To: Dale Stempson who wrote (2583 ) 10/24/1998 3:42:00 AM From: Rocky Reid Read Replies (1) | Respond to of 10072
Looks like Iomega could be preparing for life without Fuji ATOMM technology. This was posted on TMF board (boldface is mine):boards.fool.com October 23, 1998 Nikkei English News via NewsEdge Corporation : TOKYO (Nikkei)- Mitsubishi Chemical Corp. plans to enter the Zip-disk business, marketing the disks in Japan, the U.S. and Europe by year-end. The firm will be supplied on an original-equipment-manufacturing (OEM) basis with Zip disks from their U.S. developer, Iomega Corp. Fuji Photo Film Co. (4901) now makes the internal magnetic media for Zip disks, which Iomega assembles in a case and markets. Iomega also supplies the disks on an OEM basis to Fuji Photo Film, Hitachi Maxell Ltd. (6810) and others. At first, Mitsubishi Chemical will be supplied on an OEM basis as well, but the firm is also pushing development of its own media in order to cut into the supply sourced from Fuji Photo Film. This past summer, Mitsubishi Chemical suspended production of regular floppy disks, whose profitability had been deteriorating badly. ------- I suspect that Iomega is trying to get Mitsubishi Chemical to come up with a formula that works like Fuji's ATOMM technology. The portayal in the news release of a strategy to "cut into the supply sourced from Fuji Photo Film" is ridiculous. Why would Iomega want to piss off its only source of patented media if indications hadn't already been made by Sony-allied Fuji that they were pulling ATOMM tech media from Iomega? What is amusing is that there is no guarantee that anything else Mitsubishi comes up with will be as good as Fuji's ATOMM tech. And Nomai's media tech was proven by Iomega and their "independent labs" to damage Zip drives. So much for them. So reliability for Zip drives and discs is now completely up in the air. Just wait till the Street gets word of ATOMM-tech Zip discs disappearing from the face of the Earth. And the new vanguard of ATOMM-tech? Why, Sony/Teac/Fuji 200MB HiFD, of course.