Consumer durable behemoths are taking the battle for 3D dominance from television to other viewing devices. The first to make a splash in India is LG, as it recently launched a range of 3D PC (personal computer) monitors. The launch is expected to be followed by LG opening PC gaming zones in the country. These zones will be opened in collaboration with two gaming companies, one which has a strong CPU (central processing unit) focus and the other which has a strong graphic-card technology. The company, however, remains tight-lipped about disclosing specifics. The first LG branded gaming zone is slated to open in August this year.
LG product group marketing head (IT products) Sanjoy Bhattacharya says, “The gaming zones will first open in the top 8-10 cities in India, most likely in malls.” The zones will ride the franchise model and will occupy an area of 300 square feet. Each zone will house 8-10 gaming cubicles. “We are also considering hiring space inside existing gaming parlours across the country, where consumers can enjoy 3D games on LG 3D displays. Games will be sourced from multiple suppliers across India, and the company will also bring content from markets like Korea and Japan which offer advanced 3D games.
Globally, Samsung and Dell have similar offerings, but none in India. Samsung plans to bring in 3D PC monitors in the second half of the year.
LG is bullish on 3D this year and expects 3D monitors to bring in 1 per cent of the total PC monitor revenues in India. “Next year, the contribution from 3D monitors should increase to 5-7 percent and in 2013, we expect it to bring in 20 per cent of our monitor revenues,” explains Bhattacharya.
The LG 3D cinema monitor introduced by the company has a 23 inch screen and is priced at Rs 16,320. LG will also bring in 25 inch and 27 inch 3D screens soon. “The 3D monitor is free from flicker allowing users better viewing comfort. The 3D glasses provided also operate without a battery or electromagnetic waves,” says Bhattacharya.
According to CyberMedia Research, the standalone India PC display space was just over 4 million units in 2010. A recent study shows that during the first quarter 2011, LG leads the space with 34 per cent share, Samsung has close to 25 per cent share and Acer has 23 per cent of the market in terms of units sold. The 3D display market in India is still nascent.
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CyberMedia Research lead PC analyst Sumanta Mukherjee explains, “With the decline in growth rate of desktop PC sales due to the rising popularity of portable PCs, the PC monitor market has been impacted. Hence, brands have to look at new uses for a PC monitor. This is important as PC monitors are a commoditised business and unless a vendor achieves scale, it cannot remain competitive.” To look for newer avenues for growth, LG, Samsung and AOC International introduced PC monitor televisions but these have not caught the consumer’s fancy. 3D PC monitors is a strategy in a similar vein.
Mukherjee believes promotion of 3D PC monitor usage in tandem with 3D content is a good strategy, as 3D games have become immensely popular with India’s youth. Nasscom, the apex body for the information technology industry, projects gaming in India to grow by 49 per cent to reach $830 million (Rs 3,800 crore) by 2012.
However, Sandeep Dave, principal, Booz and Company says, “It is important for LG to strike the right partnerships with gaming companies.”
It is yet to be seen how quickly the real objective of these gaming zones is met. Will user-experience translate into sales? “Home adoption of 3D PC displays will be a challenge. For one, the 3D PC display market cannot be viewed in isolation. It is related to adequate availability of 3D content and high-end PC hardware required to enjoy 3D games.