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To: NY Stew who wrote (6606)	9/19/1999 7:55:00 PM
From: Mike Buckley	Read Replies (2) \| Respond to of 54805

Stew, Thanks for posting the quote from the annual report. I draw the same conclusions from the Stephens report dated 6/23/99. However, their much shorter update relating to Cablevision's commitment to purchase 3 million set-top boxes from Sony gives me reason to think we can't rely on a paraphrase of the agreement when the devil might be in the details. The following is from the 9/17/99 report just issued by Stephens, though the bold font is mine, not theirs: "Although representatives of Cablevision stated during the call that they have not yet selected an IPG provider, we believe that under terms of the Gemstar/Sony agreement, Gemstar should receive about $10 per box from Sony -- regardless of which IPG provider Cablevision ultimately selects. ... We will revise our earnings estimates accordingly once the terms and impact of the agreement are clarified." Until I can hear from someone who has read the licensing agreement, I need further clarification to be certain of the strength of Gemstar's lock. In any event, Gemstar is closer to benefitting from Cablevision now than before they did their deal with Sony. Your thoughts, now that this might be added perspective for you? --Mike Buckley