"The simple provision of 'convenience' and 'value' is no longer sufficient for consumer electronics to succeed. From now on, they must somehow offer added-value concerning content or powerful services in order to enhance their competitiveness."
Steve Koenig, senior manager, Industry Analysis, Consumer Electronics Association (CEA), stated his view on the future development of home appliances at CEA's press event two days before the opening of the 2008 International CES.
As Koenig indicated, collaborations between consumer electronics manufacturers and US content service companies are increasingly being announced and drawing interest at this year's CES.
Netflix Inc, a leading online DVD rental service company of the US, for example, has announced it will start a service to deliver movies and other content to a set top box provided by LG Electronics Inc of Korea using streaming technology in the first half of 2008.
On the other hand, CinemaNow Inc, an online movie delivery service company of the US, tied up with Macrovision Corp of the US. The company revealed a service to deliver video content to AV equipment using Macrovision's software technology dubbed "Connected Platform." It seems that CinemaNow is going to make another joint announcement with Samsung Electronics Co Ltd of Korea during CES as well.
Such content delivery services, however, have never made a great success thus far. Even "MovieBeam" provided by firms including the Walt Disney Co, for example, is hardly described as a success. Focus should be placed on whether the new content delivery services that are emerging at this CES will blaze a new path to a success or not.