Feeds

Google TV box flop costs Logitech $34m

Ouch: More Revues returned than sold

Choosing a cloud hosting partner with confidence

Analysis Poor sales of Logitech's Google TV box Revue have hit the company in the wallet. More Revues were returned by dealers than sold, and Logitech is slashing the price from the original $299 to $99 and taking a $34m one-time charge in Q1. Chairman Guerrino De Luca returns as interim CEO, with Gerald Quindlen stepping down.

Google TV's concept delivered web content and on-demand video content over broadband. Logitech's Revue was the first to launch in October. But it ran into practical difficulties: there's very little worthwhile content, and users found it difficult and complicated to set up – and buggy to use.

By December, Logitech was denying reports that it had suspended production of the Revue, tooting that, "We at Logitech are enthusiastic about Google TV and our role in bringing this new platform to US consumers."

TV manufacturers have a similar vision, but with walled gardens, and YouView is attempting to find a middle ground. Apple TV is really just a DRM dongle for a video delivery service.

TV equipment is a significant market, but the gear is bought to make TV better – there are plenty of other ways of getting to the web than via a TV. And crucially, there are much simpler ways of getting web onto the TV, or using web infrastructure: I wrote about a nice one here.

Google TV site template

Google TV: absolutely the place to go for Google keynotes

Many manufacturers have signed up to Hollywood's DECE initiative, better known as UltraViolet™ which essentially sells you a transferable licence. Samsung, Sony, Fujitsu and BSkyB are signed up. Tesco, another member, thinks it is how most people will watch movies.

Logitech won't be able to join Apple's party, but the UV door is still open. And Google may need to think hard about what it must do next. The company regards new platforms – TVs and phones – as simply another blank canvas for Google's core advertising business. That determination ensures it will be a marginal player. Households spend large amounts on entertainment (games console subscriptions, pay TV) and advertising barely comes into it.

Wrong company, wrong place, wrong time? ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
Lawyers mobilise angry mob against Apple over alleged 2011 Macbook Pro crapness
We suffered 'random bouts of graphical distortion' - fanbois
Just don't blame Bono! Apple iTunes music sales PLUMMET
Cupertino revenue hit by cheapo downloads, says report
US court SHUTS DOWN 'scammers posing as Microsoft, Facebook support staff'
Netizens allegedly duped into paying for bogus tech advice
Feds seek potential 'second Snowden' gov doc leaker – report
Hang on, Ed wasn't here when we compiled THIS document
Verizon bankrolls tech news site, bans tech's biggest stories
No agenda here. Just don't ever mention Net neutrality or spying, ok?
Inside the EYE of the TORnado: From Navy spooks to Silk Road
It's hard enough to peel the onion, are you hard enough to eat the core?
prev story

Whitepapers

Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.
Mitigating web security risk with SSL certificates
Web-based systems are essential tools for running business processes and delivering services to customers.