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Technology Stocks : Creative Labs (CREAF)

CREAF 0.440

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Dec 11 9:30 AM EST

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To: buckeye3d who wrote (6548)	12/5/1997 12:27:00 PM
From: Jon Tara	of 13925

I doubt that D-VHS will go anywhere for playback any time soon. It certainly will work it's way into camcorders, but it is going to take some time for the pricing to become attractive, and will work it's way down from the high end. There are (expensive) digital camcorders now, but they all work on proprietary standards. There will probably be somewhat of a standards battle, too, as the manufacturers will not want to give up the margins associated with proprietary products. The movie industry will never release anything in D-VHS. They will go ballistic over even the thought of it. Further, tape is really a horrible media for mass distribution. CDs and DVDs are MUCH less costly to manufacture. They basically stamp them out, while tapes need to go through a relatively time-consuming recording process. The DVDs are much more suitable for rental, and the rental places are not going to want to go back to tape once they have had DVD.

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