Toys “R” Us posted wider 3rd quarter loss as store remodeling expenses and waning consumer confidence following Sept. 11 attacks hurt results. Retailer also reported strong initial sales of Microsoft’s Xbox and Nintendo’s GameCube, having largely sold through first shipments soon after launch of new videogames platforms Nov. 15 and Nov. 18, respectively, CEO John Eyler told analysts in conference call Mon.

Total retail dollar sales of videogame hardware, software and accessories climbed 33% to $4.3 billion in Jan.-Sept. despite weak economy, NPDFunworld said in survey released Mon. It said unit sales in same period were up 12%, led by increases of 62% in consoles, 35% in portable video accessories, 23% in portable video software, 19% in console accessories, 17% in handhelds. NPDFunworld said new record sales were “likely” for videogame industry in 2001, given debuts this month of GameCube and Xbox and fact that 4th quarter typically accounted for half of industry’s annual volume.

State of Wis. Investment Board has boosted stake in SonicBlue to 9.2 million shares from 5.2 million -- 6.5% of outstanding common in April.

Best Buy said it had been given U.S. exclusivity on first PCS phone with GPS capability. Samsung’s N300 Sprint PCS phone lists for $150. Best Buy said that although GPS location-based emergency services wouldn’t be available until next year, Samsung N300 has technology required to support those services.

Paula Prahl, ex-Honeywell, joins Best Buy as vp-industry & public affairs, new post; John Thompson, Best Buy senior vp- supply chain & business systems, elected a trustee, Best Buy Children’s Foundation… Robin Richards shifts to CEO of new Vivendi Universal Net USA Group from chmn.-CEO of Vivendi’s MP3.com; Laura Martin, ex-Credit Suisse First Boston, joins Vivendi Universal Jan. 1 as exec. vp-investor relations & financial strategy… David Risher to leave in March as Amazon.com senior vp-mktg. & mdsg… Mark Yonker, ex-Wieden & Kennedy, returns to InFocus Jan. 1 as CFO, replacing Scott Hildebrandt, resigning… Phil Rittmueller, onetime Alpine and Jensen, appointed NEC Technologies vp-automotive electronics, replacing retiring Scott Onuki, who will stay on as executive adviser to company.

Joint reference design kit said to enable rapid cost- effective development of products combining DVD playback with personal video recording (PVR) functions was introduced by ESS Technology and Stream Machine. Encore reference design combines Stream Machine’s SM2288 MPEG AV codec chip with ESS Technology’s Vibratto single-chip DVD processor device. Kit is available now, pricing undisclosed.

SonicBlue said it had hired Fenwick & West law firm to defend company in ReplayTV 4000 copyright infringement suit filed Oct. 31 by major entertainment companies (CED Nov 2 p1). Fenwick & West attorney Laurence Pulgram said case was “crucial” for consumers because it would decide whether copyright laws could be “stretched to prohibit features that make it more convenient to watch TV.” Suit charges that “CommercialAdvance” and “SendShow” functions on ReplayTV 4000 personal video recorder violate Supreme Court’s fair use ruling in 1984 Betamax decision. Pulgram said: “The networks are trying to undo that decision 17 years later, claiming that consumers who choose to skip commercials, or who send a show to someone else who missed it, are copyright infringers. But if dodging commercials is against the law, you'd have to strap people in their chairs and snatch the remote out of their hands.”

Thomson continues to target delivery of 50W TV based on Three-Five Systems’ liquid crystal on silicon (LCOS) technology for year-end as it works to improve picture quality. “We're not happy with the picture quality yet,” Thomson spokesman said. “It’s a day-to-day improvement issue and we'll start production once we're convinced we have the right set of circumstances.” Thomson had planned to start limited rollout of 50W in late Sept. Three-Five’s 0.78” LCOS display is at heart of high-end RCA Scenium TV line. It has 1,280x720p resolution and 600:1 contrast ratio.

Bizarre behavior is evident on new copy-protected CD that, besides foiling copying, won’t play correctly in PCs and some audio CD players we tried.

Samsung is said to be briefing dealers on DVD player that can upconvert disc’s 480 line progressive scan (480p) signal to 720p for display on HD-ready sets.