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“When we first introduced the product in 2005 the pricing provided to the media was<br />

based on production/sales levels of 1,000 units per month, as well as utilization of a<br />

new mass-production line at Samsung Display and Digital Interface (SDI), our sister<br />

company.<br />

After introducing the concept TV, the required order volume did not materialize and<br />

SDI chose not to invest in a new line to build the 80" PDP. Because of these<br />

dynamic market conditions, the 80" displays produced today are essentially handmade<br />

on a pilot production line with a current capacity of 3-4 modules per month.<br />

Because of this limited production capacity, we are unable to achieve any economies<br />

of scale in procuring the components necessary for manufacturing this large panel.<br />

Compounding this is the additional manpower required to achieve the extremely high<br />

quality levels required of Samsung flagship products, due mainly to the lack of<br />

automated production processes.<br />

Finally, because we are shipping these massive TVs singly, rather than in container<br />

quantities as planned, the transportation costs have skyrocketed.<br />

For these reasons, Samsung has had to increase the market price of the HP-R8082<br />

to the current $150,000 level. If demand increases enough to justify the investment<br />

in plant and personnel, SDI will invest in a new production line and the price would<br />

be expected to drop to the previously proposed levels.”<br />

On March 07, Samsung indicated that “The 80-inches plasma is not at retail,<br />

therefore there is no pricing available”.<br />

Samsung demonstrated a 102” prototype plasma panel that has not been made<br />

available for retail yet.<br />

CES 2006 lines<br />

73 Series<br />

2 HDMI, 2 component, anti-reflective film, 175 degrees angle, ATSC/DCR tuners.<br />

42” HP-R4273 $3,300, TTM Jul 06<br />

50” HP-R5073 $4,300, TTM Jul 06<br />

63” HP-S6373F $N/A (but $11K<br />

was estimated), TTM N/A, (right),<br />

1920x1080p panel, 3000:1 CR,<br />

1000 cd/m2 brightness, ATSC &<br />

NTSC tuners, digital cable ready, 2<br />

component inputs, HDMI, PC input.<br />

53 Series<br />

ATSC/NTSC tuners<br />

42” HP-R4253, $3,000, TTM Apr 06<br />

50” HP-R5053, $4,000, TTM Apr 06<br />

May 06<br />

Following the early announcement at CES 2006 (above) Samsung confirmed the<br />

release of the panels.<br />

134

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