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Starting in 2001, XM will revolutionize radio - bringing programming choice, national reach, and digital-quality sound to one of the world's most powerful mediums.
Cadillac will be the first auto manufacturer to offer XM radios in their vehicles as optional equipment in the 2001 model year. Approximately 8900 STS and DTS models will be equipped with this new technology. GM plans to offer XM radios in all brands and models within 3-4 years
http://www.fischeroldscadillac.com/xm.htm
murgirl: XM/cadillac and XM/Sony[edig?] for home:
Satellite Radio
No Static At All
by Alice Hill
Page 1: No commercials
It’s a fact we instinctively know without hearing any numbers: Commercial radio is mostly commercials. Two companies are betting the next generation of radio listeners are ready for something better—satellite radio, featuring hundreds of specialized channels, broadcasting in clear CD quality sound, minus the continual commercial interruptions.
Getting Serious
In 1997 the FCC granted licenses to New York’s Sirius Satellite Radio, and Washington DC’s XM, Inc. for a piece of the S-band spectrum—the segment approved by the FCC for satellite radio. Landing a license didn’t come cheap. Both companies ponied up a hefty $89 million apiece for the right to broadcast on this new frequency.
To raise the massive funding necessary to build and deploy satellites, Sirius and XM have partnered with a number of corporate heavyweights, including General Motors, DirectTV and DaimlerChrysler. To date, Sirius has launched three satellites, while XM launched its first satellite in early January, with a second going up in March. Between both companies, the price tag for the satellite portion alone has topped $3 billion.
You Have to Pay To Play
To make the venture a high-flying success, both Sirius and XM are betting that consumers will do the unthinkable: Pay $9.95 a month to listen to their car radios. As Dave Margolese, the founder of Sirius, put it: “TV is free, but 70 percent of consumers choose to pay for cable—and another 10 percent pay for satellite TV.” And while it’s true that consumers will pay for water and other items that were previously thought of as free, jumping to a paid version of radio will require some powerful programming.
Staffed by an expert in the genre (or a major content provider like NPR), a satellite classical station would feature live and recorded music as well as guest appearances and information 24 hours a day. This ability to segment even into obscure Celtic flute channels will give, according to Sirius and XM, a home for every listener. The listeners are there: Three-quarters of the U.S. population over 12 listens to the radio each day, and 90 percent of all commuters listen to as much as 50 minutes of car radio a day. It translates to a $50 billion business, which is why Sirius and XM are eager to grab your attention.
The Chips Are Down
The loose ends are radio chipset delays for Sirius, and no radios on the market yet for XM. XM is planning a massive $100 million campaign this summer to introduce its new radio in the 2002 Cadillac, and is also working on a radio with Sony that will slide into a docking station in your home so you can listen away from your car. Pricing has not been set. Expect to see XM radio in all upcoming GM cars and Sirius models in BMW, Ford, and DaimlerChrysler. By 2003 most cars should have a satellite option.
Digital audio in the home never caught on as a subscriber service until it was bundled with cable TV, and many analysts predict that satellite radio won’t become popular until it is included with your other car services. If it does take off, maybe we can kiss all that commercial noise goodbye.
Satradio Query: Your paper reported this week on the race to bring satellite radio to the masses. Among the many interesting tidbits in the article was this tidbit from one of the XM higher-up, who the writer describes as saying XM Satellite radios will be "an option" in 2002 Cadillac's Seville and Deville models.
An option? I thought these radios were going to be standard equipment in cars, and that was the biggest element in the companies' favor: forced implementation, so to speak. I know drivers would still have to pay for the service, but I didn't think they'd have a choice about whether their automobiles included the receivers. Is it different with Sirius' contracts?
Frank Ahrens: More like an "option out." The plan that both Sirius and XM have, and both have confirmed to me, is that in several 2002 models, more upscale models, the satellite radios will come with the car, like a CD player, and you'll have to ask to NOT get it. Further, a one-year subscription to the service will be included in the price of your car.
http://discuss.washingtonpost.com/wp-srv/zforum/01/ahrens0410.htm
Rivals in the Satellite-Radio Business Share Brunt of Wall Street's Wariness
Monday, April 9, 2001
By Jerry Knight,
Washington Post Staff Writer
Just five weeks ago, Wall Street lined up to invest more money in the two competing companies that are putting radio stations into orbit — XM Satellite Radio Inc. of Washington and Sirius Satellite Radio Inc. of New York.
Both promise to be on the air next year with pay-to-listen systems that will let listeners in the continental United States tune in 100 channels of music, news and talk in CD-quality digital sound.
Going to the market simultaneously early last month for a final round of financing, XM Satellite raised $201 million by selling stock and notes while Sirius Satellite sold $230 million worth of shares.
Today it's doubtful that either company would find Wall Street so generous.
The stock that Sirius Satellite sold for $21 a share in early March closed at $7.75 Friday. The new XM Satellite shares that went out at $10.18 were down to $4.13. Both stocks hit new lows last week and are off 90 percent from their peaks early last year.
The satellite radio stocks are falling out of the sky because of a series of last-minute technology glitches that are keeping Sirius Satellite from sticking to its schedule to go on the air this summer. Sirius is the Dog Star, but XM Satellite is dogged by its rival's woes.
Satellite industry sources say the snags at Sirius Satellite are serious but not life-threatening, certainly not bad enough to vaporize two-thirds of Sirius's stock value in less than a week.
"I don't think these are problems that can't be overcome. There's really no reason for these stocks to drop the way they did," said Elliott Hamilton, senior vice president of the Strategis Group, a Washington consulting firm.
Though their technology is different, Sirius Satellite and XM Satellite look like twin constellations through Wall Street's telescope.
Both promise 100 programming choices. Both plan to charge about $10 a month.
Sirius Satellite has orbited three satellites to blanket the United States with radio signals. XM Satellite uses two satellites, one launched, the other almost ready. Both companies are supplementing their broadcasts from space with stations on the ground to get their signals into big cities and deep valleys where there is no clear shot at the satellites.
Both are beginning their rollouts with car radios. About one-third of all radio listening is done behind the wheel and drivers don't have to travel far before they find themselves out of range of the radio stations they were listening to.
Concentrating on cars also gives satellite broadcasters a powerful distribution network — thousands of auto dealers, which can easily roll a $500 radio into the cost of a new car. After-market models for cars and home radios also will be offered.
Put them all together and the business plans for the two companies read like they came off the same word processor.
"We're in a duopoly market," said Hugh Panero, the president and chief executive of XM Satellite.
"When you're in a duopoly market — particularly prior to execution — you unfairly benefit from each others' good news and have an exaggerated reaction from bad news."
That said, Panero quickly flips the dial.
"His problems are not my problems," he said. "One needs to differentiate the execution."
And, he added: "We are executing our strategy," leaving unsaid the implication that the competition is not.
Sirius Satellite executives said Friday that they've found an answer for the glitches that scared off investors.
A software flaw in the complex Sirius Satellite radios that caused signals to momentarily fade out has been fixed, said Doug Wilsterman, vice president for marketing and distribution. The problem was serious enough that Lehman Brothers, which is providing financing for Sirius, held up a credit line until it was eliminated.
Technical problems also have delayed development of the eight custom chips needed for the Sirius Satellite receivers. At a news conference last week, Sirius Chairman David Margolese disclosed that the company making the microcircuits has only just shipped the first samples to the manufacturers that are going to make the radios.
As recently as last November, Sirius Satellite was saying it would have radios available in the first quarter of this year. Until last week, analysts were projecting there would be enough receivers available for the company to sign up 100,000 customers by year end.
Credit Suisse First Boston analyst Ty P. Carmichael Jr. cut that estimate to 25,000 last week.
Wilsterman said the radio manufacturers still need to "tweak" the chip set and make sure it works as designed before production can begin. He said chip production then could start by "mid-year," which would be in about 11 weeks. "Assuming that keeps on track, you'll be able to start producing radios in the third quarter," he said.
To hedge their bets on the chips, Sirius executives now say they're pursuing production of an alternate receiver design that uses only off-the shelf components. Linking standard chips to accomplish their goal rather than counting on specially designed components could get the radios built sooner.
Sirius had been counting on the first satellite radios to be offered on 2002 models from Ford Motor Co. and other car makers. But last week, executives disclosed that Detroit hasn't ordered any of the radios yet. Based on auto-industry lead times and the schedule Sirius is now talking about, automobiles for the new model year could beat the radios into production.
Sirius executives are no longer making promises about when their service will begin full-scale operation.
Will all 100 channels the satellite can broadcast go on the air at once? "Whether we launch that way is under discussion," Wilsterman said. What are advertisers being told about when service begins? "We're keeping those folks abreast of the timing."
The imprecise answers given during a conference call last week are one of the reasons why the stock dropped so far, analysts said.
The bottom line as the result of the delays seems to be that Sirius Satellite has lost much of its lead over XM Satellite in the race to be first with a satellite radio system.
Panero cautiously claims to have caught up, if not taken the lead.
"We are launching our service this summer," he said. XM Satellite radios will be an option in 2002 Cadillac's Seville and Deville models, he said. The final version of XM's hardware — which uses just three custom chips — is already in the hands of radio makers.
But XM Satellite orbited the first of its satellite broadcasting stations only three weeks ago. The satellite, called Rock, is undergoing a shakedown exercise to assure engineers that it is operating correctly. It's companion — Roll, of course — is scheduled to be launched May 19.
Neither company has completed construction of ground stations that are needed to make sure their signals can be heard in urban canyons and natural valleys. Until all the satellites and relay stations are fully operational, neither broadcaster can guarantee the nationwide penetration that is the key to their business plans.
The next step is getting out as many radios as possible as fast as possible. That means subsidies probably will be required to keep costs within reach of even the audiophiles, technogeeks and other early adopters who will be the first buyers. Prices are projected to be $300 to $500, including a special antenna.
Wall Street is enamored of the economics of the business because once XM Satellite and Sirius complete their billion-dollar build-outs, operating costs will be relatively modest. As a result, profit margins would rise like a rocket once the companies pass the break-even point.
XM Satellite needs about 5.5 million customers paying $10 a month to break even, Credit Suisse First Boston analyst Carmichael calculates. That means signing up 2.5 percent to 3 percent of radio listeners. At 7 million subscribers — a market share of a little more than 4 percent — the return on investment hits a healthy 14 percent a year. At 10.6 million customers — 5 percent penetration — the return soars to 50 percent a year.
Because Sirius has spent more money on its system, it needs 6.5 million to 7 million customers to break even. At the 5 percent penetration level — 10.6 million customers — the return on investment hits 30 percent a year.
"The economics of the business model essentially reduce the fundamental investment decision-making process to a single variable," Carmichael concluded: Will listeners pay about $10 a month for radio services?
Though analysts have pushed back their estimates of the satellite broadcasters' growth and stressed that the stocks are going to be highly volatile until the business becomes established, they still strongly recommend both stocks.
The problem for the stocks right now is the market.
"The macroeconomics have been bad out there," Panero said.
"Terrible," Sirius's Wilsterman agreed.
"Obviously the market overreacts now to any negative news," said Strategis analyst Hamilton. "I look at these stocks today and say, 'They're at a great price. There's nothing in the technology that can't be surmounted.' "
early-DID YOU NOTICE THIS FROM THE ARTICLE: "Though XM-compatible radios will be available in 2002 model Cadillac Seville and DeVille sedans, analysts don't expect widespread availability of satellite radios in new cars until the 2003 model year."
REMEMBER THIS:
http://www.investorshub.com/boards/read_msg.asp?message_id=93718
EDIG ON WHEELS- you could be driving around with e.digital inside if you want:
2001 Cadillac Seville
By Jill Amadio
Beneath a familiar skin, uncharted e-territory.
You don't think that the 2001 Cadillac STS (Seville Touring Sedan) is a car, do you? There's no such thing as mere four-wheels-and-an-engine transportation these days, especially around the lofty altitudes of the top luxury models like the Seville.
The next STS - outwardly little changed from the 2000 model but internally a jaw-dropper - is a rolling center of magical hi-tech computer technology. It's an e-vehicle, a computer on wheels. No longer a mere sedan, it's also an intimate friend with whom you can converse, and seek comfort and counsel on your lonely commutes.
We spend a total of about 500 million hours a week in our vehicles - more than some of us devote to eating, though at least by fueling our bodies we're doing something useful other than just sitting. Putting driving time to work for us so we can be more productive has become a favorite function that automakers are continually exploring. It's not enough to chat idly on the car phone in traffic. We can now also work - and Cadillac is in the forefront of this trend.
The mother of all motherboards
With a complete overhaul and redesign back in 1998, the 2001 STS's body styling and interior needed no changes except for a sport option package that includes larger wheels. This Seville still houses the fast, Northstar-engined powerhouse that leads America's luxury brands.
Infotainment integrates a computer, a navigation system, CD-ROM and radio functions. However, recognizing the hazards of having to dial up manually and read a display screen, Cadillac won't allow you to use some of these splendid advances while you're barreling down the highway. You must be parked. But you will be permitted to listen while driving, and that's where the new STS triumphs. Silken tones will tell you how your own specific stocks are doing, what the latest basketball score of your hometown team is, and will also read your e-mail to you until you have time to stop and download it yourself. All you have to do is program the Bose Infotainment software and you get personalized information.
Since the system is voice controlled, you can dock your portable cell phone and allow cell phone control via voice recognition or use the front panel keypad on the dash. To store your e-messages after you've listened to them, an infrared port connects your handheld device, personal organizers or Palm Pilots to exchange data with the system. The CD-ROM drive plays music CDs, reads CD-ROM map info and can be upgraded with additional software.
The Infotainment system also has a voice memo recorder so you can dictate notes and play them back later, as well as transfer them to your PDA to transfer to a desktop PC. One of the neatest features is that you can bark commands in the general direction of the dashboard to activate the system and receive, in return, location directions that are read to you as well as displayed on-screen. Yes, you can watch the color maps as you drive, but if you want to multi-task, as the nerds say, the e-mail and Web browser are safely disabled until your car's wheels stop rolling.
Okay, we're not finished with all this hi-tech stuff yet. New in the OnStar system for 2001 is Virtual Advisor. Although Cadillac introduced this telematics system three years ago in the 1997 models, the new feature answers the call for coddling our egos. If you don't want the same kind of information everyone else has, you can punch in your own preferences and get exact, exclusive hands-free feedback tailored to your own wishes. You can select news, for example, only about French railroad strikes, the latest prices on your five NASDAQ stocks (good luck), and college water polo results.
While the new OnStar is standard equipment in all 2001 STS models and gives you a free one-year premium service subscription, the Infotainment system is an option that's included in a special sport package. No price for it has been announced yet. [ now has price: 1SD STS Luxury Package (STS) Price Includes Bose 4.0 AM/FM stereo radio with CD and cassette players, 16" chrome wheels, wood trim package, wood steering wheel, and wood shift knob. NOT AVAILABLE with 1SE, 1SF. $1,687 $1,985 Invoice MSRP]
It drives, too
Included in Cadillac's midsize family alongside the Catera and the Eldorado, the four-door Seville has two 2001 models: the STS and the SLS (Seville Luxury Sedan). The former has a more high performance character and the availability of a sport package that includes 17-inch wheels and tires, a suspension tuned to the tires, tire pressure monitoring and the Infotainment system.
Both models have chassis improvements to reduce understeer, sharper steering response,and a better on-center feel. Our STS test drive took us to Colorado Springs where we dashed around Pike's Peak oval raceway, drove past the Rockies to the town of Pueblo, and charged through slalom courses and wet and dry skid pads. The Seville performed elegantly and competently though one is inclined to expect miracles in the face of overeager hype. In fact, the ride and handling from this heavy, 4000-lb car is excellent and less unwieldy than anticipated during emergency-style maneuvers.
Inside, the comfort zone is high. One of the most interesting features is called Adaptive Seating, which automatically recognizes front passenger positions when you're seated, and adjusts the support system to fit you. Sensors in a network of ten air cells in the seatback and cushions measure internal pressure and adjust the air inside the cells. The system cycles every four minutes as you move in the seat. However, my STS rode so smoothly in testing, it was difficult to detect much difference. The heating in the seats, however, was noted and appreciated in the high country cold.
Another feature I liked was the wiper system, standard on both the SLS and the STS, which automatically activates the wipers in wet weather, saving you from fumbling for a switch in a sudden downpour. Then there's the optional tire-pressure monitor whose sensor sends you a message on the display panel if the pressure is low, high, or okay.
If you're still feeling computer-deprived, you can order your 2001 STS with Night Vision to help you see objects 500 yards down the road in darkness. And don't forget Cadillac's Ultrasonic Rear Parking Assist that uses chimes and sensor lights to help you park.
The Cadillac Seville, by the way, is immensely popular in Bahrain, Israel, Egypt, Qatar, Yemen, Ethiopia, Mali, Senegal, the Virgin Islands and Guam, where it well outsells its stablemates Catera and Deville. How long before infotainment reaches Yemen and Ethiopia? If it's up to Cadillac, not very long, it seems.
Copyright © 2001 - The Car Connection, All rights reserved. The Car Connection is a Trademark of DA Acquisitions, Inc.
http://www.kbb.com/kb/ki.dll/kw.kc.rp?kbb&&11&cc01seville
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The IBM Infotainment system consists of 3 * 12" LCD screens built into the seats of the vehicle in front of the 3 passengers. This gives the passenger access to : radio, audio player, video player (multiple videos with 3 seat cinema mode), fax, phone, e-mail, calculator, satellite mapping, local information, word processing, Web browser, calendar and is controlled by mouse or speech using a specially written version of IBM ViaVoice. The video is based on Mpeg II (DVD equivalent) and passes true 6 channel AC3 digital surround sound audio to the 15 speaker BOSE audio system.
http://houns54.clearlake.ibm.com/solutions/industrial/indpub.nsf/detailcontacts/key_ibm_automobile_n....
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http://ragingbull.lycos.com/mboard/boards.cgi?board=CLB00154&read=18288
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http://ragingbull.lycos.com/mboard/boards.cgi?board=CLB00154&read=18283
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it got delayed from the 2001 models, i expect in 2002 models; i also believe this will all be integrated into Motorola's iRadio
Lernout & Hauspie Anticipates Reorg Vote
By boston.internet.com Staff
Lernout & Hauspie's (L&H) creditors are poised to accept a reorganization plan allowing the embattled speech technology firm to sell key assets to satisfy at least a portion of its $600 million debt, according to European media reports.
The move would mark an important step for the company, which is desperately trying to regain its footing after an accounting scandal eroded $10 billion in shareholder value, toppled execs and spawned numerous fraud investigations.
L&H has joint headquarters in Ieper, Belgium and Burlington, Mass.
During intermission of a creditors' meeting, L&H CEO Phillippe Bodson told a Belgian TV he was glad the plan was moving forward. The official vote by L&H's 370 creditors (the largest of which are Belgian banks) will be announced later today. It would still require court approval.
The company is reorganizing under bankruptcy protection in the United States, Belgium and South Korea. Earlier this year, it brought in Bodson, a turnaround artist, to lead the effort.
As crucial as a positive vote would be for the company's reorganization, it would also provide a sorely needed PR boost. The latest news about the company was not positive.
Two weeks ago, U.S. Marshals arrested former L&H CEO Gaston Bastiaens and are holding him in a Rhode Island jail without bail while Belgian authorities try and extradite him to face fraud charges.
Although L&H would likely emerge a much smaller company with fewer technology assets under the plan, at least it would give Bodson & company a chance at survival.
June 5, 2001
Intel inches into handheld market
By Richard Shim
Special to CNET News.com
June 5, 2001, 11:15 a.m. PT
Intel may be in the unfamiliar position of trying to break into a chip market, but new deals with handheld computer makers indicate the company may be firming up its foothold in this niche.
The chipmaking giant already has a small but solid position in the mobile device market. Its StrongARM processor is at the heart of two handhelds using Microsoft's Pocket PC operating system--Compaq Computer's iPaq and Hewlett-Packard's Jornada--and is in several cell phones and Web-surfing appliances.
Intel has been trying to mount a more serious challenge against current market share leader Motorola, whose Dragonball processor is found in about 75 percent of handheld computers.
StrongARM is a family of processors specifically aimed at handheld devices. Digital Equipment and Advanced RISC Machines--now known as ARM Holdings--initially developed StrongARM; but in 1997, Intel acquired the chip, along with Digital Equipment's Hudson, Mass., chipmaking plant in a patent suit settlement with the company.
Intel's StrongARM chips provide handheld makers with enough horsepower to tackle multimedia applications, such as playing downloaded audio and video, which analysts believe will be the next frontier for handhelds.
Several handheld manufacturers are already lining up and committing to Intel not only for its chips, but also its marketing muscle.
On Monday, Intel said Sharp will use a StrongARM processor in its upcoming handheld, which will use the Linux operating system. Sharp would not comment, other than to say final specs will be announced in the fall.
In addition, Acer is expected to use a StrongARM processor in its upcoming handheld, which will use the Palm operating system.
"Motorola is in definite danger of finding itself with some stiff competition for the first time and that could get worse if Palm jumps ship," IDC analyst Alex Slawsby said.
Motorola's trump card has been that it counts No. 1 handheld maker Palm as a customer. However, Palm has announced that it will transition its products to ARM-based technologies. Palm has not publicly announced which ARM-based chip it will use, but sources say the company is favoring Intel's StrongARM processor.
At the same time, Motorola is planning to intregrate ARM's processor core into future Dragonball chips to handle the multimedia features in upcoming Palm OS-based devices.
However, Intel is also planning an update of its own. The Santa Clara, Calif.-based chipmaker will update StrongARM this year with its next-generation processors for handheld devices called XScale.
XScale processors are expected to reach higher clock speeds using less power than StrongARM processors. Current StrongARM processors run in the 200MHz range. Intel has not announced clock speeds for the XScale processors, but the company has demonstrated it at 1GHz.
On Wednesday, June 27, Intel's Executive Vice President Michael Splinter, will address the TECHXNY crowd in a talk entitled "New Priorities, New Solutions." Within the course of a few short years, the Internet has gone from representing just a challenge that must be addressed to representing the very fabric of commerce. This realization is spurring companies to adapt their infrastructure to meet emerging business priorities that include providing tighter links to customers and partners, improving operational flexibility and speeding response time. These changing business priorities call for a new approach for enterprise computing in the Internet Age. Drawing on his experiences as Executive Vice President at one of the world's largest e-businesses, Mr. Splinter will demonstrate, utilizing a wide variety of new technology, how this approach delivers pervasive and flexible solutions to meet your business needs.
Mike Splinter is Executive Vice President for Intel Corporation. Prior to this position Mike was Executive Vice President and General Manager of the Technology and Manufacturing Group responsible for all technology and manufacturing operations worldwide. Splinter joined Intel in 1984 as Manager of Fab 1 in Santa Clara, Calif. He then managed California Technology Development during the start up of Intel's first 1 Mb EPROM. Since 1988, his efforts and energies have been focused on leading the component manufacturing operations through the volume growth of the 90s. Splinter was elected a vice president of the corporation in 1993 and assumed the role of Assistant General Manager of the Technology Manufacturing Group in October 1996. He was promoted to Senior Vice President in January 1999.
Murgirl- I predict that we will see a MTV branded digital audio player using an e.digital reference design. I will go further and say this very well may be the first major design win for QDesign/edigital's player and will come out this summer. I realize the likelihood of a MTV branded RIO as well. MTV could try both.
What are the reasons for such a prediction:
1]Texas Instruments and QDesign Announce Enhanced Digital Audio Music Storage Design for Portable Players
New Reference Design to Offer Users Five Times More Storage Capacity
July 13, 1999 Texas Instruments and QDesign Corporation today announced an agreement to pair TI's world-leading programmable digital signal processors (DSPs) with QDesign's advanced Music Codec. The design will give consumers the ability to create and store up to five times more music on portable audio players while maintaining high audio fidelity. TI, the world leader in DSP and analog, will deliver a hardware design using the industry-leading programmable, low-power TMS320C5000 DSP, which QDesign will use to support the recording, storage and playback of QDesign Music files. QDesign's music application will allow users to encode their favorite music from audio CDs to both MP3 and QDesign Music files. Users also may convert MP3 audio files to smaller QDesign Music files for longer playback time on both desktop computers and TI DSP-based portable audio devices.
QDesign developed the QDesign Music Codec to deliver the highest quality audio at the lowest possible data rates. Apple Computer, Inc. has adopted the new generation audio coding technology as the audio compression solution for QuickTime 4, the industry standard for web-based audio and video streaming.
Apple's QuickTime 4 is integral to the TI - QDesign reference design. With this new platform, QuickTime is used as the architecture to download music files from the Internet, store them and play them back.
2]RioPort partners with QDesign for MP3
July 16, 1999
QDesign Corporation, a developer of digital audio compression technologies for on-line music and new media announced today that RioPort Inc., a wholly owned subsidiary of Diamond Multimedia, has selected its implementation of MP3 technology for integration into its portfolio of future RioPort software products. "QDesign is one of the most innovative providers of audio compression technologies," said Don Spencer, director of engineering for RioPort, in a press release. "Our technology partnership with QDesign ensures that the RioPort products continue to benefit from the latest advances in on-line digital audio." The first of RioPort's products to include the QDesign MP3 technology is the Rio Audio Manager software application, designed to enable users to easily search for and acquire, create, organize and playback their favorite music or spoken audio programming.
3]MTV buys into Diamond's RioPort MP3 player
20 Jul 1999
MTV Networks Online, a division of Viacom has signed a deal with Diamond Multimedia Systems subsidiary RioPort to deliver digital music over the Internet. The deal calls for the two companies to distribute and sell digital music across MTV's properties, which include MTV.com, VH1.com, Nick.com, SonicNet and the upcoming Buggles Project site. The companies expect to have downloads ready this fall.
RioPort will created branded online audio players for each of MTV's sites, all of which will support RioPort technology platforms. MTV will also have access to RioPort's catalog of SDMI-compliant licensed music. "Our audience demands and expects that we help them download music. RioPort provides us with the opportunity to be able to do so in a secure and easy way that is SDMI compliant," MTV Networks Online president Fred Seibert said in a release. "With this agreement, RioPort is our private label download solution, aggregating content, providing music management software, and licensing and marketing the production of consumer hardware devices."
[at this time, rioport was still a subsidiary of Diamond Multimedia-- therefore the RIO would be the likely player.]
4]S3 splits Diamond into hardware, Net units
Setting its sights on an initial public offering, digital music distributor RioPort gets a $30 million infusion, spinning off from its parent company, graphics chipmaker S3.
October 26, 1999
5]QDesign Music Codec is the audio compression solution for users of QuickTime by Apple Computers
November 2, 1999 - e.Digital Corporation announced today that it will support QDesign Music playback in e.Digital's portable Internet music player design. The QDesign Music technology is the award-winning audio compression solution for QuickTime 4, Apple Computer's cross-platform (Mac OS and Windows) architecture for digital media creation and delivery. The QDesign Music Codec is a new generation audio coding technology that was designed to deliver the highest quality audio at the lowest possible data rates. Encoded in the QDesign Music format, consumers can include up to 2.5 hours of music on portable audio players equipped with 32MB storage. To enable consumers with the ability to encode in the QDesign Music format, QDesign announced last week the release of MVPO, the Company's new digital music software that allows music libraries to be created in both MP3 and QDesign Music formats. As the first cross-platform digital music system, MVP will enable both Mac and Windows users the ability to playback all popular digital audio formats (CD Audio, AIFF, WAV, and others), as well as, most digital music videos available on the Web and enhanced CDs.
6]E.DIGITAL AND RIOPORT, INC. COLLABORATE TO DEVELOP SEAMLESS, SECURE INTERNET MUSIC DELIVERY SYSTEM
January 6, 2000 - e.Digital Corporation announced an agreement with RioPort, Inc., a pioneer in the digital audio download market, to integrate RioPort's secure digital audio platform with e.Digital's Internet music player design. As a result, e.Digital will be able to provide portable hardware manufacturers with a secure, licensable solution for seamlessly delivering digital audio content to consumers.
7]QDesign selects e.Digital portable internet music player design for showcase product
Custom Music Player to Demonstrate the New QDX Codec for Digital Music to Executives in Music and Electronics Industries
August 1, 2000 - e.Digital Corporation announced today that it has been contracted by QDesign Corporation to create and deliver special edition portable digital music players incorporating a Texas Instruments DSP and featuring the QDesign QDX scalable music compression format. The special edition QDX / MP3 digital audio player is expected to be delivered to QDesign by the end of August and will be used to showcase the new QDX technology to leading members of the digital music industry.
The new QDX format is a next generation technology to MP3 that makes digital music easy for consumers and content providers alike. Storing up to an entire audio CD in 16MB flash, QDX provides higher compression and audio quality than MP3. To heighten and simplify the digital music experience for consumers, QDX offers a unique Fit-To-Media™ function that allows all QDX encoded audio to be dynamically and automatically scaled to fit in portable audio players . This combination of scalability and audio quality eliminates consumers' need to understand bit rates, sample rates or file size; users simply click-and-drag a chosen playlist to the device for playback - one single file provides absolute portability.
To simplify digital music for content providers, QDX also features Fit-To-Stream™ for optimal Internet or wireless delivery. Fit-to-Stream™ allows QDX encoded music to be dynamically adapted to fit available bandwidth during streaming or network delivery, guaranteeing the consumer the highest possible quality of service. Fit-to-Stream™ allows music distributors to provide on-demand, customized access to content by music subscribers wherever they are and at the best possible quality and brings unprecedented flexibility in music downloading and streaming options.
"QDX was officially launched at the Jupiter Plug.In conference last week and we received some tremendous feedback," says Richard J. Beaton, President and Chief Technology Officer of QDesign Corporation. "The QDX/MP3 Digital Audio Player designed by e.Digital will showcase the quality and flexibility of our technology to those industry leaders who are creating music, innovating on new content distribution models and defining the future of digital music."
8] In addition to bringing remarkable compression quality and user convenience features to digital music, QDX offers enhanced format security to copyright owners by integrating encryption and watermarking that prevents access to content by unauthorized players. QDX is designed for SDMI compliance and is compatible with the InterTrust's MetaTrust Utility ™ and other industry-approved digital rights management/copyright protection measures. For more detailed technical information, the QDX White Paper is available at the company's website located at www.qdesign.com.
9]InterTrust and Diamond Multimedia's RioPort Division Partner in Digital Rights Management for MP3 Music Portables
Supports New Portable and Dynamic Music Distribution Models
April 26, 1999 - InterTrust Technologies Corporation, the MetaTrust Utility™, and Diamond Multimedia Systems, Inc.'s RioPort division announced today a strategic partnership to use InterTrust® digital rights management (DRM) technology in RioPort's line of MP3 portable devices. The RioPort-InterTrust agreement will enable a new generation of secure, portable and dynamic music distribution models. InterTrust and RioPort, as members of the Secure Digital Music Initiative (SDMI), will continue to work with the music industry to offer solutions for the secure delivery and use of digital music.
10]RioPort Service Delivers Music to Devices
Digital audio platform developer RioPort is testing a service that delivers secure music directly to audio players and cell phones. RioPort will provide the service to consumer electronics and Internet appliance makers, and online retailers as part of its downloadable music platform. The service would prevent unauthorized redistribution of music by delivering tracks to devices; the tracks bypass the user's PC and cannot be passed along to others. Labels including A&M Records, Dreamworks Records, Priority Records and Moonshine Music are providing promotional tracks for trials of the service. RioPort has digital distribution deals in place with all five major label groups; MTV is integrating RioPort's platform to sell downloads through its streaming audio sites.
11] MTVi download service
Cable music outlet MTV's online unit plans to team with streaming music device maker RioPort.com Inc. to offer paid music downloads through affiliated radio sites Radio MTV.com and VH1at Work Radio.com.
Under the deal, RioPort's existing PulseOne Media Service platform will gather content plus provide the software application and technology for the online service. At the same time, PulseOne can boast that it is the first service to have forged deals with all of the Big Five labels--Bertlesmann's BMG Entertainment, EMI, Sony Music Entertainment, Universal Music Group and Warner Music Group. Starting this month, the service will offer some 8,000 titles from the major labels and a couple thousand titles from independent labels, according to RioPort CEO Jim Long
RioPort grows licensee list
By: Tony Smith
Posted: 24/07/2000 at 15:37 GMT
S3's scheme to establish its Rio system as the dominant MP3 playback platform moved a step or two forward when the company's spun off RioPort subsidiary announced a series of technology licensing deals with other digital music players.
Samsung and lesser known Korean OEMs Sewon Telecom and Human Information Technology (HIT) have all agreed to use RioPort's Music Device Manager (MDM) and Audio Manager software in their digital music hardware. Samsung will incorporate the code into its already-launched Yepp player. Sewon will use it in upcoming own-brand "SDMI-compliant audio players".
HIT will use the technology with its unfortunately-named C@MP CP-UF64 player, a device that allows regular cassette players to play digital music tracks that is due to launch later this week. It also works as a standalone player.
RioPort today took MDM to version 2.0, adding support for Microsoft's Window Media Player 7.0. MDM provides a framework allowing PC-based music playback software and portable music players to work together, and handle multiple music formats and security systems.
At the same time, online companies Bolt and Nifty said they will licence RioPort's Pulse One digital music download service. Pulse One content will be pumped out through Japan-based Nifty's @nifty Web site and Bolt's teen-oriented chat site. They've also signed up for branded versions of RioPort Audio Manager.
Bolt and Nifty join the likes of MTVi, House of Blues and the Ministry of Sound as what are effectively resellers of RioPort's online content. ®
rstring--i believe Jimee11 wrote this in Jan. 2000. you can ask him on RB.
RIOPORT TO DEMONSTRATE DIGITAL AUDIO HOME ENTERTAINMENT SYSTEM OF THE FUTURE AT CES 2000
SAN JOSE, Calif. -- Jan. 6, 2000 - Ushering in a new era in home audio entertainment, RioPort Inc., a pioneer in the digital audio download market, today unveiled a conceptual design of a next generation home audio entertainment system at CES 2000 (LVCC, North Hall 3-4 -- Booth 6338/6340). Designed to access, store and playback Internet-downloaded digital music and spoken audio files, as well as existing music CD collections, RioPort's technical demonstration provides showgoers with an exciting look at how consumers will enjoy digital audio in non-PC environments in the near future.
RioPort's conceptual rack system has the appearance of stand-alone stereo equipment, requiring no PC hook-up, mouse or keyboard. A large LCD display lets the user view song and audio content titles, lyrics, the name of the musician or author, playback status and more. System controls are designed similar to other home entertainment components, making it very easy to use. Additional features may include a CD player, removable memory drive and a modem or DSL connection port. The rack system is capable of storing thousands of songs and audio files which the user can listen to through connected speakers, a home network or a portable player device.
"With the engineering of this innovative home audio technical demonstration, RioPort is utilizing its expertise to bring the Internet phenomenon that has taken the world by storm into the home space," said Anthony Schaller, chief technology officer for RioPort, Inc. "RioPort has been working on this concept for the last 12 months, having recognized early on that in order to grow the market, music and custom audio services must be available to consumers in a format that they are used to -- on stereo-like systems in a non-PC environment. Coupled with our experience in secure content delivery, we believe that we are well positioned to provide enabling technology and services to consumer electronics manufacturers."
RioPort does not intend to produce this conceptual demonstration. Instead, as part of its ongoing strategy to provide business-to-business services to other digital audio companies, RioPort will work with potential OEM partners to provide engineering expertise, design services, imbedded software to enable functionality for secure download delivery to other devices (such as a portable player), content, e-commerce and subscription functions.
RioPort, Inc.
RioPort, Inc. is redefining digital audio by delivering an integrated, secure platform for acquiring, managing and experiencing music and spoken audio programming from the Internet. A pioneer in the digital audio market, RioPort partners with companies to provide them with an easy-to-use platform that includes access to a wide range of digital audio content, customizable software solutions and device design services. For consumers, RioPort provides easy access to a variety of popular and innovative music and word programming through its RioPort.com digital audio gateway site. In addition, RioPort markets the RioPort Audio Manager, an easy-to-use jukebox application for the acquisition, management and playback of digital audio content from the desktop or RioPort compatible portable appliances, which the company licenses to third-parties. RioPort also provides content companies with production services, including encoding and secure packaging, allowing them to easily get their content into the hands of digital audio enthusiasts. RioPort's investment partners include Vulcan Northwest, Oak Investment Partners, MTV Networks Online and S3, Inc. RioPort's Web site is at www.rioport.com.
Digital Music Combat And the Winner Is?
by Jim LaBoda, Evening MBA
jimeell@hotmail.com
My article last week discussed the underlying problem that many of the Original Equipment Manufacturers (OEMs) will face when attempting to provide a seamless solution for potential customers. The issues these OEMs will face include support for multiple CODECs (Compression/Decompression) formats and Digital Rights Management (DRMs) solutions. Each and every OEM must be able to handle all these respective formats. Why should these OEMs have to adhere to supporting all these potential combinations of solutions?
The main reason is that the Record Labels will support multiple CODECs and multiple DRM solutions. It is speculated that each Record Label will have their own combination of solutions for digitizing and transmitting their digital music to consumers across the Internet. The recent merger of entertainment giant Time Warner and American Online has accelerated the blossoming of the digital music infrastructure. EMI entered the fray as well recently by aligning themselves with the Time Warner and AOL merger. Speculation has already arisen that AOL will attempt to develop and implement yet another CODEC format. According to Jesse Berst, Editorial Director for ZDNet AnchorDesk, "What has changed is we're much more vulnerable now to a proprietary play by AOL. The competing standards fray now has AOL in the mix. Expect AOL to introduce its own proprietary standard that it will try to force on the world." What does this example mean to OEMs who are attempting to build digital music players for consumers?
These OEMs must be capable of supporting all the current CODEC/DRM solutions and the emerging ones including the potential Time Warner/AOL one. According to Jesse Berst, Editorial Director for ZDNet AnchorDesk, "Our best hope to solve this digital music mess? An emerging software solution that will support a whole bunch of digital music formats." One such company that appears to have a lead for solving this problem is a company called e.Digital.
According to e.Digital's Profile, "e.Digital's specialty is developing computer-compatible OEM products utilizing its patented MicroOS™ flash memory file management system. The company provides turnkey solutions for major OEM's connecting portable digital recording devices to the Internet and local networks." The MicroOS flash memory file management system is a solution that is capable of supporting multiple CODECs and multiple DRM solutions for OEMs that are deciding to participate in the emerging digital music market. In a press release from e.Digital, dated April 21, 1999, "e.Digital Corporation announced today that it is working with Lucent Technologies on the development of a new handheld device for listening to downloaded music from the Internet." e.Digital has aligned themselves with another company attempting to provide an open standard solution for the digital music player market Texas Instruments.
Texas Instruments has developed a programmable Digital Signal Processor (DSP)-based solution for implementation of the newly defined Secure Digital Music Initiative (SDMI) standards. The Texas Instrument programmable DSP has been designed to support any and all CODECs and DRM solutions from the hardware perspective. This will provide perspective OEMs the opportunity to design portable digital music players that can implement all format combinations and thus free the consumer from these problems. However, the programmable DSP from Texas Instruments solves this problem from the hardware level. Another problem results from the software standpoint. Essentially, how will these OEMs handle the digital content to and from flash memory for all known CODECs and DRM solutions?
According to Fred Falk, CEO of e.Digital Corporation, "Using TI's DSPs, we provide OEMs a quick-path to market with our MicroOS(TM) file management system interfacing with SanDisk's Compact Flash." Fred Falk further states, "Just as Liquid Audio supports multiple music formats, we use TI's DSPs and our software to recognize and play a range of secure audio formats." The integration aspects of the MicroOS seem to handle the potential OEM problems that are proliferating the development and interoperability of a multiple CODEC and multiple DRM solution.
e.Digital has announced multiple partnerships with companies that are providing software solutions and hardware solutions in the digital music market such as Lucent Technologies, SanDisk, Lydstrom, RioPort, QDesign, and Liquid Audio to name a few. Many of these companies have recited the statements that e.Digital is providing and excellent solution for management of multiple CODECs and multiple DRM solutions for the digital music market. The company recently announced a deal with Maycom Corporation where e.Digital will license its portable Internet music player design to Maycom. According to a January 5, 2000 press release from e.Digital, "Maycom will incorporate e.Digital's reference design into their third-generation music player which will support multiple music codecs including ePAC, AAC, WMA, and MP3 and will also support various Digital Rights Management (DRM) schemes." Another key aspect of the e.Digital reference design and their MicroOS is its ability to support multiple flash memory standards. The press release from e.Digital further states, "Different models of the player will be able to utilize SanDisk's CompactFlash™, SD Cards™ or Multimedia Cards." If e.Digital's MicroOS is the "holy grail" for the integration of multiple CODECs and DRM solutions, when why haven't other OEMs approached them for assistance?
The essential problem has been the lack of cohesiveness amongst the Record Companies and the Technology firms that are part of the Secure Digital Music Initiative committee. Until this committee has finalized standards, many of the high-profile OEMs such as Panasonic will wait until a final standard has been produced before they proceed. The end result is still a digital music player that is capable of supporting multiple CODECs and DRM solutions. In essence, these OEMs want to finalize support for these software solutions before proceeding further.
According to a recent shareholder letter from Fred Falk, "The design uses secure media allowing SDMI compatibility and can be upgraded via software downloaded from the Internet to support future music formats and Digital Rights Management (DRM) schemes." Fred Falk further states "We are also working closely with major record labels to make sure that our player design will support their content as soon as it becomes available." If the solution by e.Digital reduces the complexity for development of a multiple CODEC and DRM digital music player, the company may have just delivered the "holy grail" for the digital music world.
Subscription Music Symphony
Flurry of announcements point to pay-to-play world
By Karen Brown
from the April 16, 2001 issue of Broadband Week
In true accelerated Internet time, a subscription music renaissance blossomed with the coming of Spring. During a three-day period this month, a quartet of online distribution announcements from major media players allied with top record labels made noise in the music industry. If the services can find market traction, it may signal the Enlightenment of pay-to-play and the Dark Ages for free music file-sharing services such as Napster.
MusicNet
First out of the chute was RealNetworks, which announced an online music subscription service in partnership with three top record labels--EMI Group plc, Bertelsmann AG and AOL Time Warner Inc.
The deal calls for each to take a minority stake in MusicNet, a Real subsidiary that has been up and running for about a year. Now it will become an independent company, with Real retaining 40 percent ownership and remainder split between AOL Time Warner, Bertelsman and EMI.
MusicNet will operate as a wholesaler, offering online portals a license to offer the service as a private label platform--and that includes a stable of licensed music from record labels and the purchasing and billing technology to drive the service. Not surprisingly, the first two distribution deals are with Real and AOL.
RealNetworks CEO Rob Glaser will serve as interim CEO, while retaining his duties at Real. Glaser says gaining the support of the record labels as direct owners was an important step in the evolution of digital music distribution.
"The goal of MusicNet is something we have been thinking about and working (at) for a very long time--to make the dream of digital music subscription service into a reality," Glaser says. "We think now that the combination of streaming media and download on demand is really poised to take off."
Strong evidence can be found in the 175,000 paying customers MusicNet has already racked up. "It has demonstrated consumers will pay for value-added content when it is priced and packaged in an attractive way," Glaser says.
With three of the "Big Five" record labels on board, Glaser says the goal now is to gather support from the rest of the music industry. Music Net will also try to build its stable of distribution partners beyond its parents.
The distribution partner list may also include Napster, if the embattled music file sharing site can satisfy federal regulators and the music industry as to security and copyright protection for the titles it distributes. "In a way, Napster is an important example ... in that we want to sign up as many content partners as possible," Glaser says.
MSN Music
Not to be outdone, RealNetworks streaming rival Microsoft Corp. has unveiled a beta version of its new streaming music service. Called MSN Music, the service stems from the software giant's September acquisition of Mongo Music.
MSN Music will allow listeners to tap 20 music style groups and 200 sub-style groups. Guided by "Groovers"--virtual DJs specializing in particular genres--listeners can choose programming formats ranging from classical to hard rock and adjust the lineup to feature specific artists. It uses "sounds like" technology to help users try new music based on the musical attributes of songs they already like--such as tempo or acoustic instrumentation. The site also will provide biographies and music information on artists and links to music e-tailers.
The free service will depend on advertising revenue, but it isn't your standard banner ad. MSN will add an ad to the lineup after every fourth song, with a maximum of eight ads in a two-hour period. Eventually, plans are to create a premium pay service allowing users to program individual songs for replay.
MTVi download service
Cable music outlet MTV's online unit plans to team with streaming music device maker RioPort.com Inc. to offer paid music downloads through affiliated radio sites Radio MTV.com and VH1at Work Radio.com.
Under the deal, RioPort's existing PulseOne Media Service platform will gather content plus provide the software application and technology for the online service. At the same time, PulseOne can boast that it is the first service to have forged deals with all of the Big Five labels--Bertlesmann's BMG Entertainment, EMI, Sony Music Entertainment, Universal Music Group and Warner Music Group. Starting this month, the service will offer some 8,000 titles from the major labels and a couple thousand titles from independent labels, according to RioPort CEO Jim Long.
"It's a pretty cool first step, not Nirvana, but a pretty good first step," Long says. "We're talking 10,000 tracks and we want to get to 100,000 as soon as we can. That's going to take some time, but once you start getting up to that level now you are beyond the local record store, whereas right now we are not as good as the local record store."
Prices will range from 99 cents to $2.49 for singles and from $9.99 to $17.99 for albums.
Yahoo! Chimes in
And finally, Yahoo! announced the same week it would become a distributor for the Duet online digital music subscription service. Duet is a joint project between Universal Music Group and Sony Music Entertainment due to launch this summer.
Along with offering music titles on a subscription basis, Duet will allow users to compile personal playlists and share them with other Duet users. The plan is to start with streaming media format first and add a download service soon after. No pricing for the titles or playlist services has been set.
The service will not be limited to just Sony and Universal playlists; Duet will seek deals with other record labels.
This flurry of subscription music announcements has fueled speculation that the Napster days of free music on the Web are over. RioPort's Long thinks that demise may be greatly exaggerated.
"Let's face it, there is going to be music swapping and stealing and free music ... that's going to be around forever," Long says. "But as far as is that going to be the predominant way that kids and other consumers get music? No, there is no question that will not be the predominant way. Today on the Internet it is definitely the predominant way, and I think obviously we are betting and there are telling reasons why in some amount of time--a year from now or whatever--it won't be the predominant way even on the Internet."
Subscription Music Symphony
Flurry of announcements point to pay-to-play world
By Karen Brown
from the April 16, 2001 issue of Broadband Week
In true accelerated Internet time, a subscription music renaissance blossomed with the coming of Spring. During a three-day period this month, a quartet of online distribution announcements from major media players allied with top record labels made noise in the music industry. If the services can find market traction, it may signal the Enlightenment of pay-to-play and the Dark Ages for free music file-sharing services such as Napster.
MusicNet
First out of the chute was RealNetworks, which announced an online music subscription service in partnership with three top record labels--EMI Group plc, Bertelsmann AG and AOL Time Warner Inc.
The deal calls for each to take a minority stake in MusicNet, a Real subsidiary that has been up and running for about a year. Now it will become an independent company, with Real retaining 40 percent ownership and remainder split between AOL Time Warner, Bertelsman and EMI.
MusicNet will operate as a wholesaler, offering online portals a license to offer the service as a private label platform--and that includes a stable of licensed music from record labels and the purchasing and billing technology to drive the service. Not surprisingly, the first two distribution deals are with Real and AOL.
RealNetworks CEO Rob Glaser will serve as interim CEO, while retaining his duties at Real. Glaser says gaining the support of the record labels as direct owners was an important step in the evolution of digital music distribution.
"The goal of MusicNet is something we have been thinking about and working (at) for a very long time--to make the dream of digital music subscription service into a reality," Glaser says. "We think now that the combination of streaming media and download on demand is really poised to take off."
Strong evidence can be found in the 175,000 paying customers MusicNet has already racked up. "It has demonstrated consumers will pay for value-added content when it is priced and packaged in an attractive way," Glaser says.
With three of the "Big Five" record labels on board, Glaser says the goal now is to gather support from the rest of the music industry. Music Net will also try to build its stable of distribution partners beyond its parents.
The distribution partner list may also include Napster, if the embattled music file sharing site can satisfy federal regulators and the music industry as to security and copyright protection for the titles it distributes. "In a way, Napster is an important example ... in that we want to sign up as many content partners as possible," Glaser says.
MSN Music
Not to be outdone, RealNetworks streaming rival Microsoft Corp. has unveiled a beta version of its new streaming music service. Called MSN Music, the service stems from the software giant's September acquisition of Mongo Music.
MSN Music will allow listeners to tap 20 music style groups and 200 sub-style groups. Guided by "Groovers"--virtual DJs specializing in particular genres--listeners can choose programming formats ranging from classical to hard rock and adjust the lineup to feature specific artists. It uses "sounds like" technology to help users try new music based on the musical attributes of songs they already like--such as tempo or acoustic instrumentation. The site also will provide biographies and music information on artists and links to music e-tailers.
The free service will depend on advertising revenue, but it isn't your standard banner ad. MSN will add an ad to the lineup after every fourth song, with a maximum of eight ads in a two-hour period. Eventually, plans are to create a premium pay service allowing users to program individual songs for replay.
MTVi download service
Cable music outlet MTV's online unit plans to team with streaming music device maker RioPort.com Inc. to offer paid music downloads through affiliated radio sites Radio MTV.com and VH1at Work Radio.com.
Under the deal, RioPort's existing PulseOne Media Service platform will gather content plus provide the software application and technology for the online service. At the same time, PulseOne can boast that it is the first service to have forged deals with all of the Big Five labels--Bertlesmann's BMG Entertainment, EMI, Sony Music Entertainment, Universal Music Group and Warner Music Group. Starting this month, the service will offer some 8,000 titles from the major labels and a couple thousand titles from independent labels, according to RioPort CEO Jim Long.
"It's a pretty cool first step, not Nirvana, but a pretty good first step," Long says. "We're talking 10,000 tracks and we want to get to 100,000 as soon as we can. That's going to take some time, but once you start getting up to that level now you are beyond the local record store, whereas right now we are not as good as the local record store."
Prices will range from 99 cents to $2.49 for singles and from $9.99 to $17.99 for albums.
Yahoo! Chimes in
And finally, Yahoo! announced the same week it would become a distributor for the Duet online digital music subscription service. Duet is a joint project between Universal Music Group and Sony Music Entertainment due to launch this summer.
Along with offering music titles on a subscription basis, Duet will allow users to compile personal playlists and share them with other Duet users. The plan is to start with streaming media format first and add a download service soon after. No pricing for the titles or playlist services has been set.
The service will not be limited to just Sony and Universal playlists; Duet will seek deals with other record labels.
This flurry of subscription music announcements has fueled speculation that the Napster days of free music on the Web are over. RioPort's Long thinks that demise may be greatly exaggerated.
"Let's face it, there is going to be music swapping and stealing and free music ... that's going to be around forever," Long says. "But as far as is that going to be the predominant way that kids and other consumers get music? No, there is no question that will not be the predominant way. Today on the Internet it is definitely the predominant way, and I think obviously we are betting and there are telling reasons why in some amount of time--a year from now or whatever--it won't be the predominant way even on the Internet."
NEW DIRECT-TO-DEVICE SERVICE - RioPort, Inc., a leading music application service provider (ASP), launched its new Direct-to-Device (d2d) Service, a first-of-its-kind service utilizing patent-pending technology that maintains the protected delivery of digital music downloads for playback exclusively on secure and authenticated non-PC devices, such as portable digital audio players and enabled cellular phones. RioPort¹s d2d Service provides record labels with unique merchandising, promotion and pricing opportunities for electronic music delivery, while protecting their content from unauthorized re-distribution by bypassing the PC and downloading music directly to secure and authenticated devices. For device manufacturers, RioPort¹s d2d Service delivers a strong value-add by enabling music downloads specifically for their customers. RioPort will begin offering its d2d Service as part of its industry-leading PulseOne Media Service to consumer electronics and Internet appliance manufacturers immediately. For more information visit RioPort.com.
FIRST WIRELESS MP3 PLAYER - Evolution Technologies, an emerging digital audio MP3 gear provider, has teamed up with RollingStone.com to give music fans their first chance to own the breakthrough audio product of the year: the Evolution NeckPhone - the first wireless digital MP3 player available in the world. Evolution's NeckPhone is compact and ergonomically designed for ease of use. It has no moving parts, no wires and its lightweight construction makes it truly innovative. Its street-smart styling is state of the art. Hands-free convenience and stay-in-place technology allows the listener to wear the NeckPhone virtually anywhere - skiing, hiking, rollerblading, or during any outdoor activity. You Pick the Concert, Evolution and RollingStone.com Get You There! Participants register at RollingStone.com or EvolutionRocks.net for their chance to win a trip to see the concert of their choice and Evolution NeckPhones. Winners will be selected in a random drawing on June 30, 2001. Additionally, everyone who purchases a NeckPhone prior to June 30, 2001 will receive a special a code to get a free month of MP3s from RollingStone.com's sister site, EMusic.com.
RioPort, through its PulseOne Media Service, is now offering a direct-to-device feature for music downloads. RioPort said that labels including A&M, DreamWorks, Priority, Moonshine and others were set to use the d2d feature for promotional tracks. The feature will work for downloading straight to enabled devices including digital music players, set-top boxes, portable and car stereos, certain cell phones and related devices.
RioPort, Inc.
Overview
RioPort, Inc. is a leading digital audio application service provider (ASP), delivering music and spoken audio content
to consumers through a large network of specialized e-tailers in a secure and easy-to-use manner.
RioPort is a pioneer in the digital audio download market, originally developing the first Rio Player with Diamond
Multimedia, and powering one of the first digital audio download Web sites, www.rioport.com. Now independent
from Diamond (who was acquired by S3) and no longer manufacturing portable playback devices, RioPort continues
to lead the digital audio market by working with major content holders and e-tailers to bring the world of digital
content to consumers in a simple and easy-to-use manner.
Through its PulseOne Music ServiceTM, RioPort is a "digital one-stop" for content holders, providing all of the
services necessary to securely encode, package, distribute, manage, sell and host audio content on the Internet. For e-
tailers, RioPort provides content, site design, customized playback software and e-commerce solutions. RioPort also
works closely with music device manufacturers, providing its RioPort Audio Manager jukebox software and Media
Device Manager technologies, allowing for a secure way for applications and devices to recognize and communicate
with each other.
RioPort's complete package of digital audio technology and tools provides a solution that allows for the secure
distribution of top-tier content to consumers, while protecting and compensating artists and publishers.
RioPort's PulseOne Music Service
RioPort's PulseOne Music Service provides all of the online functions and services needed to find, purchase, and
deliver digital music and spoken audio content to consumers over the Internet simply and securely. The PulseOne
Music Service features a 24 x 7 Web content hosting center; a wide catalog of music and spoken audio content; a
network of well-positioned e-tailers; and a secure rights and e-commerce system focusing on a simple, secure
consumer experience. The PulseOne Music Service from RioPort sets the standard for the Internet economy's media
application services.
RioPort Partners With E-Tailers for Top-Tier Music Content and Distribution
RioPort's strategic relationships with major branded e-tailers and content partners allow for the acquisition of the
broadest range of music and spoken audio content, and the most powerful distribution channel for reaching digital
audio-savvy consumers. RioPort also tailors the PulseOne Music Service for e-tailers and distribution partners to
provide a seamless music and audio experience for their customers, ensuring a positive Internet music experience.
The Pulse One Music Service also supports different types of e-commerce models including the impulse purchase of
tracks or albums, subscription services and even `rate-sheet' or advertising supported models. RioPort's growing e-
tailer network includes the MTVi Group (mtv.com, sonicnet.com, vh1.com, nick.com), music powerhouses
Ministry of Sound and House of Blues, and leading consumer sites, such as iTURF, iCAST, Bolt.com and @Nifty.
RioPort Pushes the Boundaries of Digital Audio
RioPort continues to create innovative ways to use digital audio by bringing compelling content to a variety of
consumers. Two such innovations include RioPort's aggressive pursuit of spoken audio content and a new initiative
called the Executive Channel.
The spoken audio programming market provides RioPort partners with a wider variety of content ranging from
comedy and audio books to educational and personal growth materials, and is currently a $2 billion market in the
U.S., according to the Audio Book Publishers Association. RioPort has established many strong partnerships with
spoken audio content providers, bringing the consumer more choices when it comes to digital audio. Some of
RioPort's spoken audio partners include Media Bay, Comedy.com, Burly Bear Networks, The Smithsonian
Association, National Lampoon.com, Kaplan Educational Centers, Nightingale-Conant, Dr. Drew.com Show
and more.
RioPort's Executive Channel initiative concentrates on fulfilling the needs of major corporations through the use of
digital audio. Programs developed range from sales executive training to the dissemination of important company
information to stockholders and employees. RioPort is aggressively pursuing partnerships with major corporations to
provide digital audio services customized to fit their needs.
Driving the Market Forward through Innovate Software Solutions
RioPort's MDM technologies are software and engineering services which allow music appliance manufacturers to
better enable their products for the Internet and its' variety of file formats, security schemes and PC applications.
RioPort's MDM Technologies give consumers the ability to easily download content from their desktop to a portable
audio player, since the portable device is recognized and treated just like any other storage medium connected to the
PC. Companies that have adopted RioPort's MDM Technologies include the device manufacturers listed below, in
addition to Microsoft, MusicMatch, InterTrust, Reciprocal, Magex, iCAST, EarJam, Sonic Foundry, and others.
The RioPort Audio Manager jukebox application is an easy-to-use software application developed for the playback of
music and spoken audio content, providing secure digital content from the Internet to the PC and portable devices
today, and to the home and automobile tomorrow. RioPort provides customer-branded versions of its RioPort Audio
Manager to its network of e-tailer partners. RioPort also supports the Windows Media Manager and other PC
applications. RioPort Audio Manager is often bundled with popular portable devices from companies including
Diamond/S3, Inc., Samsung, Sewon, HIT, e.Digital, Maycom, Nike, Unitech and others.
RioPort is a Leading Proponent and Activist in Secure Content Delivery
RioPort, an active member of the Secure Digital Music Initiative (SDMI), is aggressively committed to delivering the
best content to consumers, sold over the Internet and has partnered with both Microsoft and InterTrust to
accomplish this goal. RioPort Audio Manager 3 is affixed with a Digital Rights Management (DRM) system to
protect copyrighted content and has won MetaTrust Certification from InterTrust. RioPort additionally partners with
Magex and Reciprocal, which deliver secure asset management, royalty tracking and payments platforms for
RioPort.com's e-commerce transactions.
The PulseOne Music Service allows our partners to release popular content without fear of piracy or loss of
compensation. These services focus on critical content partner requirements such as maintaining persistent rights
management from the Web to portable digital products; making content available to a premier group of specialized e-
tailers; and providing flexible content management services such as hosting, encoding, packaging, and financial
reporting.
Powerful Investors
RioPort's financial backing comes from some the biggest names in the Internet industry including Oak Investment
Partners, Vulcan Ventures, S3, Inc., EMC Corp., Quantum Corp. and Mitsubishi Corp..
Browser Promising First Full-Screen, Full-Color Wireless Display Debuts
By Jay Wrolstad, Wireless.NewsFactor.com
A wireless Web browser that its developer said brings PC Internet access technology to mobile phones and PDAs (personal digital assistants) was unveiled last week by virtual reality product designer Interactive Imaging Systems, Inc. (IIS).
• New Wireless Imaging App Jives with Java Handsets
• OmniSky Gets License To Blaze Handspring Browser Trail
• Fuzzy Outlook for Wireless Digital Images
The iCOM wireless personal Internet browser is the first portable, handheld wireless device to feature a full-screen, full-color VGA display, IIS said. The device provides Web access through wireless modems, local area networks (LANs), Bluetooth networks and mobile phones.
Screen Innovation
Previous attempts to take PC Internet technology into the wireless realm have been unsuccessful for two principal reasons, IIS said: limited display screen resolution and wireless networks built for voice rather than data.
While the latter problem is addressed by the global rollout of high-speed wireless data networks, the viewing of graphics and text on small, low-resolution displays still presents a barrier to broad market acceptance of wireless Internet devices, the company said.
Because most Web-enabled cell phones and PDAs are either text-based or have low-resolution displays that offer limited Web protocol support, IIS said, they do not provide access to a vast amount of Internet content. Consequently, such products have largely disappointed consumers and e-business users, the company said.
PC Desktop on a PDA
The iCOM browser addresses this problem through a proprietary virtual display system that lets users view any Internet data -- including HTML, graphics and Java -- in an image equivalent to a desktop PC, IIS said. The device is based on the Windows CE operating system and includes a full complement of PDA applications.
The device also mirrors a user's desktop experience, enabling transmission of full-length e-mail messages, faxes and files, the company said, and is based on the OptiNav user interface. It has two flash expansion ports, allowing access to memory expansion modules; wireless LAN or modem cards; Bluetooth; data ports; mobile phone interfaces, cables or cards; digital cameras; GPS receivers; and bar code scanners. New applications can be installed using a docking device or directly over the Internet, the company said.
New Product Line
Specially designed versions of the browsers will meet the needs of police forces, the military, and medical personnel, IIS said. The company added that it plans to roll out additional personal Internet browsers in the coming year, including handheld and wearable devices, at prices comparable to PDAs or next-generation cell phones.
Rochester, New York-based Interactive Imaging Systems manufactures personal display products that let users interact in computer-generated environments and the Internet. In addition, the company makes virtual reality systems and hardware for the professional and consumer markets.
Matsushita to market car-nav with detachable screen
Matsushita Electric Industrial Co. said Monday it will launch a portable car-navigation system with a detachable display on July 1.
The Panasonic KX-GP1, priced at 148,000 yen, features a detachable 14.7-cm display, a rechargeable battery and a global positioning system antenna. It can be used both for driving and walking.
Weighing 410 grams, the display shows map information and other selected data downloaded from the main unit and stored in memory. The built-in rechargeable battery can last 1 1/2 hours, or up to four hours when used with an optional rechargeable battery pack.
"Text can be easily input with a stylus and keyboard, a more user-friendly approach than conventional models that require a remote control key pad for input," the release said.
The firm will also launch an advanced model, the KX-GP1Z, that can be used as a portable TV.
The Japan Times: June 5, 2001
(C) All rights reserved
Kodak Professional and Pretec Team Up to show 640MB CompactFlash Card
06 05, 2001
The largest capacity CF card in the world works flawlessly with the highest resolution digital cameras in the world
Fremont, California, May 29, 2001 – The largest capacity CompactFlash card in the world, 640MB from Pretec Electronics Corp. has been tested and approved by Eastman Kodak Company to be compatible with Kodak Professional DCS760 (3032 x 2008, 6 megapixel) and DCS Pro Back (4080 X 4080; 16 megapixel) digital cameras running current firmware.
Kodak Professional DCS Pro Back is the highest resolution one-shot digital camera in the world with superb image quality and excellent color editing capability. It is ideal for studio but can be used as portable photography as well with sophisticated digital controls. The uncompressed file size can be as large as 48MB for 8 bits per color RGB TIFF to 128MB for 16 bits per color CMYK TIFF. Pretec’s 640MB CF card provides needed capacity for super high-resolution cameras such as Pro Back, yet maintains the excellent reliability due to flash memory devices compared with rotating magnetic media. "We are glad to see that Pretec offers the low power and reliable alternative flash storage solution for Kodak Professional digital camera users," said Madhav Mehra, Worldwide Product Business Manager, Photographer Capture Products and Systems, Kodak Professional. "The dual CF slots of Pro Back can provide unprecedented 1.2GB ultra-reliable storage using Pretec 640MB CF card."
Pretec 640MB CF card also offers unparallel speed among all flash memory card solution providers for Kodak Professional digital cameras, preliminary test using DCS 760 shows the average write speed for Pretec 640MB CF card is 1.94MB/sec (with LCD ON) and 2.1MB/sec (with LCD OFF).
Industrial and Military grade 640MB CF card is also available from Pretec. Designed with precision mechanics, and full metal protection, the breakthrough product sustains a wide range ( -40°C ~ 125°C) working temperature and offers ultimate level of new data protection and security features to prevent user's image files, software, crucial data and products from being damaged. The card supports ATA/True IDE standard and consumes low power when operating, ideal for the applications used in harsh environment such as military aircraft, medical instrumentation, transportation vehicles, test and measurement equipments. The new ruggedized 640MB CF card is another excellent track record of Pretec’s relentless pursuit of innovation.
About Pretec
Pretec™ Electronics Corp. (http://www.pretec.com ) offers a complete spectrum of small form factor memory cards and card readers such as ATA/CF card, Mini-IDE flash drive (MIDE™), Smart Media, and MultiMedia Card for digital imaging, mobile computing, and Military/Industrial control market, and is the creator of Innovative CompactI/O™ card for PocketPC™, digital cameras and many IA devices. Pretec has consistently demonstrated the highest capacity CF card in the world; such as 80MB, 128MB, 160MB, and 320MB CF card at various locations around the world for the past three years.
About Kodak Professional
Kodak Professional provides imaging professionals with quality products and solutions for virtually every step of the imaging chain -- from capture and production to archiving and distribution. The division serves a diverse set of customers, including commercial photographers, photojournalists, and portrait & wedding photographers, as well photo labs, commercial imaging service providers and the graphic services industry. These demanding imaging professionals constantly push the boundaries of quality, creativity, and skill -- and demand products and applications solutions that do the same. Kodak Professional is a leader in the infoimaging industry, a $225 billion industry created by the convergence of images and information technology. Infoimaging unites three closely related imaging segments -- devices (such as the DCS Pro Back and DCS 760 cameras), infrastructure, and services / media -- that enable people to more easily enjoy, share and profit from images.
Ritek: microdrive competition/DATAPLAY NEWS
CF-Type HDD to Compete Against IBM's Microdrive
June 5, 2001 (TAIPEI) -- Ritek Corp.'s HDD called "MicroStor," a small hard disk drive (HDD) that will compete against IBM Corp.'s Microdrive compact HDD, will debut in the second half of 2001.
Ritek's MicroStor is based on the Type-II CompactFlash (CF) specification and has a capacity of 1GB.
"The product will ship in third or fourth quarter of 2001 with a target retail price of half of IBM's 1GB Microdrive selling for US$400-500," said Thomas Su, CEO of Ritek's subsidiary, U.S.-based MicroStor Corp.
In its booth, Ritek showed a demonstration in which a large motion picture file was read directly from the prototype MicroStor HDD and viewed on a PC. The disc of the MicroStor HDD is Ritek's original product and, like IBM's Microdrive, is about an inch in diameter.
Also, the firm is exhibiting a small optical media called "Data Play," which Ritek is planning to supply to U.S.-based DataPlay Inc. on an OEM basis. Data Play is an optical media with a 500MB capacity that can be used only with the DataPlay's own drive. The company's plan is to ship write-once media in 2001 and rewritable media in 2002. The price will be about U.S. $15 per media. It will be used for a mobile music player. The media's capacity will be enhanced to 1GB in 2002
Sony to Add ROM Version of Memory Stick
June 5, 2001 (TOKYO) -- Sony Corp. announced its plan to add a ROM version to the IC memory card "Memory Stick," which it has been promoting.
Sony will introduce a trial product in June, and aims to be ready for orders in July.
The ROM version will have complete compatibility with Memory Stick, and capacities ranging from 8MB to 32MB.
This Memory Stick ROM (tentative name) is designed as a content-distributing media such as for music alert for cellular phones and video games. Sony said it also can be used for databases, which should not be altered, and for software for demonstration purposes.
Moreover, by adopting the mask ROM process, it is possible to commercialize the product at a lower price, according to Sony.
Sony said it would be possible to launch a Memory Stick ROM with content within 2001
Bluetooth-Compatible Products to Reach Market
June 5, 2001 (TAIPEI) -- Products compatible with the Bluetooth wireless communications protocol, to be marketed in the second half of the year, are being exhibited at Computex Taipei 2001.
USB dongles with a Bluetooth module are
exhibited by FIC. Dongle right is for
desktop PCs and left is for notebook PCs.
First International Computer Inc. is exhibiting a Bluetooth module using its proprietary chip, as well as USB dongles and a personal digital assistant (PDA) using the module. Although the price of a chip generally changes significantly depending on shipments, for the dongle is estimated at around US$100, a company spokesman said. Already, FIC has started shipping samples to some major companies and plans to begin volume production in the third or forth quarter of this year.
AmbiCom Inc. introduced cards compatible with PCMCIA and CompactFlash (CF), a USB port and a built-in board. The company will start volume production of such products next month. The prices of such samples will be about US$150 for a PC card, and about US$140 for a CF card. The market prices of both products are expected to be lower. AmbiCom employs a chip made by SiliconWave Inc. for its PCMCIA and CD products and a smaller chip made by Cambridge Silicon Radio Ltd. for its built-in products. Such products are compatible with Hewlett-Packard Co.'s printers and LM Ericsson mobile phones.
Acer Inc. is displaying a notebook computer equipped with a Bluetooth chip made by its affiliate Acer NeWeb Corp. However, Calvin Pan, product director of Acer's Mobile PC Management, said that the Bluetooth module is still in a development phase and makers have not yet released products compatible with Bluetooth. He added that Acer's development of such compatible-products will be much later, because the company aims to develop wireless LAN products as a priority.
For an end product, Formosa Industrial Computing Inc. is exhibiting an adapter to be connected to Ericsson's headset. The product, equipped with an Ericsson-made chip, will be shipped in the third or fourth quarter of this year for a price between US$120-150. The price of the chip accounts for about US$70 of the total price. Therefore, a company spokesman said, it can offer the adapter for a lower price, if the Ericsson chip price falls.
The Ericsson's Bluetooth headset to be connected with the adapter is available for about NT$8,000 (NT$34.05 = US$1) as an accessory for a mobile phone. Although the sound quality of Bluetooth products are not good enough for music and will be used only for voice communications as of now, but a standard with better quailty will be launched soon. The company plans to release a Bluetooth product to listen to music via the MP3 musical protocol in 2002.
IAs and networking centre of attention as Computex opens
Computex, one of the world's largest technology trade shows, opened in Taipei yesterday with Internet appliances (IAs) and networking technology taking centre stage.
Sponsored by the Taipei Computer Association (TCA) and the China External Trade Relations Council, Computex 2001 has more than 1,000 exhibitors out to impress Taiwanese and overseas buyers.
Officials said 436 of the 2,183 booths at the Taipei World Trade Centre would be dedicated to components and parts, while peripherals, system-makers and communications products would account for a large segment of the show.
Last year's Computex focused on IA products from a more conceptual angle, mostly scaled-down PCs and low-priced Internet access terminals. This year, the focus will be on mobile, with emphasis on wired and wireless networking.
Among highlights will be the IEEE 1394 forum, with seminars being run by some of the industry's leading names including Microsoft, VIA Technologies and MGI Software.
A new, high-speed data transfer technology, 1394 - also known as firewire - has received support from Taiwanese system and component makers. An alternative to industry-standard USB, 1394 can deliver data over cable at vastly higher speeds.
Also receiving attention this year will be wireless-networking technology. Bluetooth was the talk of the show last year, with many predicting widespread incorporation in electronic devices by this year's Computex.
However, a technology downturn and squabbles over three differing Bluetooth standards have slowed implementation.
This year, Bluetooth is back as a standard feature in IAs, mobile phones and peripherals, but consumers may have to wait before Bluetooth-ready products hit the shops.
Overshadowing Bluetooth in the past year has been wireless technology 802.11b, or Wireless LAN (WLan). Able to transfer data at up to 10 megabits per second, WLan already is in common use among corporate consumers and will feature alongside Bluetooth in the latest range of mobile computing devices.
One of the key products being watched this year will be PDAs. Made popular by market leader Palm, sales of personal computing devices are set to take off in Greater China. The mobile-computing product line-up also will include Webpads, pocketPCs, ultra-light notebooks and mobile phone-based devices.
Although somewhat less gee-whiz, the mainstay of Taiwan's electronics industry has been the component and system-makers which manufacture the internal workings of computers, peripherals, mobile phones and consumer electronics.
The latest advances on display at Computex will be the heart of tomorrow's devices.
While exhibitors attend Computex keen to impress buyers with the latest technology, the real focus is in doing deals.
Taiwanese manufacturers are market leaders in several product categories, including scanners and notebooks, and that lures international buyers to the show to source market-ready products.
Many electronic devices made in Taiwan are re-badged for sale by leading consumer brands, including IBM, Compaq and Toshiba.
Business Post will bring you daily updates from the floor of Computex 2001, covering keynote speeches, key deals and the future of technology.
[Computex Taipei] Linux-Type, Other New PDAs on Exhibit
June 5, 2001 (TAIPEI) -- First International Computer Inc. (FIC) is exhibiting its first personal digital assistant (PDA) device, called "1st PDA," which uses Linux operating system (OS) and is equipped with a Java virtual machine.
Similar to the Java i-mode cellular phone service from NTT DoCoMo Inc., applications written using Java can be directly downloaded and executed on the FIC PDA. Also, the 1st PDA has a built-in Bluetooth module for wireless communications as a standard feature.
The 1st PDA is equipped with USB and serial ports, and an expansion slot for a CompactFlash card (Type I/II). The display is a touch-panel, 3.8-in. reflective LCD. The current panel made by Sony Corp., is capable of displaying about 4,000 colors. Soon, the company plans to adopt Unipac Optoelectronics Corp.'s LCD panel, which will be able to display around 65,000 colors.
The 1st PDA measures 8.2cm wide by 13.2cm high by 2.2cm thick, and weighs 220g. The PDA will be commercialized later this year, priced at around US$250.
FIC is developing a smaller, lightweight device, and a mock-up is also on display at the firm's booth.
Another Linux-based PDA equipped with a built-in Bluetooth module was shown at MiTAC International Corp.'s exhibition booth. MiTAC's PDA, called the "MP66", has a 16-hue gray scale LCD screen and is expected to retail at US$150 to US$199. MiTAC also exhibited the "MP206C" PDA, which runs on the Windows CE 3.0 OS.
Acer Inc. is exhibiting a mock-up of its planned PDA powered by the Palm OS. The firm is collaborating with U.S.-based Palm Computing Inc. to develop a Chinese language version of the Palm OS.
The commercial launch date has yet to be decided, but the company says it hopes to have the device ready by the end of the year.
http://www.nikkeibp.asiabiztech.com/wcs/leaf?CID=onair/asabt/event/132012
Sentinel Spoke with Robert Putnam this evening (6/4/01):
Around 6:00 PST I spoke with Mr. Putnam about questions I had emailed him in advance. They were fairly specific questions, so I didn't expect much in the way of substantial answers, butt I wanted to run them by him anyway. FWIW, what appears below is my own summary/interpretation of our conversation, in my own words.
1. I see that Apple has announced a bundling option for Rio players with teir PC's. Is this likely to spur other PC makers into action as well?
PC makers, as well as other companies have been looking hard at bundling options. When this first came up the PC makers were in a much different situation than what they are in now. They are presently trying to work out exactly what effect bundling will have on their revenues and how best to approach the whole notion. They are trying to work out how best to acquire repeat customers and customer loyalty in the face of the waning PC market. One way is to bundle jukeboxes. The establish an aftermarket presence because if Son like his, perhaps Sister might get one, then Mom and Dad, etc. This gives them an independent revenue stream as well as being able to customize product for their consumers. Obviously EDIG or anybody else would need to be able to assemble enough manufacturing capacity to fill one or more orders of large magnitude in order to secure a bundling contract and EDIG believes they have that capacity, through announced and unannounced manufacturers. It is up to the OEM's as to when they pull the trigger or not. There is no hold up on EDIG's part. It could happen at any time.
2. We've always spoken of "double digit" OEM's. What is the nature of these OEM's? For the most part, are they global (recognizable) names, are they regional (Asian) names that Americans wouldn't recognize, or are they small cap domestic companies like Hy-Tek?
For the most part, they are recognizable names, though there is a certain percentage of Asian and European companies, as well as companies like Hy-Tek. The term "double digit" still applies, but Robert would not give an order of magnitude (whether is was 10 or 60 or 90).
3. In our last conversation, you mentioned EDIG was close to being able to articulate their efforts/results to date to have a kernel of the MicroOS embedded in a silicon solution. There is a large trade show, the Embedded Processor Forum, beginning on June 11th in San Jose. Will EDIG be represented directly or indirectly at this show? Is there likely to be any announcements directly concerning EDIG before during or after this show?
Mr. Putnam had no comment about any of the above.
4. You mentioned in our last conversation that you believed there might be one or more announcements concerning a technology platform, other than digital music, before the end of the quarter yet. Is this still imminent? Will any announcement be a solo one on EDIG's part, by an OEM, or a joint announcement?
This type of announcement is still a distinct possibility. IF it happens (and it is entirely dependent on third parties), it would be a joint announcement with an OEM.
5. Fleishman Hillard has been coordinating media reviews of "Powered by e.Digital" jukebox devices. Are you privy to the schedules of these reviews? Do the reviewers sign agreements regarding publication dates prior to receiving the devices? Has Mr. Mossberg of the Wall Street Journal received a device? If he has, was it a brand other than the Treo from Hy-Tek? Are we likely to see any of these reviews before the quarter ends?
Fleishman Hillard has been more involved in educating industry analysts about e.Digital. For instance, there have been conference calls with Jupiter, Forrester, and Cahners Instat to educate them in regards to e.Digital. OEM's are responsible for distributing devices to the media for review. EDIG has an idea of when what goes to whom, because F-H also works with OEM PR departments, but it is the OEM's responsibility to insure there are devices for the media to review and to give the reviewers whatever help they may require. EDIG is not in this loop because they are not branding any players. F-H may know what's going on, but is not running the show. However, it is EDIG's understanding that there may be some reviews fairly soon. No comment on Mr. Mossberg.
6. EDIG was/is looking for Linux engineering talent. For which application do you see the most demand from our OEM customers for Linux engineering.
Linux capabilities are being asked for more and more by our OEM's. EDIG has some Linux talent in house, and they'd like to get more. No comment other than that.
7. According to last Friday's announcement, we are working to integrate voice and video technology into "handheld entertainment centers". What exactly IS a "handheld entertainment center"? What is the broad framework for delivery of such an item? Summer? Fall? Christmas? Does DataPlay figure into that type of application, or is it not related to DataPlay?
Handheld entertainment center is a term we will hear of more and more. Apparently this is something they have been working on internally for a number of months. I asked if it was like a Gameboy, or more like a convergence device. He said it was more a convergence device. I defined what I thought a convergence device was, namely a PDA which might play video games and digital music. He refused to comment any more about the nature of this type of device, and would not divulge whether it was DataPlay related or not
8. Also in Friday's agreement, the was a reference to "longterm agreements with OEM's". Are there such agreements besides the announce one with Lanier?
Yes, there are unannounced agreements. We also expect to hear from Lanier about the continuing relationship with EDIG fairly soon (perhaps by the end of the quarter)
That's it. In spite of all the optimism, Robert admitted that the only thing he could be be 99% certain of was that EDIG would indeed file their earnings report by June 30th (barring any serious problem at Ernst & Young). EVERYTHING else is in th ehands of third parties and is subject to change at their discretion. EDIG is forced into a waiting game too. Hopefully the next 3 weeks are eventful. We will see...
The Music Men Are Out Of Tune mtv/rioport
The big record companies say they want to sell songs online. So why are their services designed to frustrate consumers?
FORTUNE
Monday, June 11, 2001
By Devin Leonard
Back in the early '80s, a shoestring operation called MTV came up with the idea of a cable network that would play rock music videos 24 hours a day. Advertisers yawned. Cable system owners scoffed. Yet as we all know, MTV turned out to be hugely successful--thanks largely to the big record companies, which helped the network get off the ground by supplying free videos.
You may not remember this episode from the dawn of the cable era. But music industry executives do. And it makes them cringe. The way they see it, they should have extracted something in return for making MTV possible. Instead they got nothing.
That explains why today the Big Five record companies are singing the Who's "Won't Get Fooled Again" as they survey the digital-music scene. A lot of people think selling music on the Internet is the future of the industry. Nobody is sure how to make money at it, but the record companies are determined that if anybody succeeds, it'll be them this time. "We gave content for free to radio, free to MTV," grumbles Jay Samit, senior vice president for new media at EMI Recorded Music. "We're not going to do that again."
Thus, in recent months the Big Five have come out with a bewildering flurry of alliances and acquisitions linking the music makers to new-media technology companies. First came the announcement from Bertelsmann that it was entering into a partnership with Napster. More recently AOL Time Warner (parent of FORTUNE's publisher) joined forces with EMI and Bertelsmann--and software developer RealNetworks--to form an Internet music-distribution company called MusicNet. The service, expected to launch this summer, hopes to tap into AOL's 29 million subscribers. Then came the news that Sony and Vivendi Universal had teamed up with Yahoo to give life to their seemingly dormant online-music venture, Duet. And just a few weeks ago Vivendi announced that it was also buying MP3.com, the struggling Internet music pioneer, to provide another potential distribution channel for Duet.
It is impossible to know how all this will play out, but clearly these initiatives are an attempt by the music industry to keep interlopers away. Virtually everyone agrees that industry growth in the next several years will come mainly from online-music sales; according to one study, online-music revenues could hit $1.5 billion in the U.S. by 2004. Make no mistake: The big record companies want the lion's share of that money. So why is it, then, that even as the big boys have been erecting their fence, someone else has been quietly digging a tunnel under it? This business has a service that is far closer to reality than any of the recently announced music ventures by the major labels. What's more, the service is simple to use, consumer-friendly, and has access to music from all five of the major labels. Who is it? Are you sitting down? It's MTV.
Battle of the Band(Width)
Launch plan What it will offer
MusicNet Available to AOL's 29 million subscribers this summer Subscription service to AOL Time Warner, EMI, and Bertelsmann music. Strong point: distribution via AOL.
Duet Marketed toYahoo's 58 million monthly visitors this summer Subscription service to Vivendi and Sony music. Strong point: Vivendi's recent purchase of MP3.com.
MTV Fully launched by late May 10,000 digital downloads from the five major labels. Strong point: pay-per-download.
Napster Paid subscription service to launch this summer Songs by independent artists--but nothing yet from the major labels, despite deal with Bertelsmann.
Microsoft MSN Music is up and running A radio-like service where you can hear songs that are, yes, similar to the ones you request (see ... And Then There's Microsoft).
In the modern history of the music industry, there have been three momentous shifts in the way money is made. The first was the rise of the long-playing record--and the concomitant decline of the 78-rpm single. As that change took place, consumers became accustomed to buying more expensive music compilations rather than singles. The second shift, which made the business even more profitable, was the introduction of the compact disk. Although CDs were no more costly to produce than vinyl, music companies charged substantially more for them, with very happy consequences for the bottom line. What's more, because it was a new technology, music lovers had to replace their entire record collections with CDs. As a result, worldwide music sales rose 40%, to $38.5 billion, over the past decade.
The third shift, of course, is the one that's going on now--the move from CDs to online music. First came MP3, a compression technology that made digital music possible. Then along came Napster, which allowed teenagers--and the rest of us--to share digitized songs with the entire world. For free! That unbeatable price made Napster a huge hit with its 80 million registered users. But price, or lack thereof, wasn't the only attraction. Napster gave users almost unlimited freedom to do what they wanted with their tunes. Limp Bizkit fans could download "Nooky" onto their portable MP3 players and take it to Daytona Beach for spring break. Albums? Who needed them? If you liked only two tracks from Jay-Z's The Dynasty Roc La Familia, you just downloaded those two songs and left the rest behind. Indeed, you could use Napster to burn your own CD of favorite tunes. Millions did just that, creating nothing less than a revolution for music lovers.
Of course, we all know what happened to Napster. It was a hugely successful copyright violator, and this past March, a federal court judge ordered it to remove copyrighted songs from its system. Napster has vowed to launch a paid service this summer, but to do that, it needs to be able to license songs from the big labels, and despite its alliance with Bertelsmann, it still doesn't have any such deals. From the perspective of the music industry, Napster is no longer a force to be reckoned with.
Yet the forces Napster unleashed have become, if anything, even more powerful--and no matter how much they'd like to, the record companies cannot avoid them. For instance, the popularity of sharing major-label music online--and the fact that this ability has been abruptly taken away--has made it a potent political issue. Last July, Senate Judiciary Committee Chairman Orrin Hatch, himself a songwriter, held hearings in which he pressed the record companies to offer a legal alternative to Napster. Hovering over the proceedings was an implied threat: If the companies didn't act, Congress could take matters into its own hands by forcing the labels to license their songs to any company willing to pay a licensing fee.
To music executives the thought of compulsory licensing is anathema. After all, isn't mighty Microsoft talking about getting into the online music business? If the music industry had to give its songs to anyone who wanted them, it would lose control of the distribution.
Not surprisingly, by the time Hatch held his second online-music hearing two months ago, the major labels had their response: They would indeed be providing a legal alternative to Napster, in the form of two online services, MusicNet and Duet. The problem is that unlike Napster, the services have business models designed to help the companies, not their consumers.
Take, for instance, the way people are expected to pay for the two services. They both plan to institute subscription fees. That means that instead of purchasing the occasional album, consumers will write a monthly check and download a big selection of music in return. For an industry that has lived and died by hits, the appeal is obvious: It means a steady revenue stream.
But what's in it for music lovers? The closer you look at the two services, the more you're apt to conclude: not much. First of all, when you subscribe, you're not actually buying music but merely renting it. Because the Big Five are worried that consumers will write one monthly check, download a year's supply of music, and cancel their subscription, they're using a technology that will cause the music to vaporize if people stop subscribing. Industry executives see this plan as completely reasonable: "It's the same as cable television," insists David Brotherton, a RealNetworks spokesman. "If you pay your cable television bill, you can watch The Sopranos. If you don't pay your bill, you can't watch The Sopranos." But as any consumer knows, a song is not like a TV show. People want to own their music, to take it places, to listen to their favorites years from now, to share music with their friends. None of that is possible with MusicNet or Duet.
And that's not all. Subscribers to the two services will be able to listen to music only at their PC or laptop--no CD burning or downloading to MP3 players allowed. (Music executives say they hope to be able to offer that freedom--eventually.) In fact, Duet customers initially won't even be able to download songs to their hard drives; they'll have access only to streaming (i.e., radio-like) music.
Then there is the question of selection. At the moment each of the two services will only be able to offer music owned by the labels in their respective partnerships: EMI, Bertelsmann, and AOL Time Warner in the case of MusicNet, and Sony and Vivendi Universal in the case of Duet. But as AOL CEO Barry Schuler points out, "For music services to work, you have to have everything." After all, most music fans have no idea that Eminem, for example, records for Interscope, which is owned by Vivendi. So what will MusicNet tell his fans who log on and can't find "The Real Slim Shady"?
The executives at the Big Five say that they hope to cross-license one another's music before the two services launch this summer. But that brings its own set of headaches. For one thing, many in the industry fear that if the five majors license their content to MusicNet, AOL Time Warner, which is MusicNet's primary distributor through America Online, will wind up as the gatekeeper for music on the Internet. More important, if the Big Five dance too close, the U.S. Justice Department might decide to launch an antitrust investigation. That could lead to further cries for compulsory licensing.
If cross-licensing problems don't stall the launch of the two services, there is one other big obstacle. The music industry's decision to go the subscription route has brought it into serious conflict with the National Music Publishers' Association, whose 800 members control the publishing rights to most songs in the U.S. The association's licensing affiliate collects a royalty of 7.5 cents for every track sold on a compact disk. Edward Murphy, the association's president, says his constituents want a better deal if their work is sold on a subscription basis. He complains that the music companies low-balled his members when they introduced the CD. Now it's payback time. If MusicNet and Duet start up without settling the issue, litigation is virtually guaranteed. "You could launch the service," says Steven Marks, senior vice president of business affairs for the Recording Industry Association of America. "The problem is, you are launching a service without knowing how much it's going to cost." No wonder MusicNet and Duet have yet to announce specific launch dates.
So what has MTV been doing while all this wrangling has been going on? Its first move was to get its hands on the music. A San Jose technology company called RioPort--in which MTV (and Microsoft) are investors--quietly signed deals with all the major labels to license and sell their music. RioPort then made the music available to MTV, a division of Viacom. Why were the record companies willing to give their music to RioPort and MTV? Stunningly, they did so in part because they felt it would help keep Congress at bay. "The MTV deal is just another way to get content out, because there's this threat of compulsory licensing hanging over the industry," says Andreas Schmidt, president of Bertelsmann's e-commerce group.
To keep the record companies happy, RioPort has developed a system that allows its music to be downloaded onto any "secure" portable player--but prevents it from being transferred to a friend's player. And it has figured out ways to accept music in a variety of technologies--the record companies all have their preferred, often incompatible formats--yet make those different formats almost indistinguishable to the consumer. (So far at least, Microsoft has refused to do likewise. For obvious reasons Microsoft would prefer to license songs itself and digitize them all in its Windows Media format.)
But none of this explains the real advantage MTV has in the online-music services competition. No, MTV's real brilliance is that it is offering a service that appears far more likely to appeal to consumers. For instance, rather than subscriptions, MTV will offer individual downloads ranging in price from as little as 99 cents a song to as much as $18.98 per album. MTV figures buyers will want lots of singles to make their own compilations. "My sense is that people are going to fill their shopping carts and check out when they've got enough music to have a satisfying listening experience," says Nicholas Butterworth, president and chief executive of MTVi, the network's Web division. "Pay-per-downloads are appealing to consumers because you can cherry-pick albums," agrees P.J. McNealy, a Gartner Group analyst. "Most people don't necessarily want the whole CD." That's one of the reasons music fans once flocked to Napster. Now MTV is giving them the same opportunity.
And unlike music subscriptions, pay-per-downloads are treated exactly like CD sales by existing copyright laws--hence no problem with the publishers' association. As a matter of fact, MTV is already selling EMI downloads on its Websites, which include MTV.com and VH-1.com, as RioPort irons out 11th-hour details with the four other big record companies.
So what do big music-company executives have to say about MTV's plan? They say pay-per-downloads are a waste of time. It was tried back before the court put a lid on Napster. "[Pay-per-downloads] were a major flop. They were a disaster," says Frank Sarfeld, a spokesman for Bertelsmann's e-commerce group. True, the experience was miserable for consumers. Each label delivered music in a different format, forcing consumers to set up multiple players on their computers. And let's not forget that Napster was giving the same stuff away for free. Even so, the consulting firm PWC estimates that people bought $8 million in digital albums and $8 million in digital singles in 2000 from e-tailers like TowerRecords.com.
So imagine if you actually did it right--if you set up a service that was easy to use, offered music from all five labels, and allowed consumers to pick and choose the songs they wanted. Sounds a lot like what MTV is trying to do, doesn't it? Of course, the service, which still needs to be tested, has to be a technological breeze. But think of what MTV has. Its Websites already attract six million visitors monthly. Throw in the network's unparalleled ability to market to the 12- to 24-year-old set, which spends more per capita on music than any other group, and, well, suddenly it appears as if the Big Five have a pretty formidable competitor.
It makes you wonder what music executives are smoking. They want to turn Napster fans into their customers, but they expect them to pay for a limited selection of music and listen to it only on their PCs. They snub Microsoft because they are afraid it will take over the distribution market but then hand the crown jewels to MTV, the most recognizable brand name in pop music. If you asked U2 fans if they'd go to MTV or Microsoft to get their music, what answer do you think they'd give?
Here's another thought: What happens in a year if MTV's service is in full swing and MusicNet and Duet still can't agree to share each other's catalogs? True, it's way too early to pick winners in this game. But it's not too early to see who is the odds-on favorite coming out of the gate.
May 9, 2001 Going Mobile
By Richard Karpinski
Join our weeklong discussion.
Microsoft vs. Open Source
Which development approach makes the most sense for enterprise users?
IBM prides itself on being a step ahead of the e-business curve--especially when it comes to using Web-based technology and strategies to drive and transform its own business operations.
The company was one of the first large companies to deploy a robust, corporate-wide intranet. It was an early mover to Web sales--selling not only PCs but higher-end servers via the Internet. It aggressively moved its procurement online, and it launched some of the world's most ambitious internal e-marketplaces, several of which today serve as the backbone of the public high-tech exchange e2open.com.
Indeed, IBM has become very good at incubating new technologies and e-business strategies internally, before later rolling them out to their customer base.
Up next on IBM's plate: wireless e-business. It's focus is not just rolling out cell phones and wireless modems to its workforce but mounting a corporate-wide wireless infrastructure effort fronted by a division-by-division applications plan, starting with its increasingly mobile sales force.
We spoke with Christopher Bernard, IBM's wireless strategist for sales and distribution, who is helping to put new wireless devices and apps into the hands of its sales staff.
It's a strategy many of IBM's large enterprise customers may soon be following as well.
Wireless Apps
IBM's 26,000-strong sales force--backed by a substantial tech support staff--prides itself on its consultative selling. Whether moving big servers, databases or--more typically--some combination of hardware, software and services, IBM's sales pros faces long-lead times (100 days or more) and deals that require a good degree of hand-holding.
For the past five years or so, the company's sales force has been buffeted by two strong, but contradictory trends, says IBM's Bernard.
On the one hand, IBM has been pushing more of its sales-people out into the field, away from their desks and out to customer sites. On the other, IBM staffers are increasingly reliant on Internet-based information--email and Web information, certainly, but also increasingly instant messaging as well--to do their jobs.
The problem, of course, is that mobile workers are disconnected from vital information sources, often--such as when they are trying to close a sale--when they need them the most.
Sales forces typically fall into two camps: order takers and long-lead sellers. Order takers--think about vendors serving grocery stores, for instance, or a FedEx delivery man--have long worked with handheld devices (once called "bricks", now likely to be a Palm- or CE-based device). And they're also increasingly tapping wireless links.
Long-lead sellers have been slower to move to handhelds and wireless devices--mainly because the apps and information they need aren't as easily accessed via wireless links. But deployed correctly, wireless technology can make a big difference for a consultative sales force as well, says IBM's Bernard.
"Think of a critical situation: a customer calls up and says his data center is falling down around them," says Bernard. "If a sales person walks in right then to sell them an upgrade, they might want to know ahead of time there's a problem."
Last year, Bernard led a series of surveys of more than 250 IBM staffers, all in customer-facing positions. "We asked them, 'what are you using today?' and also, 'if we gave you anytime anywhere access, how would that assist you in your job?'"
Not surprisingly, most people asked for standard calendaring and email, Bernard says. So those became early priorities. On top of those basics, initial apps included wireless access to internal phone/email directories, access to instant messaging (via a wireless gateway to Lotus SameTime) and the ability to receive email alerts, for instance, when a specific customer sent a message.
More ambitiously, sales people were given wireless access to a customer reference database. "So, say you're in front of a customer and you want to sell AIX, the sales person can pull up who else has an installed solution, by industry and geography, and have it faxed or emailed immediately," Bernard says.
The new apps were rolled out to 1100 IBM sales people worldwide in early April.
"Our sales people will see more and more information at their fingertips," says Bernard. "If we get the right info at their fingertips that means they'll be able to sell more effectively."
Already, IBM teams are brainstorming the next set of wireless apps, including access to order status, announcement letters and expense accounts (already being piloted in Japan). All of this builds up to deployment of wireless access to the company's Siebel-based sales force automation platform, slated for next year.
When that happens, says Bernard, wireless will not only benefit mobile workers but also business analysts and sales managers back in the office who will have more immediate visibility into what's selling--and what's not--live from the field.
Devices and Middleware
Just like on the desktop, useful applications are they key to mobile computing deployments. But device and middleware considerations are paramount as well.
IBM selected three national carriers in the U.S.--Sprint, Nextel and AT&T--and specified a variety of phones and handheld devices (including IBM-branded WorkPad Palm and Blackberry RIM devices). It went through a similar process in Europe and Asia.
The goal was to give users choice--with some limits, says Bernard. "Our thinking was that if we build our middleware properly [not only application infrastructure but security as well] then we can let users make, within reason, their own device choices."
The middleware infrastructure--not surprisingly--is based on IBM's Websphere application and Domino email servers.
Supporting all of Bernard's wireless work for IBM sales is a corporate-wide effort--coming out of the CIO's office via its Business Transformation team--to define a global wireless architecture that all IBM divisions can work with. That technology platform, using IBM technologies, can support 2500 users today, but will scale up soon.
In addition, IBM is creating a company-wide set of wireless application standards and best practices to ensure that "anybody can create a wireless Web site within IBM, publicize it and it's available to everybody," says Bernard.
Some of IBM's wireless application efforts will be formal programs, such as Bernard's sales-staff roll-out. In a similar vein, IBM's intranet team--which today supports about half a million visits per day--is planning a major wireless roll-out later this year. But the published architecture will also enable ad hoc wireless Web apps.
It's a strategy that IBM pioneered on its corporate intranet: set baseline standards but let individual units--or even individuals--innovate and build their own Web sites and applications. "If we can enable people, they're going to do great stuff with wireless," Bernard says.
Wearable Storage Device Keeps Records With Patients
By JULEKHA DASH
(May 07, 2001) Matrevic Data Systems Inc. in DeSoto, Texas, has launched a three-month trial of a wearable storage device that it claims will reduce medical errors by collecting patient information in a single location.
The application development and systems integration firm plans to enlist more than 5,000 patients, each of whom will wear an 8MB flash memory card from Sunnyvale, Calif.-based SanDisk Corp. that will store his medical records.
The trial is expected to prove that doctors don't have the information they need to properly treat patients unless they have this type of device, according to John Trahan, Matrevic's vice president of partner development.
Physicians using the device can quickly access a patient's medical history, including current medications, conditions, insurance information and prior injuries, by plugging the memory card into a PC equipped with a flash memory reader, according to Matrevic.
Several Dallas-based medical centers, along with about 50 physicians, will participate in the trial. Trahan said his firm plans to encourage widespread adoption of the technology by persuading health maintenance organizations to pay for the product.
HMOs, policy-makers and corporations have pushed the health care industry to seek ways to reduce medical errors ever since a 1999 report from the Washington-based Institute of Medicine revealed that as many as 98,000 people in the U.S. die annually from medical errors.
Standards Lacking
While the military and the Department of Veterans Affairs have adopted personal storage devices, the concept hasn't gained momentum in the health care industry due to a lack of standards, said Wes Rishel, an analyst at Gartner Inc. in Stamford, Conn. For a storage device "to have much impact, there has to be national adoption of the specific technology and IT standards" for creating a portable health record, he said.
But Trahan said that the technology to date has consisted of smart card devices, which have a limited storage capacity of 70 pages plus a few images. The flash memory card used in the trials can store 6,000 pages of text.
While this storage device could be useful for patients who travel, it presents a host of its own problems, according to Richard Telesca, an analyst at Cambridge-based Giga Information Group Inc.
"The issue with [storage devices] is keeping track of them and not losing them. And if you lose them, do you have a bigger issue with privacy than . . . today?" Telesca said.
EMI forms alliance with Roxio, takes equity stake
By Sue Zeidler
LOS ANGELES, June 4 (Reuters) - EMI Group Plc (quote from Yahoo! UK & Ireland: EMI.L), home to such acts as Janet Jackson and the Beatles, on Tuesday will become the latest music giant to invest in a technology company, saying it bought a minority stake in Roxio Inc. (NasdaqNM:ROXI - news), whose software allows people to record music on blank compact disks.
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Terms were not disclosed, but sources familiar with the deal said EMI made a small investment -- far below $50 million -- in Roxio, which was recently spun off from Adaptec Inc.
EMI's investment in Roxio differs from other recent partnerships in the music sector because it marks the first time a big label is backing a company to develop ways for fans to ``burn'' music onto CDs in an effort to drive up revenues.
All of the online initiatives announced so far by the big recording companies in their rush to compete with song-swap service Napster have involved streaming or limited downloading onto computer hard drives. Meanwhile, demand for blank CDs has exploded as people have increasingly created their own CDs with content obtained from services like Napster.
``What's happening today is that a lot of people are burning CDs but the labels have not yet leveraged CD burning as part of their strategies,'' said Brad Duea, Roxio's vice president of business development.
The Roxio/EMI deal follows a string of acquisitions of smaller technology companies by big music labels, including Bertelsmann AG's purchase of song-storage company Myplay Inc. and Vivendi Universal's purchases of MP3.com Inc (NasdaqNM:MPPP - news) and Emusic.com (NasdaqNM:EMUS - news) Inc.
``Our goal is to enable consumers to legally download and record music to CD in a consumer-friendly manner while fairly compensating copyright owners and creators,'' Duea said, noting that he hopes to see deployment by year's end.
By that time, it is estimated that up to 5 billion blank CDs will have been shipped in the year in support of an estimated installed base of 100 million CD recorders in personal computers.
BEST-SELLING SOFTWARE
``By partnering with a market leader such as Roxio, EMI will work to develop ways for consumers to easily record authorized music onto recordable CDs,'' said Jay Samit, senior vice president, New Media, EMI Recorded Music.
In its first independent earnings release, Roxio posted pro forma net income, excluding non-cash charges, of $4.6 million on sales of $36.3 million for the fourth quarter ended March 31.
Milpitas, California-based Roxio provides digital media software to personal computer makers. People use the software, which is bundled on many PCs, to record audio, video, photos and other data from the Internet onto compact discs.
Roxio's CD-burning software, Easy CD Creator for Windows and Toast for Macintosh computers, is the best-selling software of its kind and was bundled with about 24 million CD recorders in 2000 alone, accounting for 70 percent of the entire CD recorder market that year.
Roxio Chief Executive Officer Chris Gorog recently said Napster had been a driver for Roxio's business this past year. Analysts said Roxio would be best served by aligning itself with major recording companies as usage on Napster dwindles under the weight of a crippling court order.
Roxio's recording software is included in Microsoft's Windows Media Player 7 and RealNetworks' RealJukebox, software players which enable users to play music or view videos on a PC.
Gorog last month said he hoped Roxio would be the commercial CD recording format for MusicNet if the music subscription joint venture moves into CD burning.
MusicNet is a venture between RealNetworks Inc. (NasdaqNM:RNWK - news), Warner Music (NYSE:AOL - news), EMI Group Plc and Bertelsmann AG's BMG. Duea said Roxio had also been talking with parties in Duet, a subscription service made up of Vivendi Universal and Sony Music .
``We have been talking with various members of MusicNet as well as members of Duet to propose our CD burning solution, but EMI is the first label to say it will partner with Roxio to finalize a solution,'' Duea said.
SONICblue's frontpath and HealthBlocks Announce Partnership to Deliver First Linux-Based Information Appliance to Healthcare Professionals
SANTA CLARA, Calif.--(BUSINESS WIRE)--June 4, 2001--frontpath(TM), inc., a wholly owned subsidiary of SONICblue(TM) Incorporated (NASDAQ: SBLU - news), has formed a partnership with HealthBlocks, Inc. a Web-based medical applications provider. Together, the companies will integrate frontpath's ProGear(TM), a wireless, broadband-based, customizable Information Appliance offering streaming audio and video capability, with HealthBlocks' enSite, a turnkey Clinical Web Integration Framework that is installed over hospitals' legacy information systems enabling the conversion of paper-based clinical information to digital content.
The companies will target hospitals and healthcare facilities that want to provide patient records in electronic format and do not have the capital dollars to invest in larger information systems. The companies believe the ProGear/HealthBlocks enSite solution will help build and deploy an infrastructure that can assist in government regulatory compliance and enable improved healthcare by offering an instant-on, always accessible and high quality view of patient data
``It's time to digitize warehouses full of patient records and put them where they will be used - in the hands of healthcare professionals,'' said Patt Montgomery, vice president, business development and marketing, frontpath. `` We believe this partnership offers the flexibility and speed to bring doctor/patient interaction into the new millennium. We expect that doctors will be able to have up to date information in their hands helping them provide quality diagnosis and treatment for their patients.''
``frontpath provides the elements critical to the healthcare market - advanced, wireless Information Appliance technology, rich media content including X-Rays, CAT Scans and Ultrasounds and brilliant execution on their business strategy,'' said Frank Avignone, co-founder of HealthBlocks. ``We believe our partnership will deliver high-speed customized information connecting healthcare professionals to patient records anywhere from the emergency department to the patient's room while addressing confidentiality, Internet reliability and security concerns.''
ProGear supports X86 compatibility and offers a soft keyboard and a touch screen for quick access to applications or the Internet. The 3-pound product comes with 64mb of system memory, a 10.4`` display, Soundblaster®-compatible audio, microphone/headphone support and a 3-cell battery. An optional 6-cell battery, cradle with integrated USB hub and charging station, keyboard and mouse are also available.
ProGear includes the Linux 2.4x operating system, Netscape® browser version 4.74 and an extensive set of utilities and diagnostics. An ergonomic design, capable of delivering portrait or landscape images, is housed in a thin, yet strong magnesium case capable of delivering portrait or landscape images. ProGear is available in Hard Disk Drive or Thin Client versions.
Price and availability:
Available immediately, the ProGear/HealthBlocks solution cost varies based on configuration, installation requirements, service, support, quantity and customization. For pricing information please contact frontpath, (408) 588 8715 or sales@frontpath.com or HealthBlocks at (214) 561-0603.
About HealthBlocks www.healthblocks.com:
HealthBlocks, based in Dallas, Texas and founded in 1999, is an ``eHealth Infrastructure'' company that leverages a unique combination of people, technology and processes to enhance the quality, cost effectiveness and delivery of healthcare. Our mission is to provide doctors and nurses with innovative information technology so they can more quickly access vital patient information. HealthBlocks provides an economic benefit to hospitals by enabling them to further leverage their existing legacy clinical information systems longer, thus avoiding or deferring the costly task of replacing these systems.
About frontpath, inc. www.frontpath.com:
frontpath, inc. is a wholly owned subsidiary of SONICblue Incorporated - (Nasdaq: SBLU - news). frontpath designs, develops and markets Information Appliance products and services that deliver personalized communication solutions enabling consumers to live a ``connected lifestyle'' at home, at work and at play. frontpath is headquartered at 2841 Mission College Blvd, Santa Clara, Calif.
About SONICblue Incorporated www.SONICblue.com:
sdmi members adds and drops:
DEPARTMENT OF JUSTICE
Antitrust Division
Notice Pursuant to the National Cooperative Research and
Production Act of 1993--Secure Digital Music Initiative
Notice is hereby given that, on April 24, 2001, pursuant to section
6(a) of the National Cooperative Research and Production Act of 1993,
15 U.S.C. 4301 et seq. (``the Act''), Secure Digital Music Initiative
(``SDMI'') has filed written notifications simultaneously with the
Attorney General and the Federal Trade Commission disclosing changes in
its membership status. The notifications were filed for the purpose of
extending the Act's provisions limiting the recovery of antitrust
plaintiffs to actual damages under specified circumstances.
Specifically, IBM, Endicott, NY; MediaMatec AG, Zuerich, SWITZERLAND;
Winbond Electronics Corporation, Hsinchu, TAIWAN; J-Phone
Communications, Tokyo, JAPAN; NTRU Cryptosystems, Inc., Burlington, MA;
Imagination Technologies, Kings Langley, Hertfordshire, UNITED KINGDOM;
MPMan.com. Inc., Seoul, REPUBLIC OF KOREA; Coding Technologies,
Nuremberg. GERMANY; and SSFDC Forum, Tokyo, JAPAN have been added as
parties to this venture. Also, Aegisoft Corporation, Rockville, MD;
AMP3.com/JVWeb, New York, NY; Audio Matrix, New York, NY; BreakerTech,
Beaconsfield, Berkshire, UNITED KINGDOM; CDWorld Corporation, New York,
NY; C-ONE TECH Co., Ltd., Seoul, REPUBLIC OF KOREA; Comverse
Technology, Tel-Aviv, ISRAEL; Digital Media on Demand, Allston, MA;
Encoding.com/Loudeye Technologies, Seattle, WA; Guillemot, Carentoir,
FRANCE; I2GO.COM, Atlanta, GA; J.River, Inc., Minneapolis, MN; LG
Electronic, Seoul, REPUBLIC OF KOREA; M.A.R.S. (Multimedia Archive and
Retrieval System), London, UNITED KINGDOM; MODE (Music-on-Demand),
London, UNITED KINGDOM; MusicMarc, Inc., Jerusalem, ISRAEL; News Corp
(NDS Technologies), Los Angeles, CA; Perception Digital, Ltd. Hong
Kong, HONG KONG--CHINA; Sphere Multimedia, Hallandale, FL;
Supertracks.com, Portland, OR; URocket, Inc., Sunnyvale, CA; Wavo
Corporation, Phoenix, AZ; AudioTrack Corporation, Toronto, Ontario,
CANADA; Cognicity, Inc., Edina, MN; HitHive, Inc., Seattle, WA;
ARTISTdirect, Los Angeles, CA; and Musicmaker.com, Inc., Reston, VA
have been dropped from the venture.
No other changes have been made in either the membership or planned
activity of this group research project. Membership in the group
research project remains open, and SDMI intends to file additional
written notification disclosing all changes in membership.
On June 28, 1999, SDMI filed its original notification pursuant to
section 6(a) of the Act. The Department of Justice published a notice
in the Federal Register pursuant to section 6(b) of the Act on December
2, 1999 (64 FR 67591).
The last notification was filed with the Department on September
21, 2000. A notice was published in the Federal Register pursuant to
section 6(b) of the Act on November 24, 2000 (65 FR 70614).
Constance K. Robinson,
Director of Operations, Antitrust Division.
[FR Doc. 01-13855 Filed 6-1-01; 8:45 am]
BILLING CODE 4410-11-M
thanks-zztak
Toshiba, for example, presented a modified version of its PDR-M70 digital camera which will accept DataPlay diskettes. Toshiba Europe has – in answer to our telephone enquiry – confirmed that the company is actively supporting the DataPlay concept and wants to present and announce the first DataPlay-capable products by the time of the International Radio Show in Berlin (26 August - 2 September 2001). Samsung didn't show any DataPlay-capable digital cameras at CES, instead a miniature drive for DataPlay diskettes operated via the PC card interface of a notebook. For its part, the company SmartDisk showed a mobile intermediate memory device entitled "Mediastor" which, similarly to the Digital Wallet (see digitalkamera.de report of 9 August 2000), is able to copy data from a removable memory card to a DataPlay diskette.
http://www.digitalkamera.de/Info/News/07/23-en.htm
thanks hammer
Toshiba Prepares Pocket PC PDA
The company that brought us the laptop computer is finally ready to make the move to handhelds.
Martyn Williams, IDG News Service
Thursday, April 19, 2001
Toshiba is ready to make its long-awaited entry into the personal digital assistant market. The company will launch its handheld computer in July, a company source tells IDG News Service.
Toshiba is nearing design completion of its PDA, the first from the notebook market leader, which will be based on Microsoft's Pocket PC platform and Windows CE operating system, the source says.
Further details, such as target price and international launch details, are still under consideration.
Toshiba introduced the world to the concept of mobile computing in June 1989 when it launched the world's first notebook computer, but since then, although its machines have gotten smaller, it has never deviated from the basic notebook PC form factor. The new PDA will be a test of whether Toshiba can translate its mobile computing leadership into new markets.
It will face stiff competition from a handful of companies, some already established and others that have more recently entered the market. Among them are Sharp, Compaq Computer, Casio Computer, Palm, Handspring, and Sony.
The latter three companies all have machines based on Palm's proprietary operating system, while Compaq and Casio, like Toshiba, use Microsoft's Pocket PC and Windows CE. Sharp, which has its own operating system, is planning to capture a greater market share by offering machines based on the open-source Linux.
HELP: Somewhere today, buried in a story/post, I read that Intel and Trigem Computer would be coming out with a MP3 player(?)in Korea. For the life of me I can't find that story or post. Anyone know what I am talking about/ and can post it here.