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Technology Stocks : C-Cube
CUBE 36.64-0.5%Dec 5 9:30 AM EST

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To: John Rieman who wrote (46398)10/21/1999 12:05:00 PM
From: DiViT   of 50808
 
PANDORA'S SET-TOP BOX
Chip makers pursue a market that seems short on profit and long on turmoil

eb-mag.com



"There is significant pressure from the [set-top box] manufacturers to reduce the cost of the silicon," says Dataquest's Srivatsa. "The semiconductor makers have to really figure out how to cost reduce and integrate at the same time."

That won't be easy. Srivatsa estimates that the average price of a set-top box this year is $250, and that the semiconductor content of that box totals $160. By 2003, the box price will be closer to $150 and the semiconductor content will be only $75.
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