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Technology Stocks : Zenith - One and Only
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To: Rich Dondo who wrote (4467)2/19/1998 3:42:00 PM
From: Robert Utne  Read Replies (3) of 6570
 
VSB heating up:

TOKYO - AP World News: Japanese electronics maker Matsushita plans to sell television sets and tuners for ground-based digital television broadcasts that begin in the United States in November, a news report said Wednesday. With the move, Matsushita Electric Industrial Co. joins other major Japanese makers who plan to market digital TVs in the U.S. market. Toshiba Corp., Hitachi Ltd. and Sharp Corp. all plan to enter the market by November.

Ground-based digital technology ("VSB")allows broadcasters to vastly increase the amount of information and programming they can deliver. It also allows for video games and other interactive images.

Ground-based digital broadcasting services will start earlier in the United States than in Japan, where such services are expected to start after 2000.
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Lots of players entering the VSB receiver game. Add to the above list for early entry: Thomson (RCA), Philips (Magnavox), and certainly, Zenith. Sony (as usual) appears to be going its own way.

According to Gary Shapiro of CEMA, early digital TV demand will exceed supply.

Also, the more entrants, the hotter the market and more opportunity for Zenith to earn VSB royalties.
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