Rande: Just came across this on SONY. Thought you might be interested
Sony Denies Buying Into U.S. Network
February 4, 2000
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NEW YORK (Reuters) via NewsEdge Corporation -
Sony Corp. (6758.T) Friday strongly denied a Japanese newspaper report that the electronics giant intended to take an equity stake in one of the major U.S. TV broadcasting networks.
``The entire story is speculation -- it is wrong to its very core,' Sony Corp. of America spokeswoman Ann Morfogen told Reuters.
She was responding to a report out of the New York bureau of Japan's largest financial daily, Nihon Keizai Shimbun (Nikkei), quoting Sony President Nobuyuki Idei as saying the company wanted a stake in a network in order to boost its electronic-commerce business.
The English-language version of the Nikkei report, prepared for Saturday's edition of the newspaper, cited financial analysts as saying CBS Corp. (CBS.N), which is soon to merge with media giant Viacom Inc (VIA.N), was ``the most viable partner for Sony.'
``Sony is not interested in CBS,' said Morfogen. ``I don't know where Nikkei got it -- it is dead wrong. Can I be any clearer than that? He (Idei) did not say that.'
Asked if Sony might be interested in General Electric-owned NBC (GE.N) or ABC, which is owned by the Walt Disney Co. (DIS.N), the spokeswoman repeated that the entire story was speculation.
``They (Nikkei) just asked 'what if this?' or 'what about that?' It's pure speculation.'
CBS stock was up $3 at $64-15/16 in midday trading on the New York Stock Exchange.
In addition to consumer electronics, Sony operates a movie and music business in the United States. By linking a media business to the two, Sony could create new sources of revenue in the fast-growing field of e-commerce, the Nikkei report said.
The newspaper noted that no Japanese company had ever invested in a major U.S. broadcaster and that Washington limits foreign stakes in broadcasting companies to 20 percent.
In what it said was an exclusive interview, Nikkei quoted Idei as saying progress in digital technology ``will turn U.S. networks, which can marshal a vast audience, into giant platforms for e-commerce.
``We want to be able to exert influence in the management of a partner,' he added.
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