Chinese TV manufacturers TCL and Hisense are rapidly gaining market share in the ultra-large TV segment, with TCL now surpassing Samsung for 80+ inch TVs.
TCL Leads the Way
According to market research firm Omdia, in the third quarter of 2024, TCL held a 23% share of the 80+ inch TV market, while Samsung's share dropped to 19% from 26% the previous year. Hisense is also quickly closing the gap with Samsung, with only a 1.65% difference in market share compared to an 11% gap a year ago.
Competitive Pricing
Chinese brands are succeeding due to their control over the LCD panel supply chain, allowing them to offer competitive pricing without compromising quality. During Black Friday sales, TCL's 98-inch mini-LED TV was priced around $2,900, and Hisense's 100-inch model cost approximately $1,599, while a comparable Samsung 98-inch mini-LED TV retailed for around $8,997 (according to DSCC numbers).
Technology and Innovation
The technology gap between Chinese and Korean LCD TVs is narrowing. Chinese manufacturers have made advancements in ultra-large 100-inch TVs and are incorporating advanced AI-powered processors in their premium models.
Revenue and Market Dynamics
In terms of revenue, Samsung's share in the ultra-large TV market fell from 40% to 31% year-over-year in Q3, while TCL's share nearly doubled from 9% to 18%. Experts attribute this shift to state subsidies and lower production costs for Chinese companies, making it harder for Korean brands to compete on price.
Focus on Software
Facing increased competition, Korean companies are exploring software and operating systems as potential revenue streams. However, Chinese brands are also rapidly improving their software capabilities, adding another challenge for the traditional market leaders.
