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To: DiViT who wrote (28786)	1/26/1998 5:02:00 PM
From: John Rieman	Respond to of 50808

Sony/Fujitsu low powered chips................................. digitaltheater.com Sony/Fujitsu/Chips -2/ Digital TVs Seen As Application <Picture> [ Back to the News \| Back HOME ] Nikkei English News via Individual Inc. : The most important application for the new chips will be for products that are 'more sensitive to power consumption, portability and compactibility,' said Lintz of Sony. Cellular phones are one example, but there are a variety of products that will use the devices, he said. Kubota of ING Barings said that digital televisions are another product that will use the chips. Digital TVs are expected to start hitting the market in a bigger way over the next few years. Sony plans to start selling a digital TV this year. 'I wouldn't say cooperation is in any way related to the introduction of digital TVs,' said Lintz. 'On the other hand, there's no reason the chips couldn't be used for digital TVs.' Lintz said that while Sony has no plans on where it will sell the products, it might market some of them outside the company and use some for internal purposes. In the 1980s, Sony started to supply some chips on an original equipment manufacturing basis; it also uses some of the semiconductors it produces for its own products. Kubota predicted that Sony would try to make a profit of its semiconductor device business, partly by focusing of the digital TV market, but Lintz would only say that Sony has tried to stay at the forefront of technology, is a well-integrated company and that 'we do produce much of what we use.' 'For Sony, semiconductors and circuits account for a small fraction of our revenues and profits overall,' Lintz said. A spokesman for Fujitsu indicated that its output from the production line is likely to be more for external customers. On prices for the new system LSI chips, Lintz said that as a general rule, he expected that customers would pay a premium for chips 'close to the cutting edge of technology.' -By James Paradise; 813-5255-2933; jparadise@ap.org <<Nihon Keizai Shimbun, Inc. -- 01-23-98>> [Copyright 1998, Nikkei America]