Television digest with electronics reports (Jan-Dec 1953)

12 will be able to produce only about 50,000 to 75,000 color sets, and initial sets will be costly, probably between $800 to $1000. Beyond 1954, production will increase and color broadcasting will expand, of course, but it can be expected that it will take considerable time before color TV develops into mass market proportions . . . Today’s black-&-white receivers, particularly in the large-screen sizes, represent greater value for less money.” C. F. Adams Jr., Raytheon: “While early color sets majr be expensive and not altogether attractive, and may continue at least for a brief period to affect black-&-white sales, the company believes that in the long run color will add a substantial increment to the TV industry.” Sylvania spokesman: “[Color] certainly will depress black-&-white sales early in the year, but I believe that as people realize the size picture they will get and the cost of initial color sets there will be a revival of interest in black&-white so that the overall sales for the year will reach 5,000,000. Certainly there is no question about the fact that people who are willing to pay something in excess of $500 for sets will be substantially out of the market during the entire year and such sets as will be sold will be almost entirely in the medium and low-price category.” Robert Tait, Stromberg-Carlson : “I believe that the FCC approval of compatible color, the start of color broadcasting in a few markets, and the introduction of high priced small screen color receivers, with limited distribution late in the year, wall do much to eliminate the present confusion and revitalize the black-&-white TV business. The first 6 or 8 months of 1954 will probably prove a hectic period for our industry as color TV makes its bow to the public. However, my ‘guesstimate’ for industry unit production in 1954 is 5,000,000 black-&-white receivers, and approximately 100,000 color sets.” Tirade Personals! James T. Buckley, chairman of Philco board, appointed to President’s Committee on Employment of the Physically Handicapped; he’s also national chairman of Goodwill Industries of America Inc. . . . Charles G. Sherwood, ex-purchasing director, named v.p. of Federal Telephone & Radio Co. . . . Richard A. Graver, sales v.p., and David P. Higgins, v.p. in charge of govt, work, elected directors of Hallierafters Co. . . . R. B. Sayre, 32 years with Graybar, elected v.p. . . . E. R. Glauber, ex-AdmiralN. Y., director of Emerson distributing companies since Oct. 5, adds duties of national sales mgr. for Emerson’s new air-conditioning to be introduced in Jan. . . . Robert E. Peterson resigns Dec. 31 as exec. v.p. of Standard Coil Products Inc. due to ill health, continues as a principal stockholder and member of board . . . Harold P. Gilpin, gen. mgr. of Sylvania electronic sales div., retires Dec. 31 after 21 years with company . . . S. Roy Chilton, ex-pres. of Key Co., Seattle TV-radio distributor, named gen. merchandising mgr., Pacific Mercury . . . Phil Stone resigns as Philco Milwaukee district mgr. . . . John F. Mehr resigns as gen. sales mgr. of Simon Distributing Co., Washington (Zenith Radio) to become Zenith regional sales mgr., headquartering in Washington . . . Dick Klein, v.p. & gen. mgr. of Raytheon distributing div., appointed director of marketing, TV-radio div., and named asst. v.p. of parent company supervising all Raytheon TV national sales, advertising & servicing activities . . . Herman Kaye. ex-Kaye-Halbert secy., forms Caltech Electronics Corp., 8930 Lindblade St., Culver City, Cal. (high-fidelity equipment). a Glenn M. Nutter, 54, pres, of G. M. Nutter Inc., Cleveland DuMont distributor, died Dec. 15 in Lakewood Hospital. Topics & Trends of TV Trade: what does 1954 hold in store for the TV-radio-appliance dealer? Without breaking down estimate by products, Richard E. Snyder, economic marketing specialist, director of Snyder Business Research Reports and economic consultant to NARDA, this week released forecast in report, Estimated 195U Sales Potentials for Appliance -Radio -TV Dealers in 170 Metropolitan Areas, available for $10 from his office, 11 So. La Salle St., Chicago. Though it’s based on data from 170 markets, report projects findings for retailers everywhere. Major predictions: (1) Sales will total $3,806 billion, or 6.5% below 1953’s estimated $4,069 billion. This will represent 2.28% of the total national retail sales estimate of $167 billion for all items in the economy. (2) The 170 metropolitan markets will account for 64.1% cf all TV-radio-appliance sales, compared with 62.1% this year. Continued growth of suburban communities may boost total to 70-75% by 1960. (3) Middle Atlantic states will lead all regions in sales, with 25.37% of total; east north central area second, 20.25%; Pacific coast, 11.53%. * * * * Two new 21 -in. picture tube types — about 3-in. shorter than corresponding types because of 90-degree deflection angles — were disclosed this week by GE, which announced they’ll enable set manufacturers to design narrower cabinets in future. Labeled 21ACP4 and 21ACP4-A (aluminized), tubes are 4th & 5th GE types to incorporate 90degree deflection feature, according to marketing mgr. Grady L. Roark, who said production of both will begin shortly. Xmas bonus of up to 5% of individual earnings for year is again being paid by Andrea Radio Corp. to all employes. Exuding optimism about TV’s future growth, Sylvania chairman Don. G. Mitchell writes in Dec. The Exchange. official magazine of N. Y. Stock Exchange: “By 1961, we think there will be nearly twice as many sets in use — about 48,000.000. Even though 8 years from now there probably will be about 22,000,000 more TV sets in use than there are today, we are not at all sure that sales will be reaching a saturation point for a number of reasons. The entire concept of home TV installations may be entirely different by that time, and you may well find, for example, entire TV systems in the home, with several screens throughout the house, not only for entertainment but communications.” Other reasons cited for TV’s development: color, uhf, improved programming, better merchandising techniques. More layoffs and cutbacks: (1) GE furloughs 4000 employes from Dec. 23 to Jan. 4 at tube and TV-radio receiver depts. in Syracuse because of holidays and cutbacks in orders. (2) Raytheon announced that since fall 400 have been laid off at Chicago TV-radio div., 650 at Newton, Mass, receiving tube plant. (3) CBS-Hytron puts 4-day work week into effect for 1400 receiving tube employes at Danvers & Salem, Mass. Jacob Friedus, ex-Starrett Television Corp., was convicted by a jury of Federal district court of the District of Columbia last week of filing a false financial statement with the RFC in proceedings for purchase of Aireon Mfg. Corp., Kansas City, which the govt, agency had taken over for non-payment of a $1,500,000 loan. Larry Knohl, codefendant, was acquitted. National Assn, of Electrical Distributors’ annual committee meeting schedule: TV-radio, at NAED headquarters. 290 Madison Ave., N. Y., Feb. 2; major appliances, Jan. 12, and electric housewares, Jan. 15, both days at Chicago’s Conrad Hilton Hotel.