Samsung Electronics Launches In-House Operating System To Challenge Rivals

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Jan 07, 2015

There has been widespread speculation on what Samsung (SSNLF, Financial) would come up with in the CES 2015, and on the first day of the fabulous show the Korean giant has unveiled the SUHD TV which would run on its own operating system developed in the name of Tizen. Though the OS launch has been rather delayed by the electronics giant, the top brass are expecting this launch to ousted Google’s (GOOG, Financial) Android TV in the first place. Though Samsung worked with Google when it launched Android-based smartphones which got a lot of appeal from the market, this time it wants to emerge as a winner in the television segment by segregating its OS from that of Google. Let’s dive in and find out how Samsung is playing its cards for challenging Google in terms of the OS success rate.

A dream yet to come true

As the South Korean company is trying to capitalize on the burgeoning interest in smart homes, it’s gradually making strides and moving from smartphone to the world of television. The world’s biggest maker of TVs just unfolded the first sets that are powered by their own software, Tizen, and has announced that all the web-connected models it sells this year would run this operating system.

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The intuitive TV might interact with the washing machine, refrigerator and vacuum cleaner- this is something that the company might demonstrate in the CES 2015. Samsung has shown its interest in generating revenue from the Tizen software just as Apple (AAPL, Financial) and Google are making from their present operating systems. After the one-year delay in launching the Tizenbased phone, the company is eager to showcase the software in the latest TV and consumer electronics that would be released this year.

As per a Seoul-based analyst at Daishin Securities, “In smartphones, there’s no chance that Samsung’s Tizen can edge out the two dominant operating systems… But in TVs, Samsung may have a chance.”

Tizen has finally arrived

The Tizen OS has been released at the Las Vegas event this week and the company has been prompt in mentioning that all the smart TVs it would be launching going forward would feature the Tizen OS. This in-house OS has been developed through the joint efforts of Samsung, Intel Corporation (INTC, Financial) and NTT DoCoMo (DCM, Financial) to enable Samsung to develop its lucrative system, much like Google’s Android or Apple’s iOS.

This OS was primarily to feature in Samsung’s smartphones and wearables but this proposal was soon shelved for an indefinite period. But now Samsung has taken the plunge of challenging Google in the smart home sector while it still depends on Android in the smartphone sector.

Samsung’s executive vice president Jin Lee has communicated that this launch would aid in creating a better structure around the company’s television segment where the in-house OS, Tizen, would enable a more “intelligent and integrated” system.

Perhaps the well differentiated smart TV unwrapped at the CES 2015 could be the product that puts Tizen on the map. Samsung looks all set to push the software globally, to make it the popular choice for consumers and to establish Tizen as the primary smart television interface.

Competing with other operating systems

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As Samsung tries to put Tizen on the global map, it is competing with Google’s Android to get a piece of the pie when it comes to market share. Currently, Android runs on more than 84% of the smartphones and this has been possible as other electronics companies such as Samsung, LG Electronics (LGLD, Financial) have joined hands with Google for sharing its operating system.

To improve its future competitiveness, the electronics giant has taken a dive into the smart home segment and has announced the launch of Tizen-operated TV sets that would directly contend with Google’s Android TV also announced at the CES 2015, in the long run. Building the TV business around Tizen could aid in creating a tech giant in the making. That’s why the company did not launch Tizen first in the smartphone but is launching the same through a smart TV which would appeal to several consumers.

Final thoughts

Samsung wants to remain on top of the mind recall when it comes to operating systems and is eager to improve the popularity of Tizen which has made its debut through Samsung’s smart TV sets that have been on display at the CES 2015. In fact, Samsung’s first Tizen-based smartphone and smartwatches are also down the road and maybe after all these launches Tizen would have a solid foundation to create a niche for Samsung ahead of its immediate rivals. Meanwhile Android TV sets will also be available by early spring in the market. Thus, the competition is likely to intensify and the sales figures shall give better understanding as to whether Samsung is able to emerge the winner in the television domain. So, let’s stay tuned.