E.DIGITAL CORPORATION LICENSES ODYSSEY 1000™
PERSONAL DIGITAL JUKEBOX PLATFORM TO ASIAN OEM

Large Asian OEM to Manufacture Branded
1.8” HDD-Based Version of Odyssey 1000

(San Diego, CA – September 16, 2003) – e.Digital Corporation (OTC: EDIG) today announced that a multi-billion dollar Asian OEM (original equipment manufacturer) has signed a royalty-bearing license agreement to manufacture e.Digital’s Odyssey 1000 Personal Digital Jukebox platform for OEM branding. Products manufactured under this agreement are scheduled to reach consumers later this year. Because the Asian OEM manufactures products for many global brands under confidentiality agreements, the name of the licensee is subject to non-disclosure.

Through the agreement, the Asian OEM will provide manufacturing services of a 1.8” version of the Odyssey 1000 platform for specific OEM branding while e.Digital will supply the technology, software, firmware and upgrades to the Odyssey 1000 platform.

“This Asian company exemplifies quality, innovation and integrity,” said Fred Falk, president and chief executive officer of e.Digital. “We are very pleased to have them onboard as another OEM licensee of our Odyssey 1000 product platform. We expect to announce further details as this 1.8” version of our Odyssey 1000 platform is branded and introduced to consumers later this year.”

The Odyssey 1000 platform is the basis for a sophisticated, hard drive-based portable jukebox featuring VoiceNav® voice navigation, built in voice recorder, FM tuner, mass storage device status and a USB 2.0 connection.

About e.Digital Corporation

OT: Logitech Brings the Power of Bluetooth to Its Popular Line Of Mobile Phone Headsets

September 15, 2003 10:00 AM US Eastern Timezone

FREMONT, Calif.--(BUSINESS WIRE)--Sept. 15, 2003 New Mobile Bluetooth Headset Offers Ear-Friendly Comfort Plus Extended Talk Time


Logitech is bringing the power of Bluetooth(R) wireless technology to its line of mobile phone headsets with today's introduction of the Logitech(R) Mobile Bluetooth Headset. Now, users of mobile phones with built-in Bluetooth technology can enjoy a comfortable cordless headset that offers fingertip controls and extended talk time. The Logitech Mobile Bluetooth Headset will be available later this month in U.S. retail outlets and online at www.logitech.com at a suggested retail price of $99.95.

The Mobile Bluetooth Headset, which extends Logitech's cordless headset offering, lets people conduct calls up to 30 feet away from their mobile phone -- providing much-needed freedom from tangled cords. The headset offers up to eight hours of continuous talk time and more than three weeks of standby time. It includes a premium noise-canceling microphone, which ensures clear sounding calls even in environments with high background noise. With its flexible soft touch wrap-around design, the Mobile Bluetooth Headset fits comfortably on either ear and weighs less than one ounce. It comes with a portable charging station, which also serves as a protective case.

"Logitech's new Mobile Bluetooth Headset provides a robust cordless solution at a very reasonable price," said Ray Weikel, director of product marketing for Logitech's Audio Business Unit. "Logitech has incorporated the latest generation of Bluetooth wireless technology into this product, which means additional user benefits such as an extended battery life. The headset was designed specifically with comfort and safety in mind -- it is extremely easy to put on or take off with one hand."

As an added convenience for people on-the-go, Logitech is offering a separate car charger adapter for $19.95 MSRP -- available online at www.logitech.com and through select retailers.

About Logitech: Logitech designs, manufactures and markets personal interface products that enable people to effectively work, play, and communicate in the digital world. With corporate headquarters through its U.S. subsidiary in Fremont, California, and regional headquarters through local subsidiaries in Switzerland, Taiwan and Hong Kong, Logitech International is a Swiss public company traded in Switzerland on the Swiss Stock Exchange (LOGN) and in the U.S. on the Nasdaq National Market System (LOGI). The company has manufacturing facilities in Asia and offices in major cities in North America, Europe and Asia Pacific.

Logitech, the Logitech logo and other Logitech marks are owned by Logitech and may be registered. All other trademarks are the property of their respective owners. For more information on Logitech and its products, visit the company's web site at www.logitech.com. Bluetooth is a trademark owned by Bluetooth SIG, Inc. and is used by Logitech under license.

OT: GreenCine, Inc. Announces Video-on-Demand(SM) and DivX(R) Distribution System
Monday September 15, 8:38 pm ET


SAN FRANCISCO, Sept. 15 /PRNewswire/ -- GreenCine, Inc. (www.greencine.com), the leading online DVD rental company for the alternative scene, today announced the launch of the first on-demand broadband movie service from a rental-by-mail company.

GreenCine is currently at the forefront of online DVD rental, presenting the Internet's best selection of mainstream and independent titles. With the introduction of Microsoft Windows Media-based VoD and downloadable movies through the DivX Open Video System, GreenCine makes more quality films accessible than ever in the most popular formats desired by a growing base of broadband users.


With the growth of broadband households in the US expected to top 58 million by 2004 (source: Nielsen/Netratings), Internet film distribution is ripe with opportunity. Broadband Internet connections, previously only available through business and college connections, are now common to the consumer households through high-speed DSL and cable modem connections. This market has reached a sufficient size to support the creation of an on-demand digital distribution channel.

GreenCine views VOD and DivX video as an opportunity for filmmakers to reach a large, previously untapped audience. The company is working directly with filmmakers and producers to secure rights to distribute their films via its newly offered broadband formats.

"Finally, we have a reliable method to break the usual festival-to-theatrical-to-video release cycle," said Jonathan Marlow, GreenCine Director of Content Acquisitions. "Filmmakers can release their films in multiple formats simultaneously, enabling audiences to find their films rather than requiring films to wait to find an audience. Our revenue sharing model will ultimately prove more lucrative for independent filmmakers as well."

"We are very pleased to be part of the launch of GreenCine's new VOD service and to make available some of the best Eastern Europe to the American audience. VOD is clearly a critical distribution channel for feature films," said Dave Larson, CEO, MGE, Inc. MGE is providing a number of features for the GreenCine broadband launch, including the acclaimed Andrzej Wajda film Zemsta (The Revenge), starring Roman Polanski.

"Our goal is to provide a balance of offbeat and independent movies, in addition to a wide selection of mainstream movies," said Dennis Woo, GreenCine Managing Partner. "As with our DVD rental service, we'll be in a dialogue with our audience to develop a catalog of broadband movies that best suits their tastes."

The GreenCine Video-on-Demand(SM) streaming service allows for immediate, copy-protected delivery of movies directly to consumer homes. Movies made available in the revolutionary DivX downloadable format provide high-quality video at sizes 7 to 10 times smaller than DVD and utilize Digital Rights Management (DRM), providing for unparalleled security in delivery. The DivX Open Video System is a secure video-on-demand service that enables consumers with high-speed Internet connections to purchase rentals of selected titles online and begin viewing DVD-quality content almost immediately. Thanks to "progressive download" technology, users can begin viewing the films in full-screen, high-quality format a few minutes after the download has begun. Movies can then be viewed on the renter's computer or on any television connected to their PC. The introduction of additional viewing platforms is expected in the months ahead as the maturity of downloadable formats leads to their inclusion on consumer devices, such as standalone DVD players and handheld devices.

GreenCine VOD and DivX movies will be offered for a fee independent of the GreenCine monthly DVD rental subscription charge. Customers do not need to be GreenCine subscription service members to view VOD or DivX titles.

about GreenCine

GREENCINE Inc. is the leading online DVD rental service specializing in Independent, International, Documentary and Classic films (in addition to Hollywood titles). GREENCINE offers people who are interested in film as both entertainment and education access to the widest variety of films -- with no late fees. For details on GreenCine offerings, please visit www.greencine.com.

about DivXNetworks

DivXNetworks is a consumer-focused video technology company positioned at the center of multimedia convergence. The company's core offering is the DivX® video codec, the world's most popular MPEG-4 compatible video compression technology with over 90 million users worldwide. Often called "the MP3 of video," the patent-pending DivX video technology offers DVD-quality at 10 times greater compression than MPEG-2 files, enabling full length films to easily fit on a CD or be delivered over broadband connections. DivX video technology powers a range of applications that span the convergence value chain, from a secure IP-based video-on-demand solution to next-generation consumer electronics products and video software applications. DivXNetworks is headquartered in San Diego, California, with satellite offices in Los Angeles and San Jose, CA, Taipei, Taiwan, and Dortmund, Germany. For more information, visit http://www.divxnetworks.com .

about VOD/Video-on-Demand(SM)

GreenCine Video-on-Demand(SM) is a proprietary technology based on Microsoft Windows Media 9 Format that allows customers to pause and resume play in a limitless time frame. While other competitive video streaming services allow only a 24- to 48-hour window for viewing an entire movie, GreenCine's unique Resume-Viewing(TM) feature delivery true VOD by placing no limit on how long viewers are able to pause before continuing their entertainment. VOD side-steps U.S. geographical barriers by making movies available any time and anywhere via broadband Internet transmission to customer homes equipped with DSL or cable modems.

CONTACT: Jonathan Marlow of GreenCine, Inc., +1-415-373-3615, ext. 210, or marlow@greencine.com; or Tom Huntington of DivXNetworks, +1-858-909-5358, or thuntington@divxnetworks.com.

Who knows...

Below read a portion from a newspaper article. Also reread APS and Alaska pr. Even the description of e.Digital on APS website is very weak in regard to this project. The movie studio and music provider got theirs. Again, what did we settle for? Maybe we also got all the free hot chocolate we wanted in exchange for our work....LOL


About this time, Boyer met Ray Henson -- a former software engineer at Intel who frequented Boyer's coffee shop in Lakewood.

In exchange for free hot chocolate, Henson offered his expertise. Together, they pushed forward with the concept, tackling the most complex software and hardware issues. One of the biggest involved licensing content from Hollywood studios.

"We went to the movie people and they said we are not about to put our first releases on a portable device and then have it show up all over Hong Kong," recalls Henson, who came up with a way to encrypt the videos for replay. Providing additional security, Boyer and Henson also developed a proprietary battery that runs out after six hours.

With APS/Boyers BS, who would know we were even involved in the project? LOL

Dolls, high-tech screens hint at airline entertainment to come

By HELEN JUNG
AP BUSINESS WRITER

SEATTLE -- It's not an IMAX movie screen, but a three- by five- inch screen showing an episode of The Simpsons just may provide salvation on your next cross-country flight.

Or maybe you'll slip on a pair of headphones and listen to the soothing voice of Beverly Hills, Calif., psychiatrist Carole Lieberman as she leads you through relaxation tips.

Or perhaps you'll be punching away at the buttons on a Nintendo video game, playing Donkey Kong at 30,000 feet in the air.

Entertainment on airplanes has moved way beyond books and cards. At the conference of the World Airline Entertainment Association in Seattle last week, companies exhibited everything from high-tech massive network installations to low-tech dolls in a bid to win some of $1.5 billion-plus business of in-flight entertainment.

Even in the severe commercial aviation downturn, airlines need to think about in-flight entertainment, said Ray Neidl, an airline analyst with Blaylock & Partners. Even low-cost carriers are offering passengers entertainment options, and airlines can use entertainment as a way to attract and keep customers, he said.

For Alaska Airlines, the company benefited from the work of a baggage handler who spent years developing the DigEPlayer, a portable device with a screen and headset that will play movies, music, games and even destination-related advertising. The movies and music will be refreshed ever 60 days, said Bill Boyer, president of Tacoma-based APS, which built the DigEPlayer.

Alaska Airlines is offering the players for free to first-class passengers on many of its transcontinental flights. It will rent them to other passengers for $8 in advance or $10 on board.

Sometimes entertainment can be as simple as a new channel on the in-flight radio system. Lieberman, the psychiatrist, narrates 45 minutes of relaxation and visualization tips to keep passengers calm for airlines including Delta Air Lines.

Then there are the decidedly low-tech offerings, such as Stan the Exercise Man, a doll with rubberband-reinforced arms and legs for children to use for stretching.

On the grander scale of offerings is the high-speed Internet access network from Connexion by Boeing, a unit of Chicago-based aerospace manufacturer Boeing Co.

Through satellites and ground terminals, Connexion's service allows airplanes to offer passengers e-mail, Web-surfing and eventually, TV programming, said Connexion by Boeing President Scott Carson.

But it's not just about entertainment, he said. Airlines also plan to use the air-to-ground connectivity for monitoring the health of the airplane, downloading weather and airport information and otherwise efficiently sending information to cut down delays.

Seattle-based Tenzing Communications, partially owned by Boeing competitor Airbus of Toulouse, France, offers air-to-ground e-mail over Verizon's airplane phones. Although users cannot browse the Internet, they can receive some data in addition to communication via e-mail, said Michael Pinckney, vice president of marketing.

A followup

NATVAN Inc. Issues Warning Concerning Unauthorized E-Mail Blast

Business Editors

LAS VEGAS--(BUSINESS WIRE)--Jan. 28, 2003--NATVAN Inc. (NATVAN) (symbol: NTVN), a Pink Sheet company, today issued a warning concerning information contained in an e-mail blast circulated by an as yet unknown individual or entity. The blast which appears to have been first sent on Jan. 17, 2003, and which came to the company's attention on Jan. 23, 2003, originated from a Jill James at search 8899@polandia.prv.pl. It contains information that was circulated confidentially to various individuals and entities with which the company is negotiating potential business relationships. The release was made without the company's knowledge or authorization and the company is attempting to find the source of the leak. In addition, the release contains many incorrect statements about the individuals involved in negotiations, their representative corporate status and, in some cases, the status of negotiations.

In order to clarify the company's position, the following comments reflect the true position of NATVAN.

-- 1) NATVAN is negotiating with Brad Mooney, the current chairman and president of Composite Holdings Inc., for a potential business association with Composite on an as yet undetermined basis. Nothing has been finalized. Merle Ferguson, former interim president and CEO of Composite, holds no officer or director's position in NATVAN, and currently holds no officer or director's position in Composite. However, he is assisting both companies in attempting to complete any joint business transactions.

-- 2) NATVAN has no agreement currently with APS Inc. NATVAN is in negotiations with Airport Protective Systems Inc. (APS) to form a joint business relationship; however those negotiations are ongoing and incomplete.

-- 3) NATVAN has no agreement with Great Lakes Petroleum. NATVAN is in negotiations with Great Lakes Petroleum Inc. to form a joint business relationship, however those negotiations are ongoing and incomplete.

-- 4) Any and all revenue projections contained in the e-mail blast are purely speculative, and all of said numbers were prepared and presented for internal discussion only amongst the various business associate candidates.

-- 5) NATVAN has no agreement currently with U.S. BioTec. NATVAN is in negotiations with AG Services Inc. to form a joint business relationship, however, those negotiations are ongoing and incomplete.

-- 6) NATVAN has acquired Auto Lending Group, however, any revenue projections are purely speculative and based upon Auto Lending Group completing a joint venture agreement with another entity.

-- 7) NATVAN has acquired Certus Data Inc., and Certus Data is currently a joint venture partner with a company that specializes in criminal evidence and forensic storage systems.

-- 8) NATVAN's ALG & CERTUS subsidiaries are expected to generate revenue in 2003 and 2004, however, the significance of the revenue is unknown and highly speculative.

-- 9) Any and all representations concerning Composite Holdings Inc. (COHIA) and its subsidiaries and its revenue are immaterial to any matter concerning NATVAN, in that NATVAN has not entered into any business relationship with Composite.

-- 10) NATVAN did not pay anyone, directly or indirectly, for release of the information contained in the e-mail blast, either in stock or in cash, and the company is aggressively pursuing the perpetrator of this dissemination and will take appropriate legal action if warranted for any damages caused to the company by this release.

Safe Harbor statement under the Private Securities Litigation Reform Act of 1995: Certain forward information contained in this release contains forward-looking statements that involve risk and uncertainties, including but not limited to, those relating to development and expansion activities, domestic and global conditions, and market competition.


CONTACT: Yes International
Rich Kaiser, 800/631-8127

Doesn't anyone remember this from many months ago? Numerous posts (I am to lazy to look up) Anyway, it was found out that this company knew of and or was possibly approached by APS for some investment money.

Beatles Sue Apple Computers Over IPod, ITunes
Thursday , September 11, 2003
By Roger Friedman

The Beatles Sue Apple Computers Over iPod, iTunes

The inevitable has happened: The Beatles have sued Steve Jobs over Apple iTunes and the Apple iPod -- at least the band's company, Apple Corps., has sued Apple Computers.

The case was apparently filed a short time ago in London's High Court of Justice, but was just served on Apple Computers in California in the last couple of days. Although details from the court papers aren't yet available, the gist of the breach of contract suit is as follows.

When Apple Computers first came into existence, the Beatles' lawyers sued -- and won -- over the use of the corporate name. The Fab Four, it was widely known, already had their own company called Apple Corps. (Ironically, Jobs admitted to naming his company as a tribute to the Beatles.) The result of the suit was a huge cash settlement and a promise that the Apple logo and name would only be used for computers -- and never for a music company.

Several years later, when computers starting having music come through attachable speakers, the Beatles again sued and won, this time over breach of a trademark agreement since Apple Computers had agreed to steer clear of the music business. Their winnings against Apple Computers have come to an estimated $50 million so far.

When Jobs announced the iPod portable music player and companion music site iTunes, this column was the first to mention that the computer company could be in serious violation of its agreement with the Beatles. Now it appears that the Beatles' lawyers, Eversheds of London, are in agreement.

"When it first happened with the iPod, we said, "What could they be thinking?" said a Beatles legal insider, who agreed that posters announcing the iPod from "AppleMusic" were among the most egregious violations. "They knew we had the agreement, and that we'd won a lot of money from them already."

A call by this column to Apple Computers' legal counsel, Nancy Heinen, was refused this afternoon. But my Beatles source said, "It's OK with us if they want to go this route. It's just more money for us."

Hitachi. RP says they (Hitachi) are hitting their marks as far as production..........

Five next-gen MP3 players: A sneak preview

Published : September 11, 2003

We preview a quintet of next-gen MP3 jukeboxes to decide which will be the new audio trendsetter.
When it comes to objects of aural desire, any magic mirror will tell you the iPod is the fairest of them all.

With its sleek body, slick user interface, and sonic prowess, the iPod is the one true thin-and-young Elvis, surrounded by a crowd of second-rate aging Tom Joneses.

Fortunately, other companies have slowly begun to understand the monetary significance of an eye-catching design and cool moniker.

The new batch of hard drive-based players have taken the audio jukebox concept to a new level with impressive advancements in design, functions and user interface.

Here, we examine five next-generation players. Some sport pocketable super-slim form factors, while others are packed to the brim with cutting-edge features.

But which model exudes enough mass-market mojo to topple Apple's uber toy from the top of the MP3 roost? You be the judge.

Philips HDD100 Digital Jukebox (15GB) - Potential Kill Rate: 9 out of 10

Out of all the iPod killers coming out during the spring and summer months, the Philips HDD100 looks like the early favorite.

Its case, made of high-gloss magnesium and hardened glass, is about the same size as the iPod's, but Philips packs in a bevy of features that should embarrass the Cupertino crowd: Line-in recording (with a meter for levels), USB 2.0, a full-fledged remote control, voice recording, smart navigation, and a display that shows some pretty nifty spectral analyzers, if graphics on Philips's site are any indication.

Global availability: September 2003

Rio Karma (20GB) - Potential Kill Rate: 9 out of 10
This player has a 20GB hard drive, like many of the other hard drive-based players out there. What makes it stand out from the crowd is its compact, cubic design.

While thicker and slightly wider than the iPod, it's more than an inch shorter in length and can connect to an Ethernet network to act as a digital audio receiver.

It's also the first MP3 player to support two burgeoning open source codecs: Ogg Vorbis and FLAC (Free Lossless Audio Codec), of which the latter sounds as good as an uncompressed WAV file.

Global availability: December 2003

iRiver HP-100 MP3 Jukebox (10GB) - Potential Kill Rate: 8 out of 10
While other manufacturers have been amping up PR campaigns for their upcoming iPod competitors, iRiver has quietly been working on the one that might slay them all, thanks to analog and digital optical inputs and outputs for crystal-clear recording and encoding.

Not much else is known about this one, except that it should be relatively small and that the iRiver message board once listed its release date as June.

Global availability: September 2003

Toshiba Gigabeat (20GB) - Potential Kill Rate: 7 out of 10

Due in Japan later this year, this 20GB hard drive digital audio player stands out from the crowd with its compact, wafer-thin design. At just 1.27cm thick, this Toshiba makes even Apple's 1.55cm-svelte iPod look like an overweight piece of metal slab.

And at 138g, the Gigabeat 20 is also possibly the lightest hard drive-based player in the market right now.

The two models announced by Toshiba - clad in either dark blue (for limited-edition models) or standard aluminum - feature individual docking stations and backlit LCDs plus support for Microsoft's new compression format: Windows Media Audio (WMA) 9.

Global availability: End year in Japan only

Creative Nomad Jukebox Zen NX (20GB) - Potential Kill Rate: 7 out of 10
The Nomad Jukebox Zen NX is the newest member of Creative's family of hard drive digital music players. The NX models are just a shade thinner and lighter (20mm and 42g, respectively) than their predecessors.

Battery life is rated at the same 14 hours, but a removable, rechargeable lithium-ion cell has succeeded the old Zen's sealed-case design, so you can replace a bum battery. Support for USB 1.1/2.0, rather than FireWire, ensures compatibility with just about every PC on the market.

Global availability: Now

Sony unit $800-1000 (retail)with not near the features


http://www.sonystyle.com/is-bin/INTERSHOP.enfinity/eCS/Store/-/-/-/SY_DisplayProductInformation-Star....

http://www.sonystyle.com/is-bin/INTERSHOP.enfinity/eCS/Store/en/-/USD/SY_DisplayProductInformation-S...

E.Digital is not married to Digitalway on mfg. these units. If a better/cheaper mfg company comes along.....we use them!

We are tied to APS on airlines...all other applications are up for grabs.......

Maybe a big boy will throw some big bucks Boyers and our way?????

Drive makers see more consolidation, 2.5-inch drive growth

By Rick Merritt

EE Times
September 10, 2003 (10:24 a.m. ET)

SAN JOSE, Calif. — Executives and analysts at the annual Diskcon conference here predicted further consolidation for the hard disk drive sector, particularly as more players prepare to jump into the growing market for 2.5-inch and smaller drives.

The predictions come as drive makers are gaining Wall Street's attention for relatively strong financial performance this year, but generally face a slowdown in new product introductions. Also slowing is the rate of growth in how much data can be stored on a square inch of media.

Since 1998, the number of drive makers has shrunk from 12 to seven while the number of independent head makers dropped from eight to two. Media makers consolidated from 11 to five, according to an analysis from Seagate Technology Corp. Western Digital recently bid to acquire head maker Read-Rite in the latest move toward greater vertical integration.

"With the moves we have made you will see much more focus on other players striking strategic relationships," said Matt Massengill, chief executive of Western Digital.

Seagate President Bill Watkins said drive makers are moving toward integrated processes and close relationships with component makers and away from the days of discrete processes where drive makers pitted their suppliers against each other in intense cost competitions.

"We are in a time when how people deal with each other is changing. We're going to be in supply chain wars," Watkins said. Seagate makes all of its own heads and about 90 percent of its media, he added.

As the industry matures, profit margins have stabilized above 20 percent and drive makers have outperformed high-tech stocks generally for the last three years, said Bill Lewis, senior analyst with J.P. Morgan Chase & Co. "Wall Street has taken notice of the hard drive industry in 2003," Lewis said.

Nevertheless the outlook is still unclear. "This industry is driving up a mountain in a thick fog. We don't know if we are at a peak or have a lot further up the mountain to go," Lewis added.

Notebooks are the brightest sport for today, driving growth in 2.5-inch drives which vendors expect to appear in servers next year and ultimately see use in desktops and emerging consumer gear as well.

"You'll see [many] more 2.5-inch drives in virtually all segments," said Dirk Thomas, vice president of strategy for Hitachi GST, the combination of Hitachi and IBM drive divisions which has an estimated 60-percent share of the notebook market where 2.5-inch drives currently domonate.

Watkins of Seagate, which entered the notebook market this year, said he expects 2.5-inch drives to gain design wins in servers in 2004 as well as a few experimental small form factor desktops. Smaller 1.8- and one-inch drives are also on the rise he added.

"When you get 5 Gbytes in a one-inch form factor then you will have some very interesting mobile applications," Watkins said. GS Magicstor Inc. (Guizhou, China) will be very near that in November when it ships a 4.8 Gbyte version of its current one-inch drive, said a company representative here. The company is also developing a 40 Gbyte 1.8-inch drive it will launch in April.

Ichiro Komura, group vice president of Fujitsu's drive business said his company will enter the market for the small drives soon. He estimated the market for 1.8-inch drives will be $1.5 billion in 2006. Apple now uses 1.8-inch Toshiba drives in its popular iPod MP3 players.

"Maxtor and Western Digital plan to enter the 2.5-inch drive business, but the market can't support six suppliers so we will see more opportunity for consolidation," said Lewis of J.P. Morgan.

Lewis and other analysts also called for drive makers to lengthen product cycles, growing profits by shipping more units per platform. That trend could be driven by an expected slowdown in the rate of increase of areal density, the amount of data stored on a square inch of media.

Areal density has been growing at a rate of nearly 100 percent a year, but is expected to slow to as little as 50 percent a year, Lewis and others said.

Industry veteran Michael Workman agreed drive makers are slowing growth in areal density growth as OEMs say drives have met capacity requirements for major markets like desktops. "There's not a lot of people who need 160 Gbytes at the desktop," said Workman, who claimed most cost reductions have now been wrung out of both drives and PCs.

Enterprise storage systems, made by the likes of EMC Corp. and Network Appliance, are the next big target for commoditization, said Workman. His 240-person startup, Pillar Data Systems (San Jose), hopes to drive lower prices in that sector by fielding large arrays now in a test stage based on serial ATA drives and x86 controllers.

Some startups in storage networking have already gone belly up, Workman said. "I absolutely agree the enterprise storage systems are will be commoditized over the next three years," said Massengill of Western Digital.

Consumer gear such as game consoles and personal video recorders represent a significant emerging market, buying about 10 percent of all drives today and growing at an estimated 50 percent a year. However, "the consumer market won't save hard drives. TVs are just as cost sensitive as PCs," said Workman.

OT:Altobridge offers SIM-based in-flight communications system


Sept. 10, 2003 1:21 PM EST

SEATTLE—Airline passengers may soon be able to access personal mobile communications applications during flights with a new subscriber identity module-card based solution from Altobridge.

The solution combines Altobridge’s communications architecture with a passenger’s SIM card to convert seatback Inflight Entertainment Equipment (IFE) into a personal communications device without transmitting radio signals. Calls and transactions made are charged to the passenger’s existing mobile account.

“At a time when airlines need a shot in the arm to boost revenues, the Altobridge SIM solution can deliver a much-needed revenue stream through the provision of a personal communications and m-commerce service,” explained Mike Fitzgerald, chief executive officer of Altobridge. “The utilization of SIM-card technology to bring standard communications devices into the mobile telephony world is not new, but what is unique about the Altobridge architecture is the ability to do so within the bandwidth restrictive environs of the aircraft.”

What major IFE company is geared up to produce this type of player themselves and or for less money? I sure can't think of one.

Digitalway is competitive!

They already went the cheaper DVD route And???? eom

Sky's the limit for a baggage handler's in-flight entertainment system

This one is for you Cassie
http://seattlepi.nwsource.com/business/138884_airdvd10.html
Wednesday, September 10, 2003

By JOHN COOK
SEATTLE POST-INTELLIGENCER REPORTER

An Alaska Airlines baggage handler, who spends his free time running two Lakewood coffee shops, a day spa and a start-up company, may change the way you view movies on airplanes.

Bill Boyer, a 38-year-old college dropout who has spent the past 16 years handling baggage at Sea-Tac Airport, unveiled his portable entertainment device yesterday, winning praise even from competitors at the World Airline Entertainment Association's meeting in Seattle.

Bill Boyer holds his digEplayer 5500. It is on display at the World Airline Entertainment Association's 24th Annual Conference.

Dubbed the digEplayer, the 2.4-pound, battery-powered unit can hold up to 30 full-length movies, hours of digital music, maps, cartoons, sitcoms, language courses and travel promotions. 20th Century Fox has agreed to make first-run movies and other content available on the device while DMX will provide up to 10 hours of music.

Cheaper and lighter than in-seat entertainment systems, Boyer's device has already won over some airline industry executives.

"It was a simple idea and a very good idea and sometimes those are the best ideas," said David Palmer, managing director of marketing at Alaska Airlines.

Seattle-based Alaska Airlines already has agreed to buy 1,000 players for use on half a dozen cross-country routes. The units, which cost a little more than $1,000, will be provided free to first-class passengers beginning next month. Passengers in the main cabin will be able to rent the media players for $10 or reserve them before boarding for $8.

Other airlines and content providers are discussing partnership agreements, said Boyer, who founded Tacoma-based APS in 1997. Backed with $2.5 million from family members and angel investors, the three-person start-up has been working on the digEplayer for two years.

Alaska Airlines had considered deploying an in-flight entertainment system from LiveTV, a subsidiary of JetBlue Airways that broadcasts 24 channels of live television programming from ESPN, The History Channel and others.

But the system, which required an antenna, server boxes and in-seat monitors in each airplane, was too expensive. The LiveTV system also could not be used on flights that cross international borders, a problem for an airline that routinely flies over Canada and Mexico.

After reading postings on the Alaska Airlines' message board about the challenges of in-flight entertainment systems, Boyer had an entrepreneurial epiphany. Though he had no knowledge of portable devices, he started working on basic drawings.

"I said you know, I want to do something," he recalls.

While working weekend shifts as a baggage handler and running his two coffee shops, Boyer came up with the idea for a light-weight video-on-demand system that would allow passengers to choose movies and TV programs. He submitted his colored sketches to Palmer, who was impressed with the concept but knew it would go nowhere without participation from the movie studios.

About this time, Boyer met Ray Henson -- a former software engineer at Intel who frequented Boyer's coffee shop in Lakewood.

In exchange for free hot chocolate, Henson offered his expertise. Together, they pushed forward with the concept, tackling the most complex software and hardware issues. One of the biggest involved licensing content from Hollywood studios.

"We went to the movie people and they said we are not about to put our first releases on a portable device and then have it show up all over Hong Kong," recalls Henson, who came up with a way to encrypt the videos for replay. Providing additional security, Boyer and Henson also developed a proprietary battery that runs out after six hours.

A workaholic who sleeps only a few hours a day, Boyer has always tinkered with things. As a boy he would draw blueprints for model submarines. His dad -- a retired engineer with an aerospace company -- remembers his son building model boats from scratch.

"He was into everything," said William Boyer Sr. "He would work himself to death until he almost got done with it and then he would lose interest and move on to something else."

His mom still frets over his long workdays.

"I worry about his health," said Yung Boyer. "He works too hard."

But it is that hard work -- combined with a curiosity and ability to solve complex problems -- that has placed Boyer at the forefront of the in-flight entertainment industry.

"Bill is one of those people who sees things and stews on them until he finds a solution to the problem," said Palmer. "We had aircraft damage from belt loaders pulling up too aggressively to the belly of the aircraft and Bill, through watching that, invented a bumper device that saved us uncountable dollars."

Even competitors -- most of whom are in town for this week's World Airline Entertainment Association conference -- had nice things to say about the portable device.

"It is a good idea, light and small," said Dale Linder, director of cabin electronics for General Dynamics. Linder's company yesterday introduced EmPower YES!, an in-flight entertainment system that can store 28 feature films and 100 hours of music. Because the system is embedded in each seat of an aircraft, it is heavier and more costly than the APS.

That extra payload might not seem like much. But some installed entertainment systems can weigh more than 2,000 pounds per aircraft, which translates to about $80,000 per year in fuel.

Glenn Latta, vice president of LiveTV, which offers its television service in every seat on every plane operated by JetBlue, said the media player from APS offers airlines a cheap and easy way to enter the market.

"It is a low-cost, flexible option that really judges demand," Latta said. "A potential disadvantage is if you don't have that option for every customer and customers want it, how do you deal with that?"

Besides digEplayer, Boyer's company yesterday announced a wireless device on which flight attendants can charge passengers' credit cards for beverage or meal purchases. It also tracks the amount of beer and liquor sold on the aircraft. In a recent test of the pagerlike device, liquor sales increased 30 percent.

Boyer is hopeful that APS can help struggling airlines make more money.

Having spent 16 years on the tarmac, loading and unloading bags, Boyer still isn't sure if he is ready to leave Alaska Airlines.

"They won't let me quit," joked Boyer, who has taken a leave of absence to market the digEplayer. "Being around the airline industry has given me the inside look of what airline executives are thinking and what they need. If I see a problem, I try to come up with a solution."

Alaska Airlines spokesman Jack Evans thinks it is just a matter of time before Boyer goes full-time with APS.

"I think it is only starting to hit him that he is probably not going to be a baggage handler for very much longer," Evans said.

Mary You are a smart person. Do you really think that Boyer, at the height of the launch of this exciting new product is sitting in an office playing games with a caller? Come on......To heck with being at the convention, schmoozing with industry giants, giving interviews etc. Nah...I'll hole up in my office and screw with no name callers LOL

First wireless link for cell phones, MP3 players unveiled
Tuesday, September 9, 2003 Posted: 11:32 AM EDT (1532 GMT)

SAN FRANCISCO, California (Reuters) -- Semiconductor designer Broadcom Corp. Monday unveiled a wireless network product designed to connect cell phones, electronic organizers, digital cameras and MP3 players.

Irvine, California-based Broadcom said its single-chip product is the size of a postage stamp and includes a radio, power amplifier, switches and other components, making it suitable for use in mobile devices smaller than portable personal computers.

Additionally, the product consumes up to 97 percent less power than other Wi-Fi products, the company said.

"Until now, wireless connectivity has been primarily confined to PCs, due to the power and size demands of traditional wireless LAN (local-area-network) chipsets," said Tim Bajarin, an analyst with research firm Creative Strategies.

Able to add more features
The features and capabilities built into the new single chip product are meant to appeal to makers of mobile devices, who seek to add more features into smaller products, said Alan Ross, Broadcom's president and chief executive.

"This opens the door for us to enable countless new applications," Ross said in a statement.

Broadcom's core chip products are used in television set-top boxes, cable modems and networking equipment, and the company's customers include networking industry leader Cisco Systems Inc., cell-phone maker Motorola Inc. and computer manufacturer Dell Inc.

Growth expected
A single-chip product will help Broadcom, a rival of Intel Corp. and Texas Instruments Inc., post solid margins in a market where growth is being offset by price pressure, said analyst Jim Jungjohann of CIBC World Markets.

"With a single-chip solution they can still make the same margin with an $8 chip as they were making with a $20 chip earlier this year," Jungjohann said.

That is correct. We are still asleep out here. lol eom

Alaska Airlines to Be Launch Airline for Revolutionary New Inflight Entertainment System For Tuesday (September 9)
World Airline Entertainment Association's 24th Annual Conference & Exhibition

--(BUSINESS WIRE)--

SUMMARY: Alaska Airlines will announce that it will be the first carrier in the world to offer customers a revolutionary new inflight entertainment technology.

WHO: Dave Palmer, Alaska Airlines managing director of marketing, and representatives of the company that developed this new inflight entertainment system, will be available for
interviews and product demonstrations.

WHAT: The developer, a local Pacific Northwest company, will
unveil the system at the World Airline Entertainment
Association's 24th Annual Conference & Exhibition.

WHEN: September 9 from 10 a.m. to 5:30 p.m. Interviews and
demonstrations will be available by appointment.

WHERE: The Washington State Convention & Trade Center in Seattle.

CONTACT: Please call Jack Evans or Lou Cancelmi, Alaska Airlines Corporate Communications, at 206-392-5101 to schedule
interviews and for exact exhibit location.

Media registration is required to enter the exhibition hall.
To register, stop by the WAEA Press Center in Room 401 of
the Convention & Trade Center.

I like this one.........

http://www.digeplayer.com/PIC%20RESOURCES/logo.gif

"There is no reason to post at all". So you will stop? eom

Apple introduces new 20GB and 40GB iPods; up to 10,000 songs in your pocket

Monday, September 08, 2003 - 08:56 AM EDT

Apple today announced new 20GB and 40GB models of its best-selling iPod digital music player. The new 40GB iPod holds up to 10,000 CD-quality songs (playing each song back-to-back takes a month) in a stunning enclosure that is lighter and thinner than two CDs. iPods are available in three models: a 10GB model for just $299 (US), the new 20GB model for $399 (US) and the new 40GB model for $499 (US); and offer the perfect combination of ease of use, storage capacity, audio performance and ultra-portable design.

"iPod is the best-selling digital music player and the 'gold standard' to which all portable music players are compared," said Steve Jobs, Apple's CEO in the press release. "The iPod and the iTunes Music Store offer music lovers an unbeatable combination that our competitors can't even come close to."

iPod is the only portable music player with Apple's patent pending Auto-Sync, an innovative feature that automatically downloads your entire digital music library onto iPod and keeps it up-to-date whenever the iPod is plugged into your Mac or Windows PC using FireWire or USB 2.0. The ultra-portable iPods are designed with a solid-state "no moving parts" navigation wheel and backlit buttons for precise, effortless navigation through thousands of songs; an elegant dock for easy syncing and charging with an audio line out for quick connection to a home stereo or powered speakers; an "On-The-Go" playlist so users can build a playlist right on their iPod; a customizable main menu so users can promote the features they use most often to their top level menu; and a rechargeable lithium-ion battery for more than eight hours of continuous music.

The iTunes Music Store has sold over ten million songs since its launch just over four months ago and is the perfect companion to the iPod. Now listeners can easily find, purchase and download their music online with one click. Music purchased from the iTunes Music Store is downloaded right into
Apple's popular iTunes 4 digital music jukebox, where users can easily manage their music library, create playlists, burn custom CDs and easily download their entire music library into their iPods for on-the-go listening anywhere. The iTunes Music Store will be available to Windows users by the end of this year.

New iPods for Mac and Windows PCs are available today for a suggested retail price of $299 (US) for the 10GB iPod, $399 (US) for the 20GB iPod and $499 (US) for the 40GB iPod through the Apple Store, Apple's retail stores and Apple Authorized Resellers. Laser engraving is available for $19 (US) and can include two lines of text with up to 27 characters per line. The new iPods support high-speed syncing via USB 2.0 with Windows; a separate USB 2.0 cable is required.

All iPod models include earbud headphones, an Apple iPod power adapter, a FireWire cable and a 4-pin-to-6-pin iPod FireWire adapter. 20GB and 40GB iPod models also include the iPod Dock, carrying case and wired remote; these optional accessories can be ordered for 10GB iPod models through the Apple Store. iPod requires a Mac with FireWire port, Mac OS X version 10.1.5 or later (Mac OS X v10.2 or later recommended) or a Windows PC with FireWire or USB 2.0 port, or Windows-certified FireWire or USB 2.0 card, Windows Me, Windows 2000, or Windows XP Home or Professional. A CD containing iTunes for Mac OS X and MUSICMATCH Jukebox Plus 7.5 software is included with all iPod
purchases.

More information about the new iPods here.

Only on Saturday nights. Only on Saturday nights....eom

I thought you guys had my back LOL eom

I thought we were using Hitachi 1.8" drives in place of the Toshibas that Apple uses?

E.DIGITAL SHOWCASING ODYSSEY 1000™ AT
CALIFORNIA’S LARGEST MUSIC FESTIVAL

(San Diego, CA - September 5, 2003) - e.Digital Corporation (OTC: EDIG) today announced that it will be demonstrating and selling its Odyssey 1000 Personal Digital Jukebox at Street Scene, California’s largest music festival. The festival runs September 5-7th in San Diego’s historic Gas Lamp Quarter, features over 90 bands including R.E.M., The B-52’s, The Allman Brothers Band, and more and attracts over 100,000 people.

Street Scene has emerged as a premiere musical event presenting top-rated artists along with a diverse array of musical styles. From Grammy winners to emerging artists, the event continues to preserve its reputation as the top urban music festival in the country.

The e.Digital booth is located on 11th Street, south of Island Avenue - in the immediate vicinity of the Hewlett-Packard semi-trailer and the Ford stage where the internationally acclaimed band R.E.M will perform on Sunday, September 7th. Also scheduled to perform on the Ford stage are: Macy Gray, Nickel Creek, Social Distortion and many others.

e.Digital’s Odyssey 1000 Personal Digital Jukebox is a best in class device. With a 20 Gigabyte hard drive, the player can hold up to 500 albums of CD quality music. The built in voice recorder, VoiceNav™ voice navigation system and FM tuner make the Odyssey 1000 well equipped to enhance your music experience and manage your data storage needs.

What has changed? LOL!

An attractive IFE product, ready to hit the marketplace with a huge splash, featuring first run or early release content from at least one major entertainment company.

What has not changed? The negative BS of more than one poster here.......

OT Nickel? They are charging him by the second? EOM

Some taking profits....eom

OT? Tenzing trying lean model for inflight e-mail service
JOHN GILLIE; The News Tribune

When Alan McGinnis took the reins at Seattle's Tenzing Communications Inc.18 months ago, he quickly saw that the business model the airborne Internet company had adopted in the late '90s boom was out of touch with post-Sept. 11 realities.

During those earlier halcyon times, both Tenzing and its cross-town rival, Connexion by Boeing, envisioned providing full Internet access to airline passengers as they cruised at 35,000 feet.


While Tenzing's plan was always more conservative than Boeing's, it still imagined a quick leap for airline passengers into airborne Internet connectivity.


Then airlines went into survival mode after the terrorist attacks.


In response, McGinnis, a former Microsoft MSN executive, saw a need for Tenzing to shrink its immediate ambitions and tailor its product to airlines' diminished expectations and abilities.


"Our business had a much broader scope than it does today," said Tenzing CEO McGinnis.


"I was pretty fresh out of Microsoft, and I had been involved in MSN. I had some pretty first-hand knowledge about just how expensive that model could be. I knew how much money Microsoft had put into MSN."


The Tenzing that McGinnis inherited had plans to provide hardware and software to help airline passengers communicate with the Internet from their seats. The company also wanted to be an Internet service provider for those customers.


That ambitious plan was both staff- and money-hungry.


"When I got involved, I said, 'You guys are not overfunded, and you've got a model that's going to burn through an enormous amount of cash,'" McGinnis said. "'If you are going to rejigger your model a little, it seems to me that you should leverage people that have done this before.'"


McGinnis cut Tenzing's staff by half. (The company now has 60-some employees.) And it developed partnerships with companies that could shoulder some of the burden of getting the Internet service in the air.


The company already had major investors in the aircraft, airline and electronics industries. (Airbus, Cathay Pacific Airways and Rockwell Collins are its three largest investors). It signed on other partners as Internet service providers and marketers.


The company, for instance, allied itself with an Asian ISP with hundreds of thousands of existing customers in the Far East. And it reached an agreement with Verizon in the United States to market its Internet e-mail service through the same network that provides airborne phone service on several major airlines.


The company now is courting the nation's two largest ISPs, AOL and MSN, to become partners for its airborne service.


Ultimately, Tenzing wants to be a nearly invisible but profitable partner to airlines and Internet companies, providing the software expertise to link those ISPs' ground networks with airline passengers.


In a way, McGinnis' new model copies Microsoft's, in which software provides the billions of dollars of profit to the Redmond company.


Another key: Tenzing refocused its efforts from full Internet capabilities to e-mail.


Sharpening focus, cutting costs


Tenzing's surveys showed that most business travelers use the Internet primarily to access their e-mail. Browsing the Web or checking the status of their next flight on the Internet was of secondary importance to them.


By concentrating on e-mail, Tenzing could sharply reduce both its own costs and the airlines.'


The Tenzing system - unlike Boeing's, which uses a whole new satellite antenna system retrofitted to the aircraft - works with the unused capacity on the aircraft's radios. E-mail is collected and dispatched in batches at intervals ranging from once every 10 minutes in domestic use to once every 20 minutes on trans-Pacific flights.


Pricing of the service is under the control of the airlines and Tenzing's other partners.


Currently, there are two pricing schemes. One provides a customer with a certain amount of capacity for say, $10 a trip. The other, an "all you can eat" approach, gives a traveler unlimited e-mail for perhaps $20 a trip.


Boeing's Connexion system, in contrast, provides real time connectivity to the Internet just as if a traveler were at home. Initial prices there range from $25 to $30 a trip.


McGinnis thinks Tenzing's system makes more sense in these economically lean times. While Tenzing eventually aims for real-time Internet capabilities, the time isn't right now, he said.


"I don't think that the whole approach, the 'Build-it-and-they-will-come approach,' is reasonable," McGinnis said. "I think an evolutionary approach is more reasonable."


The timing isn't right for more, he said.


"I think it's technology before its time. When the market grows, we'll take a look at it."


By using existing hardware and partnering with establish Internet service providers, Tenzing will give both airlines and their passengers most of what they want at relatively little cost, he said.


Installing Tenzing's system on an aircraft already equipped with phones or seatback entertainment systems can be done at minimal cost and with no additional aircraft downtime. Passengers can use their laptop computers, the inflight entertainment systems or their messaging cell phones to connect to e-mail.


Installing the Boeing Connexion system requires the aircraft to be out of service for several days while the satellite antenna system is retrofitted.


The Connexion system and the labor to install it, McGinnis said, is a high up-front cost for airlines that are struggling for profits. In addition, Boeing's system adds significant weight to the aircraft, reducing payload.


If the e-mail system grows and there's a demand for broader service, Tenzing stands ready to provide it, he said.


"We will get back into that when the airlines tell us that's the critical thing. Right now, we're not hearing that."


Connexion by Boeing spokesman Terrance Scott acknowledged that the approaches by Boeing and Tenzing to airborne connectivity are fundamentally different.


"We think, however, that their approach won't meet the expectations of the airlines or their passengers and will sour the market," he said. "We don't think consumers will want to change their Internet habits to meet the diminished capabilities of their system."


Success finally coming


Both Tenzing and Boeing's Connexion are enjoying some success in getting their systems deployed after a lull during the first year after Sept. 11:


•Tenzing, through Verizon, has equipped some planes in the fleets of U.S. carriers such as United and Continental. Cathay Pacific, Virgin and Iberia are among foreign airlines that have signed up for Tenzing's service.


•Boeing, after its domestic airline partners dropped out of its initial deployment plan, has concentrated on international carriers. Both Lufthansa and KLM are equipping their fleets. British Airways is evaluating the system.


In the long run, McGinnis said, he believes Tenzing's evolutionary approach will win the day.


"I don't think that broadband in the air gets rolled out any differently than broadband in the home. At home, it was implemented by using the stuff already in the home, phone lines for DSL and cable lines for cable Internet, not by laying new fiber optic cable to homes," he said.


"Cable and DSL are a perfect example of making use of the stuff that was already there. It's not unreasonable to think the same pattern will emerge in the airline industry."




John Gillie: 253-520-6999
john.gillie@mail.tribnet.com


Alan McGinnis


Title: CEO, Tenzing Communications Inc.


Age: 46


Family: Married, no children, lives in Medina


Education: Bachelor of science degree in physics, Whitworth College, Spokane


Career: He's spent two decades in the technology business. Before coming to Tenzing, he worked for Microsoft Corp., including as director of business development for advanced technology-Asia Pacific region, and as international director for MSN.


Hobby: Flying

Delta's Song Goes Hollywood with Service to Los Angeles; LAX Debut Marks Song's First Service to the West Coast

(edited by me for IFE info_)
LOS ANGELES--(BUSINESS WIRE)--Sept. 3, 2003--

Unique Amenities - Video on Demand, Live Satellite TV - Will Enrich Travel Experience and Fit Customers' Individual and Changing Needs

Song(TM), Delta Air Lines' new service designed to change customer expectations for high-quality, low-fare air travel, begins service to the Los Angeles metropolitan area on Wednesday, September 3 with the introduction of daily non-stop service between Los Angeles International Airport (LAX) and two major Florida destinations: Tampa and Orlando. These flights mark Song's first expansion of service to the West Coast.

Song will meet air travelers' individual and ever-changing needs through a variety of innovations, several of which are industry firsts. These include:

-- Regular updates to amenities and services based on customer feedback. Customers have the ability to vote on products and services via the Song Web site: www.flysong.com.

-- The most advanced in-flight entertainment technology available (October 2003). Song is partnering with Matsushita Avionics Systems and EchoStar Communications Corporation (NASDAQ:DISH) and its DISH Network(TM) satellite TV service to provide a complement of on-board amenities, which will include:
-- Personal video monitors at every seat with "touch screen" technology and credit card "swipe" capability.
-- Live, all-digital satellite television programming from DISH Network.
-- Digitally-streamed MP3 audio programming, which will allow passengers to create a personal play list from an extensive library of audio files.
-- Pay-per-view programming available on demand, which will feature a wide-range of current offerings for all ages.
-- Multi-player interactive games that allow play between passengers.
-- Interactive iXplor moving map program with zoom capabilities and points of interest information.
-- Connecting gate information broadcast directly to personal in-seat video monitors.
-- Expandable in-flight entertainment technology, which will facilitate the opportunity to integrate additional services in the future such as in-flight shopping and on-line product purchase capabilities.
"Our customers will play a major role in the development of Song," said Selvaggio, a 30-year veteran of the airline industry. "They will be able to vote products and services onto the aircraft. They will be able to make each flight what they want it to be."
Selvaggio added, "We've put a great deal of thought into everything we will offer, understanding that each time a person flies, he or she has different expectations. They may be on business and want the ability to prepare for a meeting. They may be flying with children and need something to keep them entertained. Or they may be flying for pleasure and are looking for a way to relax on board. We will be able to serve each of those customers on Song, on every flight."

NOMAD MuVo2 Line of Ultra-Compact, Hard Drive and Flash-Based MP3 Players

Creative NOMAD MuVo2 1.5GB holds up to an incredible 850 songs (PRNewsFoto)[KC]
MILPITAS, CA USA 09/03/2003

New MuVo2 Line Includes the Only 1.5GB MP3 Player with a Removable Battery and Great Low Price of US$229.99

MILPITAS, Calif., Sept. 3 /PRNewswire-FirstCall/ -- Creative
(Nasdaq: CREAF), a worldwide leader in digital entertainment products for PC users, today announced NOMAD(R) MuVo2(R) (pronounced NOMAD MuVo Squared), a brand new line of ultra-compact and lightweight MP3 players with superb audio
quality.

The three new NOMAD MuVo2 players address the fast growing digital audio enthusiast market. The pocket-sized hard drive player, NOMAD MuVo2 1.5GB, will be available in September 2003 for only US$229.99. Two rugged flash additions, NOMAD MuVo2 X-Trainer 512MB and NOMAD MuVo2 X-Trainer 1GB,
will also be available as the only flash-based models in the market with USB 2.0.

All three versions feature high-capacity removable and rechargeable Li-Ion batteries, unparalleled audio quality, super fast USB 2.0 connectivity and simple drag and drop functionality.

(Photo: http://www.newscom.com/cgi-bin/prnh/20030903/SFW064-a

http://www.newscom.com/cgi-bin/prnh/20030903/SFW064-b )

"Creative continues to drive the market with the best sounding and easiest to use MP3 players for all types of users," said Craig McHugh, president of Creative Labs, Inc. "The NOMAD MuVo2 1.5GB is so small you would think it's a flash player, yet it incorporates a one-inch hard drive that can hold an incredible 850 songs and is priced at only US$229.99. It's also the only
1.5GB player on the market to feature a removable battery. For the most active consumers, the NOMAD MuVo2 X-Trainer products ensure hours of skip-free music and are the only flash-based players on the market with USB 2.0 connectivity."

NOMAD MuVo2 1.5GB

Creative's smallest hard-drive based MP3 player ever, the NOMAD MuVo2 1.5GB, is an ideal mix of capacity and size -- it can hold an amazing 50 hours (WMA/64kbps) of music in a package so small it will slip into any pocket with room to spare. The handsome dusk blue and silver NOMAD MuVo2 connects to a notebook or desktop PC via USB 2.0 and is automatically recognized as a
removable drive allowing the user to easily drag and drop any type of file or even a favorite music playlist directly onto the player. The NOMAD MuVo2 features a convenient removable, rechargeable battery that charges via USB and lasts up to 10 hours on one full charge. Customers who opt to purchase an
additional battery can enjoy even longer mobile playback without having to worry about recharging.

True to Creative's rich audio heritage, the remarkably compact NOMAD MuVo2 offers unsurpassed audio quality at 98dB SNR, rivaling expensive hi-fi systems. By using the four-way rocker button, users can simply scroll through the cool blue backlit LCD, select a play mode, such as Shuffle or Resume, and listen to hours of high-fidelity music. Users can also scroll to access the equalizer settings -- rock, jazz, classical or pop -- or even create their own custom settings. The NOMAD MuVo2 with 1.5GB is bundled with earbuds and a stylish and protective black carrying case, which includes a convenient belt clip and a compartment to store the player's USB cable.


NOMAD MuVo2 X-Trainer

The sporty yellow and charcoal NOMAD MuVo2 X-Trainer with 512MB was designed specifically for the digital music consumer with an active lifestyle. With 512MB of flash memory, this NOMAD MuVo2 X-Trainer can deliver an incredible 16 hours of 100% skip-free music and is rugged enough to go anywhere.

"The NOMAD MuVo2 X-Trainer has a competitive edge with its huge capacity and super fast USB 2.0 connectivity -- it's the only flash-based player with USB 2.0 convenience," said Lisa O'Malley, senior brand manager for portable audio products at Creative Labs.

For the active consumer who wants to carry along even more music, Creative will also offer the stylish charcoal and silver NOMAD MuVo2 X-Trainer with 1GB of flash memory. This player holds up to 560 songs and ensures up to 16 hours of uninterrupted, skip-free playback on just one charge of the removable battery.

A convenient sports armband with beltclip is included with both NOMAD MuVo2 X-Trainer players to allow the most active users to listen to their favorite upbeat music during any form of exercise, such as running or mountain climbing. Weighing in at just 3.1 ounces, the NOMAD MuVo2 X-Trainer is so light it will be hard to notice it's there at all.

All of the new NOMAD MuVo2 products feature a headphone jack with upcoming support for a FM Wired Remote accessory. Although the NOMAD MuVo2 digital audio players do not require software, all three products come bundled with Creative's MediaSource(TM) music management software. MediaSource is an easy-to-use application for ripping and burning CDs, organizing entire digital music collections, and transferring MP3 and WMA files to NOMAD MuVo2 products at the touch of a button.

Pricing and Availability
U.S. pricing and availability information is as follows:
-- NOMAD MuVo2 1.5GB: $229.99, September 2003
-- NOMAD MuVo2 X-Trainer 512MB: $269.99, September 2003
-- NOMAD MuVo2 1GB: $499.99, October 2003

For more information, please visit http://www.nomadworld.com.

It is on IFE so it is on topic. eom

SkyWay Communications Holdings Corp. Announces In-Flight Services Contract with Southeast Airlines

CLEARWATER, Fla., Sept. 2, 2003 (PRIMEZONE) -- SkyWay Communications Holding Corp. (OTCBB:SWYC), its wholly own subsidiary, Sky Way Aircraft Inc., and Southeast Airlines, Inc. announced today the companies have signed a SkyWay in-flight system contract for a wide variety of in-flight services. Under the contract, Southeast Airlines shall receive, on a reoccurring basis, a percentage of the revenue generated by advertising and in-flight service usage of the system.

Terms of the contract call for the installation of the Upgraded SkyWay in-flight system on the fleet of Southeast Airlines eight (8) MD-80 and DC-9 aircraft. It also includes all newly purchased aircraft, as approved by Southeast Airlines management. The SkyWay Upgraded System includes an air to ground connection of up to 15Mbps, wireless high-speed Internet, telephone services, advanced in-flight entertainment (IFE) with on-demand video / audio, video monitored security services, Flight Management Avionics Data Links (FMADL) for maintenance support, archiving of aircraft monitored systems data including video for ten (10) years, air filtration system monitoring and upon approval, cellular micro-cell to facilitate passengers personal cell telephone use.

According to Brent Kovar, President of SkyWay Communications Holding Corp., "Southeast Airlines will offer their passengers, what we believe to be, the most advanced in-flight entertainment system in the world today, giving access to high-speed Internet, telephone services, on-demand video/audio and at the same time surrounding them in the safest most secure flying environment available today. This airborne security system uses passenger monitoring tools such as security cameras and facial recognition software to attempt to decrease the likelihood of future September 11th events from happening again."

According to Tom Kolfenbach, President of Southeast Airlines Inc., "We have consistently provided our customers, value, service and convenience. With SkyWay's in-flight system, we can now also provide the best entertainment and best security. SkyWay also provides Southeast the opportunity to secure an entirely new source of revenues, which is a particularly attractive component of our agreement."

Southeast Airlines will debut SkyWay's in-flight system with shared monthly reoccurring revenue from advertising and service usage. Under the revenue sharing provisions of the contract, advertising charges are based on the number of passengers multiplied by industry standard captive audience ratios for internet banners, fixed monitor commercials and audio commercials. Telephone usage is billed per minute, on-demand video/audio (played on passengers laptop) charges range from $1.95 to $9.95. Because of advertising revenue, Internet use will be free of charge to every passenger with their own Wi-Fi 802.11B or G equipped laptop. Passengers with their own laptop can expect T1 speeds, as well as have over 400 On-demand video selections ranging from Hollywood's newest releases to continued education instructional videos, audio selections range from books to current music artists, to choose from. It is planned that the security cameras, both overt and covert, will be monitored in real time from SkyWay's monitoring center located in Clearwater Florida. We believe that Southeast Airlines, with the complete system installed, will lead the industry in aircraft and passenger security and entertainment.

About Sky Way Aircraft, Inc.

Sky Way Aircraft, Inc. is a Clearwater, Florida based company that is developing a unique ground to air in-flight aircraft communication network that it anticipates will facilitate homeland security and in-flight entertainment. Sky Way Aircraft is focused on bringing to the market a network supporting aircraft-related service including anti-terrorism support, real time in-flight surveillance and monitoring, WIFI access to the Internet, telephone service and enhanced entertainment service for commercial and private aircraft throughout the United States. Based on the final upgrading of a previous airborne telephone and communications network, Sky Way Aircraft intends to provide broadband connectivity between the ground and in-flight aircraft throughout the U.S. using technology that provides a broadband high-speed data transmission. Sky Way Aircraft intends to be the communications solution for commercial and private aircraft owners wanting real time access to on-board security systems, aircraft health and welfare monitoring, avionics operations and for passengers wanting real time high-speed access to the Internet. The network will enable applications that can personalize the in-flight entertainment experience, provide real time access to flight management avionics with long-term data storage and also support for ground monitoring of in-flight surveillance systems that are being designed with the goal of enhancing current airline security standards.

About Southeast Airlines, Inc.

Southeast Airlines is headquartered in Largo, Florida. The airline was founded in 1993 and over the past 10 years has safely transported millions of passengers. Southeast Airlines has a fleet of eight (8) modern passenger jet aircraft manufactured by McDonnell Douglas (acquired by Boeing in 1999) traveling to and from St. Petersburg/Clearwater, Ft. Lauderdale, Orlando/ Sanford, Fl, Newark, NJ, Newburgh, NY, Allentown, PA Columbus, OH, Gulfport, MS and Las Vegas, NV. The fleet utilizes two of the most popular models operated by airlines worldwide: DC-9-30 and MD-80 twin jet aircraft. All of Southeast's jet aircraft meet current FAA standards and the engines are all Stage III noise compliant. Our pilots, crew and mechanics are among the most experienced personnel in the industry. Southeast Airlines is more demanding and exacting in our maintenance of the fleet, exceeding industry standards and always in compliance with FAA regulations. As a result our reliability and on-time performance is well above the airline industry as a whole. Forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including without limitation, continued acceptance of the Company's products, increased levels of competition for the Company, new products and technological changes, the Company's dependence on third-party suppliers, and other risks detailed from time to time in the Company's periodic reports filed with the Securities and Exchange Commission.