3C convergence fuels the PC TV segment

	Kontech’s model PC2200 PC TV has a 21.6in LCD screen, 160GB hard disk and built-in high-definition audio.

PC TVs, previously positioned as a niche line, are gaining more traction in China’s video and home entertainment industries as technological advancements push product development. The renewed R&D efforts are fueling user interest and spawning new models.

The convergence of computing, communication and consumer electronic technologies, and the emergence of various Internet content and applications are driving adoption. One development manufacturers are keeping an eye on is the launch of Google TV, the joint venture of Google, Intel, Sony and Logitech that aims to revolutionize the IPTV front.

Attracted to the segment’s growth potential, many makers from related industries are diversifying into the line. This is boosting the supplier base, which now comprises mostly players from the TV and PC markets.

Despite the renewed confidence in the sector, it still constitutes a small part of companies’ businesses due to the price barrier and limited market positioning. Quotes for the majority of 32in models, for instance, are nearly double those of LCD TVs with the same size. Applications, meanwhile, are still largely restricted to commercial establishments such as hotels and hospitals.

To address this challenge, suppliers are designing various products that aim to strike a balance between performance and price, and consequently grab a larger share of the consumer segment.

Mainstream categories adopt Intel Atom or other low-power CPUs and motherboards to reduce power consumption and costs. Enhanced solutions used include the 1.66GHz Atom D410 or D510 and Pentium E5200 or E5300 processors. Wuchuangxing Electronic Technology Co. Ltd’s 42in F429A model is based on the 2.5GHz Intel Pentium E5200 and G41+ICH7 motherboard. It has 2GB DDR2-800 memory and 320GB SATA HDD.

Add-ons, including touchscreens, DVD combo drives, card readers, webcams, Bluetooth and Wi-Fi, are available at additional costs.

To boost competitiveness, TV specialists such as Guangdong Changhong, Scientific Development Co. Ltd and Kontech Electronics Co. Ltd are leveraging advantages in TV solution options, design experience and sourcing channels. Shenzhen Scope Scientific Development Co. Ltd’s model STK58 all-in-one 22 to 50in PC TV series, for instance, enables ATSC, DVB-T and HD DVB-T using components from MStar, MediaTek and Sunplus. Its SPS88 model, meanwhile, can be fitted with various external boxes supporting computer, DVD player, video game console or even security monitoring functions as required.

Kontech’s PC TVsare mainly designed for hotel applications. Its L32DM01PC model has a 1.6GHz processor, 1GB memory, 160GB HDD and several interfaces.

Other TV manufacturers integrate a VGA input port as a standard or an optional feature to enable a computer connection.

As for PC suppliers, all-in-one systems with built-in TV modules lead lineups. Tapping their strength in various computer configurations, enterprises such as Wuchuangxing provide entry-level and enhanced units based on Intel Atom and Pentium CPUs, respectively.

Most makers offer customizable specifications, a range of molds and analog, digital or dual-mode TV systems.

Products
Prices
Taiwan: Niche market sustains line

	Shenzhen Scope’s STK58 series ranges from 22 to 50in screens and adopts the Via VX855 solution and a 1.6GHz CPU.

China suppliers have launched several types of PC TVs to test their viability in the global market, with all-in-one versions currently dominating the mainstream.

Many units are still based on the Intel Atom or Via low-power processors and have 1 to 4GB DDR memory and 160 to 500GB SATA HDD. A 10/100Mbps Ethernet adapter is usually built in, although a number of manufacturers also provide optional Wi-Fi modules for wireless networking.

Analog TV systems support PAL, NTSC and SECAM, and feature PIP/POP, NICAM, teletext and multilanguage OSD. Digital or dual-mode variants, meanwhile, work with ATSC, DVB-T and HD DVB-T.

Various TV and computer interfaces are adopted, with most units having HDMI, DVI, VGA, YPbPr, S-Video, SCART, USB, PS/2, RJ-45, line-in, earphone and microphone ports, and an SD card slot. Accessories and peripherals include wireless mice and keyboards, remote controls and wall mounts.

The majority of suppliers use Intel or Via motherboards and CPUs, and MStar, MediaTek and Sunplus TV solutions. LCDs are normally sourced from Taiwan’s AUO and CMO for small or medium panels, and South Korea’s Samsung and LG Display for 40in and larger screens.

Some large companies have in-house mold design and production capability, although more small and midsize operations buy public molds from local vendors.

Makers can customize and integrate buyer-specified functions into the device depending on the availability of related modules from third-party suppliers. Since many basic solutions are dependent on designs from such providers, manufacturers prefer sourcing modules that already support the capability required to avoid additional R&D work and potential performance instability.

Prices of PC TVs from China largely depend on the hardware configuration. The major factors are the screen size, and PC and TV solutions used. Some add-ons beyond standard specifications also contribute to quote increments.

Touchscreens, for example, cost an extra $250 to $300 for 32in models. An external DVD-ROM, Wi-Fi module and Bluetooth capability add $30 to $40, $10 to $15 and $5, respectively.

Quotes in the niche line are not as transparent as those of other electronic devices. Suppliers provide different PC TV units based on various specifications, thereby widening the price range. In general, however, rates are on a steady decline together with the cost of major components. LCD panels dropped by 3 to 5 percent in the past six months, as did prices of some models.

Catering mainly to niche and high-end markets, the PC TV industry in Taiwan comprises fewer than five manufacturers. Limited by inhibitive prices, applications are restricted to advertisement and upscale home use. The major export markets are Europe and the US, where the PC penetration rate is high.

Suppliers offer TVs with built-in PC functionality or with CPUs and chipsets. The latter, in particular, is seen as a promising line with the upcoming launch of Google TV, a joint effort from Google, Intel, Sony and Logitech. Google TV solutions are being developed currently by Intel, MIPS and Arm.

PC TVs from Taiwan are available in display sizes ranging from 5.6 to 55in, with the trend moving toward larger screens.

LED-backlit LCDs are also rising in popularity. In this category, direct illumination-type modules dominate over edge-lit versions as the former varieties provide better visual performance. The second type, however, is foreseen to lead the mainstream in coming years because it reduces costs and allows for slimmer form factors.

Taiwan makers also offer all-in-one PCs, which usually do not have built-in TV tuners but support optional expansion modules. The applications are limited to commercial purposes, mostly as advertisement machines.