Is the following BAD news or GOOD news ??
I would think you would NOT want to license your product, unless the company was not doing well. So why has USRX licensed their X2?
The news clip follows.
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ESS Technology Licenses x2(TM) 56K Technology From U.S. Robotics(R)
PR Newswire, Thursday, May 29, 1997 at 15:48
FREMONT, Calif., May 29 /PRNewswire/ -- ESS Technology, Inc.
(NASDAQ:ESST) announced today it has licensed x2 technology for 56Kbps-modem
operation from U.S. Robotics (Nasdaq: USRX). ESS will offer the 56K download
speed option in its ES2820 DSP-based modem chipset line of integrated circuit
communications solutions.
The new 56K modem will be inter-operable with other x2 modems, as well as
Internet services supporting the x2 technology, and will be upgradeable to the
56K standard ultimately adopted by the ITU standards organization. The ESS
x2-compatible 56K chipset is expected to be available in the third quarter of
1997.
"The addition of true x2 56Kbps capability solidifies ESS' advanced modem
product offering," said Bo Ericsson, vice president of marketing at ESS
Technology. "We will implement x2 technology in our stand-alone modem
products and provide a seamless x2 upgrade path for current modem customers.
As the world leader in PC audio, ESS also intends to take advantage of x2
technology in future architectures combining audio and modem. We look forward
to working with U.S. Robotics and other leaders to bring the higher speeds
that x2 provides to the broadest market possible."
"This agreement with ESS Technology is another testament to x2's leading
position in the marketplace for 56K technology," said Joe Dunsmore, vice
president, U.S. Robotics. "And it expands the options available for modem and
PC manufacturers who implement x2. Modem companies can also be assured that
x2 is supported by most of the world's largest ISPs. Already, more than
350 ISPs provide x2 service today in nearly 870 cities across the U.S. and
Canada."
ESS Technology, Inc. is a leading supplier of PC audio and digital video
semiconductor solutions for the PC and consumer markets. ESS designs,
develops, and markets highly integrated mixed signal semiconductor and
software solutions for multimedia applications. ESS, headquartered in
Fremont, California, has sales and technical support offices in Beijing and
Shenzhen, China; Tokyo, Japan; Taipei, Taiwan; Hong Kong; and Austin, Texas.
ESS Technology is listed on the Nasdaq Market System under the symbol ESST.
World Wide Web site: esstech.com
x2 products are capable of 56K downloads; however, due to FCC rules, which
restrict power output of service providers' modems, current download speeds
are limited to 53K. Actual speeds may vary depending on line conditions.
The matters discussed in this news release include certain forward looking
statements that involve risks and uncertainties, including the timely
availability and acceptance of new products, the impact of competitive
products and pricing, the dependence on continued growth in demand for PC and
consumer multimedia products, the management of growth of the company, and the
other risk detailed from time to time in the SEC reports of ESS, including the
report on Form 10-K for the year ended December 31, 1996. Actual results
could differ materially from those projected in the forward-looking
statements.
NOTE: x2 is a trademark of U.S. Robotics.
SOURCE ESS Technology Inc.
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