In cost-cutting move owing to high-tech slowdown, Toshiba will halt semiconductor production for 2-4 days this month and next. Company said slowdown would idle 12,000 employees at 3 of 4 plants in Japan, with work force taking 10% pay cut during hiatus. Company said that besides salary outlays, it would make savings in cost of electricity to run plants.

Handspring signed agreement with former Palm acquisition target Extended Systems to jointly sell and market latter’s data and device management software with Handspring’s Treo and Visor handheld PCs. Treo and Visor, using Extended Systems’ XTNDConnect Server, can connect and exchange data directly with groupware servers and databases. Palm abandoned proposed purchase of Extended Systems earlier this year after stock price plunged as it battled rising inventory and sharp drops in price on its handheld PCs. Palm also has agreement to sell Extended’s XTNDConnect server software with its handheld PCs.

Keith Lehmann leaves Rockford Corp. as managing dir. of MB Quart, replaced by Jeff Peters; Ran Furman appointed e.Digital CFO.

Bluetooth technology will reach mass market with introduction of Bluetooth-enabled mobile phones, handheld PCs and PDAs and wireless headphones, Arc Group reported. Bluetooth connects mobile device via unregulated 2.4 GHz band and provides 1 Mbps connection with range of 30 ft. Market for Bluetooth cellphones will grow to 98 million in 2003 from 26.2 million devices in 2002 and 1.5 million this year, Arc predicted: Combined General Packet Radio Service/Bluetooth handsets would “allow consumers to bridge between the Internet and their personal portable devices, providing wireless mobility with real benefits.” Introduction of 3rd generation wireless services will further increase value of Bluetooth-enabled phones, it said. Several automakers will use technology to integrate mobile phones with onboard telematics systems by 2003 model year. Handheld PCs and PDAs also will drive acceptance of Bluetooth, but majority of devices will be enabled through adapter products such as compact flash cards, clip-on devices or Bluetooth sleeves, report said, and possible “killer application” for Bluetooth is wireless headphone. ARC Group estimated “mass market” for headphones would reach 158 million units in 2006 from 5.8 million next year.

Koss said first quarter profit dipped to $1 million from $1.3 million as sales slumped to $8.9 million from $9.8 million on sharp drop in licensing revenue. Royalties under licensing agreement with Orient Power subsidiary Jiangsu Electronics Industries declined to $167,714 from $293,888 as sales of Koss branded CE products were “dramatically affected by depressed market conditions” in quarter, Koss said in SEC filing. Koss recently extended agreement with Jiangsu through Dec. 31, 2002. It has similar agreement with Logitech for PC speakers, although licensing revenue from that pact wasn’t disclosed. Gross profit slid to 39% from 40%. Koss also amended $10 million credit facility with LaSalle Bank in Oct. to extend it through Nov. 1, 2002. Koss had drawn $3.4 million on facility as of Sept. 30.

Loudspeakers generate sound by moving air, but the latest brainstorms from 2 audio companies would have customers sucking wind to build the speaker itself. British company Ellula Sounds (www.ellula.com) licensed NXT’s flat-panel driver technology to make small, inflatable speakers. When filled with air, speakers resemble brightly colored beach balls and are meant for use with portable stereos and PCs with low-powered amplifiers. NXT flat panel produces sound that makes entire inflatable resonate. Blowups cost about $45 per pair.

Economic considerations won’t dampen holiday spending on CE products, and DVD players lead list of items people want to give or receive. Those were findings of 2 separate polls by online retailer eBay released Wed. E-tailer said poll of purchasing plans conducted Sept. 6-9 -- before Sept. 11 terrorist attacks - - found 70% of adults polled said they would spend same or more on holiday shopping as last year while rest said they would spend less. Poll Oct. 18-21 among equivalent representative group and asking same questions found 71% would spend same or more, with rest cutting back. In separate wish-list poll, eBay said 31% of respondents chose DVD player as item they would “love to give or receive.” Next choice was digital camera (27%) followed by flat- screen TV (25%). Videogame consoles ranked 7th (12%) on list, with Sony’s PlayStation 2 “most wanted” followed by Microsoft’s Xbox and Nintendo’s Gamecube. E-tailer cautioned that those console preferences might change when Xbox and Gamecube made debut in next 10 days.

Blockbuster consumers who buy 52-week DVD rental card on Thanksgiving Day qualify for free Philips DVD player, Blockbuster announced Wed. Hardware giveaway is among aggressive 4th-quarter promotions planned to reach goal of having DVDs account for 30% of U.S. rental revenue by year-end. Other offers: (1) Customers who buy $150 Philips DVD player through Jan. 7, 2002, qualify for free 10-week DVD rental card. (2) Free 5-day DVD rental will be available Dec. 1-Jan. 31 to customers who bring in proof of purchase of any DVD player from any retailer.

Acclaim Max Sports division of Acclaim Entertainment expanded its Extreme line with addition of Chris Edwards Aggressive Inline for next-generation hardware platforms. Title is under development with Z-Axis, same team as made Glen Cove, N.Y.-based Acclaim’s Dave Mirra Freestyle BMX. Acclaim said game “will be the first-ever aggressive inline skating game when it launches in the summer of 2002.” Separately, Acclaim said it would have 20 titles available across hardware platforms this holiday season. CEO Gregory Fischbach said his company was “well positioned to capitalize on this rapidly expanding marketplace.” Slate includes 9 games for PS2, 5 for GameCube, 2 each for Game Boy Advance and PlayStation One, one each for Xbox (Dave Mirra Freestyle BMX2) and Game Boy Color (Mary-Kate and Ashley Crush Course). Company said it was backing each of its key holiday releases with integrated marketing campaigns, including Internet, print, PR, TV.

Higher than forecast yields have given Nintendo of America added comfort that company is “in good shape” to meet its previously announced production targets of 2.5 million GameCube consoles for N. America by year-end, Peter Main, subsidiary’s exec. vp-sales & mktg., told Gerard Klauer Mattison conference in N.Y.C. Wed.