MW:
I was intrigued by Source Media's January 13th announcement referring to Microsoft, Sun Micro Systems and TCI and considered investing.
Before investing I did some checking and was not pleased at what I found out. There appears to be misrepresentations in their January 13th press release.
First, the release stated:
"The Interactive Channel is the only commercial, market-tested programming service designed for the digital cable platform."
This implies they are commercial digitally. My sources say they are not. Worse yet, Source claims it has previously announced "compatibility with both NextLevel and Scientific-Atlanta digital set top boxes" and is "deployable today in digital cable systems." NextLevel digital are the only boxes that are being deployed now, but my sources state that Source Media's application cannot yet be delivered to NextLevel boxes.
It is true that NextLevel has announced a deal with Wink, Cablesoft, Worldgate, ACTV and Source Media, but my sources say that Worldgate and ACTV are the priorities and that the Source Media work needed in order to be compatible is down the road.
If Source Media cannot even deliver to the current digital boxes being deployed, then what is the significance of announcing compatibility with future digital boxes' operating systems based on Windows CE and Personal Java? At best, it is an indicator of long term direction.
Furthermore, Source Media appears to have no relationships with TCI, Microsoft or Sun. Although Source Media may have an excellent product and strategy, it is overstating its position and the facts.
If I am right in saying that Source Media has misrepresented or at least overstated its industry position, then this is a cautionary sign. I didn't invest and would encourage others to investigate if my information is correct.
RJC |
