Channel Best-Sellers: Peripherals That Matter

Samsung leapfrogged NEC Display Solutions by growing its market share by more than 15 percent; at the same time, NEC's market share declined by about 15 percent. Samsung has been working to expand its channel program while NEC, which has continued to maintain a consistent program for solution providers, underwent a significant restructuring in its U.S.-based display solutions business earlier this year.

Samsung, which grew its market share more than any other vendor, saw its overall market share in the space, as measured by data from the NPD/Distributor Track, come in at almost 42 percent, while NEC grabbed second place at almost 36 percent. They were followed, in order, by Sony, Sharp and Philips, which all registered single-digit market share well below the top two vendors.

Sony and Sharp both lost a marginal amount of market share while Philips, which during the first six months of 2006 registered less than 1 percent market share in the channel as measured by NPD, grew to more than 2.5 percent share. As with smaller displays, the 30-inch-and-larger LCD category was marked by aggressive pricing competition and an abundance of vendors, according to solution providers.

"It's definitely much more competitive now," said Josh Coffman, partner in DNA Networks, a Winfield, Ill.-based solution provider. NEC, he said, has traditionally been a strong presence in the digital signage/LCD space, but Coffman acknowledged Samsung has built a strong presence, as well.

"As far as LCDs, Samsung is the top," Coffman said. "And Samsung is competitive in price."

In very large displays, plasma-based systems have traditionally maintained the high ground in the signage market but, Coffman acknowledged, the momentum continues to build for LCDs.

"LCD has definitely been gaining ground, because in the large format space the price point has come down," Coffman said. "Whereas, maybe a couple of years ago, the price was just too high—especially in segments such as 40 inches or larger displays."

-- Edward F. Moltzen

Desktop Color LCD > 30" 1st half 2007 Market Share Market Share Change 1st half '07 vs. 1st half '06 Samsung 41.68% +15.6 NEC Display Solutions 35.66% -15.6 Sony 8.86% -2.5 Hewlett-Packard 5.96% -0.5 Philips 2.59% +2.4 * Ranking based on 1st half 2007 share of sales dollar volume. Highlighted vendor gained greatest share from 1st half 2006 to 1st half 2007 Source: The NPD Group/Distribution Track (Incudes GTDC Data), www.npd.com/lps/distributortrack