There will be no Innovacom chip...
InnovaCom To Sell Off ASIC Design Project; 'Company To Focus On DTV and DVD Industries'
06/18/98
PR Newswire
(Copyright (c) 1998, PR Newswire)
SANTA CLARA, Calif., June 18 /PRNewswire/ -- InnovaCom, Inc., (OTC Bulletin Board: MPEG), a development stage technology company whose principal product focus is video compression technology and its related systems, announced on June 13th a restructuring of the company's direction. Part of the restructuring is the discontinuation of its ASIC design project. The closure of the project was decided by the company's Board of Directors, after re-evaluating the company's corporate mission.
"The ASIC design team's project has been brought to a close," remarks Frank J. Alioto, the newly elected President for the company. "In addition, we're seeking buyers to acquire or license the project's intellectual property rights and currently, are in discussion with several interested parties."
As part of the company's realignment, InnovaCom will focus on near term sales, production and delivery of a family of products based upon its core expertise in video compression technologies. The new generation of products targets the burgeoning DTV (Digital Television), communications and DVD authoring and production markets.
"InnovaCom's core technological expertise is an ideal fit in the new digital television landscape. There is a rapidly emerging need for flexible and scalable systems tied to the professional usage of the MPEG-2 digital standard. There is also a need for affordable DVD authoring and production tools using compression techniques," continues Alioto. "This company has significant knowledge and expertise in these markets. The digital television arena represents a tremendous revenue opportunity that we will capitalize on in the very near term."
InnovaCom, Inc., is located at 3400 Garrett Drive, Santa Clara, Calif. 95054. For more information, please call us at: (Ph) 408-727-2447; (Fx) 408-727-6625 or visit our website at: innovacom-mpeg2.com. For Investor Relations, please call: (ph) 888-464-6764.
This Press release contains forward-looking statements. These statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated in the forward looking statement. Factors that might cause such a difference include, but are not limited to, the factors set forth under "Risk Factors" in the company's registration statement on Form SB-2 which was declared effective by the Securities and Exchange Commission on May 15, 1998.
Readers should not place undue reliance on forward looking statements, which only reflect the view of management as of the date hereof. The Company does not undertake the obligation to publicly revise these forward looking statements to reflect subsequent events or circumstances. Readers should carefully review the risk factors described in other documents the Company files from time to time with the Securities and Exchange Commission.
/CONTACT: Investor Relations for InnovaCom, Inc., 888-464-6764/ 19:17 EDT
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