Gateway discontinued Connected Touch Pad, joining growing ranks of companies abandoning Internet appliance business. Touch Pad ($599) was developed with America Online and introduced last Nov. Gateway put its Internet appliance plans on hold in March and halted sales of Touch Pad in Sept. Gateway joined Netpliance, Sony and 3Com in discontinuing products.
Sony Thurs. posted 2nd-quarter consolidated net loss of $111 million ($1 = ?119) on weakness in its core electronics business and despite 5.7% overall revenue increase to $15.02 billion.
After canceling its plan to offer 6 million shares of common stock earlier this week, Activision announced Thurs. that its board had approved 3-for-2 split of outstanding common shares. Split is payable Nov. 20 to shareholders of record Nov. 6, Santa Monica, Cal., game maker said. Company said split would be accomplished via 50% stock dividend. Instead of issuing fractional shares, shareholders will receive cash payment based on average of high and low sale prices of common on record date. Once split is completed, Activision said it would have 51 million common shares outstanding. CFO William Chardavoyne said split would “increase the number of shares outstanding, thereby enhancing our liquidity.” In withdrawing registration statement for public offering of common, Activision CEO Robert Kotick blamed decision on “current market conditions” and “volatility resulting from recent events.”
Despite transition to new game platforms, economic slowdown and various other obstacles in past quarter, Acclaim, Midway Games and 3DO all said Wed., after our deadline, they were optimistic about results entering holiday selling season. Boost in interest among consumers, they said, will be provided by rollouts of Microsoft Xbox and Nintendo GameCube videogame consoles starting on Nov. 15 and 18, respectively, as PlayStation 2 (PS2) installed base continues to rise.
Boris Muchnik, ex-StorageTek, joins ColorLink as manufacturing vp… Terri Dial, recently retired Wells Fargo chmn., elected to Wink Communications board.
Vivendi Universal Publishing subsidiary Knowledge Adventure started shipping 2 new interactive adventure games based on Fisher-Price’s Rescue Heroes preschool toy line. Rescue Heroes Meteor Madness is computer game for Windows and Macintosh priced at $19.99, while Rescue Heroes Molten Menace at $29.99 is for PlayStation. Each title is targeted at kids 4-7 years old.
Disney/Pixar’s Monsters, Inc. for GBA at $39.99 and Game Boy Color (GBC) at $29.99 began shipping from THQ. Game is based on feature film scheduled to be released theatrically Nov. 2. In GBA game, players assume role of Sulley, film’s top kid “Scarer,” as he navigates through monster world of Monstropolis. In GBC game, human girl Boo accidentally returns to Monstropolis and player takes on role of either Sulley or his best friend/"Scare Assistant” Mike, who try to return Boo home.
Take-Two Interactive’s Rockstar division started shipping Grand Theft Auto 3 for PS2 in U.S. Title, developed by Take- Two’s DMA Design subsidiary, will ship in Europe Oct. 26.
Westwood Studios opened www.Be-A-Renegade.com life-style Web site featuring commentary, news, pop culture-based humor, reviews.
Microsoft displayed unaccustomed candor with news media at Thurs. news conference in London to introduce Windows XP operating system. Event at London’s Royal Festival Hall was far cry from Microsoft’s previous Windows policy of beginning with loud party but taking no questions. Instead, as in prelaunch briefings, executives went out of way to be responsive. Despite that, new operating system already had shown clay feet -- such as incompatibility with Disney’s recently released Snow White and the Seven Dwarfs DVD.