y: TWOMIL
Reply To: 10383 by haiyaku
Friday, 30 Apr 1999 at 2:06 PM EDT
Post # of 11776
RNWKS & LUCENT and Music Labels
What I believe we'll learn on Monday will have much more to do with
the relationships with the Music Labels. The ML's control the content
we'll all pay for and why should they not cut themselves in on part of
the handheld end user customer piece of the pie. The ML's have been
quiet, yet directive, about what they will and won't accept from the
SDMI in the past 4 meetings. IMO they will continue to use this
influence to capture and secure their strong foothold in the
marketplace.
The Music Labels have no lost love for MP3, and A2B's technology
remains under the cloud of litigation from Lucent. This leaves Lucent
as the most likely ally with the ML's. Should Lucent obtain an
agreement with any of the major Labels, the other ML's will not only
follow but clear the path for Lucent's technology and eDig's designs.
Last week when Lucent announced their partnering with eDig it forced
all the others out of the woodwork---RIO, Thompson E, Creative
Labs-- to make their statements. If these companies cannot secure a
relationship with the ML's, they will not be strong factors in this
industry.
I foresee the ML's also interposing themselves in that small space
between the consumer electronic companies and the end user.
Should a consumer electronic company not hook up with the
"economically and politically correct" component provider (Lucent),
will their handheld work with the ML's content? It may not.
Over the long term the ML's will emerge much stronger and profitable
than they've ever been because the consuming public will have even
easier access to content and at a lower cost than current distribution
channels.
eDig is privileged to be working with the strongest and most capable
component provider (Lucent) emerging in this industry. I do not see
any of the other handheld OEMs so positioned. The profits awaiting
eDig are enormous given the above extremely likely scenario.
The strong position eDig holds in this market is still not apparent to
most investors. Since the SDMI meetings in London go from 5-3
through 5-5-99, I expect a lot of announcements to crowd in during
these meetings.
This baby gorilla is being groomed and readied for an amazing
debut. It will be much more than xMas in May for shareholders in this
company.
As more and more news of the industry gets released I've become
even more impressed with what management of this small company
has achieved. The key to profiting through shareholder status has
always been the skill, determination, and ability to focus by a
management team. Since Mr. Falk has been at the helm, his focus
and performance has been spectacular. If there were ever a bonus
that was deserved, it's his for the asking as far as I'm concerned. As
shareholders, perhaps that's what the board of directors should hear
from us.
Good luck to all. |
