Interesting SEAC COMMENTS:
Interview on Radio Wall Street
with Jim Nicholson,CEO, President
and lead portfolio manager with
WestGate Capital Management,which
operates a hedge fund. Interviewed
Sept. 22. Explains why his fund has
sizeable holding in SEAC:
"Seachange is a smaller name, and
I think it's a long-term hold.
They are located up in Maynard, MA.
And they develop and market products
that store and distribute digital video
for television and telecommunications
companies.
When you go to a hotel, their media
cluster product is the product that
allows you to have video on demand at
the hotel. They control about 80% of
the digital ad insertion market. When
a cable company goes to commercial, it
allows them to regionalize the commercials.
Now, those are nice products, but what
we are most excited about..is they have a
video -on- demand product that will allow
you, on your television to pull up a
library full of movies that you can watch
any time. You can pause them or rewind
them. This is the product that Blockbuster
video has been fearing for about the
last 10 years.. And it's finally coming
to fruition. It's being test marketed ,
field tested now. It will be out sometime
next year. Not only in the US. I know in
the UK, TeleWest which is the second
largest cable company there, , will be
testing in about 20,000 homes?and
they expect to have it in the second
half of next year, and they are using
the Seachange product as well.
So Seachange is a name we like for the
long term, I think its going to do some
nice numbers. "
--How about the competitive environment?
"There is one other company that does
the video on demand product, but Seachange
has a head start..and because of their
other products, Seachange has contacts
and contracts the competition does not have."
For the complete interview: vcall.com.default.htm |
