < http://news.yahoo.com/rising-popularity-3d-content-drives-global-3d-tv-100251879.html> [Accessed 31 July 2012]. Williams, M., 2010. Toshiba to Launch No-glasses 3D TV This Year in Japan [Online]. PcWorld. Available at: < http://www.pcworld.com/article/206852/toshiba_to_launch_noglasses_3d_tv_this_year_in_japan.html> [Accessed 31 July 2012]. Yin-Poole, W. 2011. Sony responds to 3D glasses complaints [Online]. EuroGamer. Available at: < http://www.eurogamer.net/articles/2011-07-22-sony-responds-to-3d-glasses-complaints > [Accessed 31 July 2012].   Read More