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Technology Stocks : Zenith - One and Only

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To: Terry Berg who wrote (3566)	12/7/1997 8:44:00 AM
From: Robert Utne	Read Replies (1) of 6570

Terry, Andy offers an excellent analysis of the current confusion within the video and music industries regarding which digital distribution models will prevail. While the content providers, manufacturers and distributors battle it out, the consumer is sitting it out. Lots of unhappy people (DVD owners) over at the Divx site: dvdresource.com Same situation (consumer confusion and inaction) could happen to digital TV if the CE crowd allows the Mitel crowd to get its foot in the door. The CE industry fully realizes this possibility and is doing something about it. At the International CES, ATSC and CEMA are going to issue official certification standards of HDTV and SDTV for manufacturers to follow. If they do, they get to put the ATSC/CEMA HDTV and SDTV logos on their products. I think Zenith is playing it just right. Introduce a digital TV which is only capable of receiving the 1080 interlaced-scan standard and incapable of receiving progressive-scan output. It freezes out the progressive-scan (computer) adherents and keeps the cost of the initial HDTVs within reason (no costly monitor required). ATSC and CEMA need to keep the HDTV standard pure. HDTV isn't 750 progressive scan as Bill Gates is pushing; it's 1080 interlaced. Allowing the Mitel crowd to piggyback on the 20 some years and hundreds of million dollars of HDTV development at this late stage would be a tragic mistake and only serve to confuse the consumer and push back the implementation period another decade. The ATSC/CEMA logo for HDTV definitely will be on every Zenith HDTV set. If the ATSC and CEMA want to kill HDTV in its tracks, they'll give the logo to Gates, too.

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