Don’t look know, but one of Google TV’s few proponents just took a big hit. The company announced a $29.6 million first quarter 2011 loss, which represents more than a $49 million swing compared with the same quarter 2010. And in a phone call for investors, it was revealed that its Google TV product, Revue, was suffering from more returns than sales. The company later clarified this statement, pointing out that they sell to distributors and retailers, but it’s still not a good sign that the returns are so high.
Logitech lowered the price of the Revue from $299 to $249 last spring, and now has lowered it again to just $99 so that it can compete better with other network media players. Still, this does not reflect well on Google TV, which asked its licensees just before CES 2011 last January to hold off on releasing new products with Google TV. Logitech had already been shipping the Revue so it was allowed to keep shipping, but other major brands had to make some last minute course changes.
Until we see the next version of Google TV it is hard to predict its chances of success, but at this point, the choice to back it does not seem to have helped Logitech.