Bankceo, VSB (vertical side band) is the terrestrial transmission portion of the new ATSC standard, approved by the FCC, for the new age of digital TVs (replacing the present analog, NTSC standard).
The only competing standard is offered by the Europeans.
Canada and Korea also have announced that they will go withthe ATSC standard. Thus, for every digital TV sold in Canada and Korea, Zenith earns a VSB royalty. Mexico is expected soon to announce the acceptance of the ATSC standard and the rest of Latin America and the Caribbean are expected to follow Mexico. Big markets in India, China and the C.I.S. are all up for grabs.
Assuming that ATSC wins out in just half the world, Zenith's VSB royalites will be humongous. Add to the royalties, Zenith sales of HDTV receivers and sets, SDTV sets, VSB converters, PCs with VSB cards, Divx and DVD players, STBs, cable modems, etc. and the plot further thickens. That's the upside.
The downside is that ZE may be unable to turn the corner before it runs out of cash. |
