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Technology Stocks : C-Cube
CUBE 37.08+0.4%3:59 PM EST

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To: Bob Strickland who wrote (36528)10/6/1998 1:00:00 PM
From: JEFF K  Read Replies (4) of 50808
 
France's ST to sell Single DVD Chip, 1/2 cost

Paris, Oct 6, (Bloomberg) -- STMicroelectronics NV said it will soon start selling a single microprocessor that will replace a set of four currently used in digital video disc players, cutting the cost in half.

Europe's second-biggest semiconductor maker after Philips Electronics NV said it made samples of the chips available today and plans to mass market them in the fourth qtr. They will cost less than $30 a chip, between 30-50% less than products now on the market.

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With this new product , ST aims to take more than 50% of the market up from 15% now.

ST's biggest competitors in the market for DVD products are LSI and C-Cube both based in the US. Lambinet declined to name ST's clients for DVD products, except to say they include two of the world's five top consumer electronics makers.

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