To: Matt Brown who wrote (886 ) 6/30/1999 9:57:00 AM From: CMS27 Read Replies (1) | Respond to of 3514
Some corrections on KIDE. "The current market leader is KIDE." You say this as if KIDE and SYCD are the same types of business. They simply aren't. KIDE is a liscencing company and has an agreement with Nintendo to liscence all products sold outside of Asia. They do not make, distibute or sell Pokemon products. For example. If you want to make Pokemon posters, you fisrt sign a deal with KIDE, actually with Nintendo via KIDE to make and sell them. Nintendo and KIDE get royalties. KIDE is like the agent for a football player and Nintendo is the player. Whatever SYCD sells must have been made by a company with a liscence agreement with KIDE or else it violates Nintendo and KIDE agreement. There are such products called gray market goods. It is in both Nintendos interest and KIDE's interest that these products are not sold in the US. It is also in both parties interest that KIDE be the exclusive liscensor. It has to do with legal presecednt of protecting a product. They let one guy under the wire and everyone else, will have the legal excuse to do the same. Nintendo has a vested interest that this not happen. So there is no loophole for stuff made in Japan. Much of the KIDE licenced product is made overseas. The key is not where it is made, instead it is where it is sold. Anything sold outside Asia has to have KIDE's approval and in fact a signed agreement with them. "KIDE is the U.S. Licensee to have Pokemon product manufactured. KIDE farms out the manufacturing of their product." Once again partly wrong here. They sign agreements with companies who wish to make and sell Pokemon goods. They don't themselves make any products, farm out making products or distribute products. "These videos can be manufactured anywhere. U.S. or Japan. The KIDE license agreement apparently has no bearing on the video market." The liscence agreement for videos is not so cut and dry, I can't easily explain it. KIDE does have a bearing however. They have a bearing on anything sold in the US excpet Nintendo's game. I'm not trying to trash your stock here or pump up KIDE. But you all should do a little followup because SYCD is not really all that unique. IMHO I think they are using the Pokemon name to hype the stock. You can find the same vid that is on the SYCD site on Amazon.com. So how special is SYCD? IMHO KIDE is a better play. They have a piece of everything, movie, cards, tapes and toys. Good luck, Scott