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To: E. Graphs who wrote (8463)12/15/1997 2:44:00 PM
From: Moonray  Read Replies (1) | Respond to of 25814
 
E., thanx for posting the Falcon news. Let's hope PowerTV
is selected for this (or something like it!):

Message 2967021

o~~~ O



To: E. Graphs who wrote (8463)12/15/1997 3:57:00 PM
From: Moonray  Read Replies (1) | Respond to of 25814
 
More: Tele-Communications to Order 5 Mln to 10 Mln Set-Top Boxes

Englewood, Colorado, Dec. 15 (Bloomberg) -- Tele-
Communications Inc. plans to order 5 million to 10 million
digital set-top boxes during the next few years, and expects
details by today's deadline from companies that want to help make
them.

Intel Corp., for one, said it's vying to provide its
microprocessors for the boxes that will connect cable customers
to digital television and the Internet. Microsoft Corp. is
already negotiating with TCI on a software contract, the Wall
Street Journal reported today. Microsoft declined to comment.

Microsoft, Intel, Oracle Corp. and others are rushing to
develop software and parts for the boxes that are expected to
make their way into more than 65 million U.S. cable homes. The
devices will provide a new source of revenue for their makers
while letting TCI and others offer more channels and high-speed
Internet linkups to attract customers and boost sales.

''There's a palpable excitement at TCI. (TCI) is saying get
us your stuff, because we're ready to go,'' said Ted Henderson,
an analyst at Janco Partners.

TCI Chairman John Malone said at a cable industry conference
last week that TCI and other cable providers may order as many as
25 million boxes over the next several years. Analysts value the
orders at about $10 billion.


TCI recently sent out a 140-page request for information to
the high-tech companies. TCI declined to comment on which
companies it solicited and which ones responded.

''A number of responses has been received and we're very
encouraged by the early interest,'' said LaRae Marsik, a TCI
spokeswoman. She said TCI is on a ''fast track to review the
responses.''


1999

TCI is aiming to begin shipping the boxes that sit atop TV
sets to consumers in early 1999. Analysts expect the boxes to
cost TCI about $300 each.

''This is a business we want to be in,'' said Intel
spokesman Tom Waldrop. ''We'll be an active player.''
Santa Clara, California-based Intel would likely supply
components for the new boxes the same way it supplies computer
chips for PCs, he said.

The contracts also may include an investment in TCI, pricing
discounts or revenue-sharing agreements, the Journal said.

TCI declined to say whether it's interested in selling
stakes to technology companies.

''We're looking at a lot of different scenarios. It's too
early to say, but I wouldn't rule anything out,'' said Lela
Cocoros, another TCI spokeswoman.

Microsoft has already invested $1 billion in Comcast Corp.
and has talked to other cable companies such as Cox
Communications Inc. and Time Warner Inc.

Oracle is vying for a piece of the market that's developing
for software applications that run on the boxes.

David Roux, executive vice president of Oracle's corporate
development, said last month that Oracle is talking to cable
operators like TCI and Time Warner about the technology necessary
for the boxes.

Oracle Chairman and Chief Executive Larry Ellison has said
that the database software maker has no interest in investing in
cable companies, although it might join up with them.

Set-top box maker NextLevel Systems Inc. has already shipped
500,000 digital set-top boxes to TCI that will be used until TCI
selects a vendor for the more-advanced devices. NextLevel is
competing with Scientific-Atlanta Inc. and others to make
the boxes that will run on other companies' software and chips.


o~~~ O