Toshiba launched the world's first glasses-free 3D television in Japan, amid intense market competition .

The new Regza GL1 12-inch LCD TV  costs 119,800 yen (1,400 dollars), which may be kind of pricey for most consumers. A 20-inch model will be released on Saturday.

While shoppers stopped to check out the display in a central Tokyo electronics store, they expressed doubt about the success of the new model.

Current 3D-capable TVs require shutter glasses that separate image frames for each eye, to simulate depth. Toshiba's new screen uses processing technology to create images with depth.

Public relations official Kazuhito Gunji, at Bic Camera retail store, said they had received many inquiries from customers about whenthe new product will be available.

Stiff competition in the TV market is posing a challenge for electronics manufacturers, making it difficult for the industry to maintain profit margins.

Demand for 3D television is reportedly being held back by consumer resistance to wearing glasses. It may also be because they just dont think 3D TV is worth the price.

"I want to watch on a big screen," said a 47-year-old man who has a 37-inch TV at home. "I'll wait for another year before buying".

A 33 year old shopper said "It's great that we don't have to wear glasses, which is a nuisance. But I didn't feel images were flying out of the screen on some programmes".

Previous market leader Sony says it may not hit its sales target of 25 million LCD TVs this year as it struggles to maintain profit in the sector and is also banking on 3D TV to save the day.

Toshiba says images on the 12-inch screen are best viewed directly from the front and some 65 centimetres (26 inches) away, making the 3D capability less effective for families that would view together from different points around a room.

"Customers currently think of 3D images as just an add-on function... but 3D is expected to become a standard eventually, with 3D films and video titles increasing" said Eiichi Matsuzawa, Toshiba sales official.

Analyst at Tokai Tokyo Research Centre Haruo Sato said it was "a big advantage" that the new series does not require viewers to wear glasses. He may be right, but at 12 inches the Regza GL1 still comes up a bit short of what consumers really want.

"That feature could help the product's popularity," he said.

But Sato was cautious about whether the 3D market would see strong demand despite the fact that 3D TV sets usually attract a lot of interest at store displays as consumers try out the new feature.

"It's questionable that consumers want 3D TVs as much as manufacturers are pushing them."

"People may not be finding the extra value" that convinces them to purchase the relatively new technology, he said.