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Technology Stocks : Diamond Multimedia -- Ignore unavailable to you. Want to Upgrade?

To: Eric Winterhalder who wrote (3716)	10/10/1998 7:43:00 AM
From: Robert Scott	Respond to of 4679

passcode is wrong. Anywhere we can get the right one? Thanks

To: Eric Winterhalder who wrote (3716)	10/12/1998 7:52:00 PM
From: Rick O'Donnell	Respond to of 4679

Diamond Multimedia is living in denial about the Rio. Regardless of how Diamond or Goodnoise want to read the Audio Home Recording Act right now (specifically excludes computer storage etc), it is extremely unlikely that this will be permitted by law in future even if Diamond get away with it this time (which I doubt). The act was designed to prevent digital piracy and its current wording is at best ambiguous. My belief is that the court will rule that Diamond must abide by the Secure Copy Management System provision and pay the 2% royalty on the devices as prescribed by the act. The Digital Millenium Copyright Act is on its way and this is going to have significant impact on devices such as the Rio in 18 months or so news.com At the very unscientific price of $199, I can't see how an extra $4 is going to kill Rio sales. However if the RIAA decide to go after the ripper and encoder software providers, this could really damage Rio sales. For this reason, Diamond's optimal policy is to agree to meet the AHRA requirements. Rick