EPA began new electronics collection, refurbishment and recycling project with Region 3 states Del., Md., Pa., Va., W.Va., Washington, D.C. Called eCycling, year-long project will partner EPA and state and local govts. with electronic manufacturers, recyclers and waste transporters to evaluate methods for collection and recycling of consumer electronics products, EPA spokeswoman Bonnie Smith said: “The EPA role is really a coordinating role, recognizing there is a potential to recycle a lot of these electronics and that each state does have its own [recycling] process.” Data developed will guide development of cost-effective and sustainable collection system to remove end-of-life computer equipment and TVs from municipal waste systems, she said. EPA Environmental Analyst Claudette Reed said: “The purpose of the project is to see if we can amass the kind of volume that allows recyclers to benefit from the process.” She said agency approached individual consumer electronics and computer manufacturers and industry groups and had “worked closely” with EIA, JVC, Panasonic, Sharp, Sony.
Maxtor, taking $70 million charge, said 3rd quarter loss widened to $165.7 million from $13.9 million year ago as sales rose to $1.04 billion from $619.3 million. Sales included revenue from recently acquired MMC Technology and Quantum’s Hard Disk Drive (HDD) Group. Purchases of MMC and Quantum HDD resulted in nonrecurring $63.3 million charge for amortization of goodwill. Maxtor, which with acquisition of Quantum HDD became major drive supplier to personal video recorder (PVR) makers, said its blended average selling price in 3rd quarter was $82 and that it retained 35% share of market. Dell accounted for 10% of revenue. Maxtor also introduced its first 40 GB per platter drive and planned to have technology in more than 90% of products in 4th quarter. In 3rd quarter, Maxtor reduced inventory to $236 million from $261 million. It shipped 12.5 million desktop and SCSI drives in 3rd quarter and forecast shipments of 13-13.5 million in 4th quarter. Gross profit rose to $81 million from $62.9 million, but long-term debt jumped to $253.4 million from $92.2 million in Dec. due largely to acquisitions of MMC and Quantum HDD. While Maxtor’s core business remains desktop PCs, CEO Michael Cannon company remained “committed to make the investment to grow the high-end drive” and PVR businesses.
LG.Philips LCD joint venture has sold its 4 millionth 15.1” TFT-LCD since shipments started in Dec. 1997, company said Wed. It said milestone “signals the rapidly growing acceptance” of LCDs for PC monitors and 15.1” as “the preferred size.”
Monthly service fee for personal video recorders (PVRs) should be eliminated as annual sales increase to millions of units from current 200,000-300,000, officials told video-on- demand conference in N.Y. Wed.
Lindows said it was “gearing up to deliver” preview version of its LindowsOS operating system, which San Diego company called “modern and affordable OS for Pentium-based computers.” Company was started recently by former MP3.com CEO Michael Robertson, who has same job at Lindows. OS, at under $100, will be able to run Linux and Windows software. Goal of company, Robertson said, “is to give the consumer a choice when it comes to their computer.” LindowsOS preview release will be available for purchase or digital download in 4th quarter from Lindows.com Web site for under $100. Availability date was unavailable at our deadline.
Pegasus Communications and DirecTV, whose acrimonious split over programming distribution pact triggered series of lawsuits, reached agreement on new seamless marketing deal, SEC filing said. New pact “preserves” Pegasus’s right to sell premium services Cinemax, HBO, Showtime and The Movie Channel to its customers, filing said. DirecTV sells services from several of its satellite frequencies, filing said. Also part of revised pact is sports programming and local TV channels. Pegasus will continue to retain 10-20% of revenue tied to those programming packages and be responsible for sales, marketing, billing and customer services, it said. DirecTV has right to terminate agreement on 90 days’ notice.
Autosound industry was represented at Window’s XP preview Wed. in N.Y. when Aiwa America announced first car stereo CD/receiver to use Microsoft’s Windows Media Audio (WMA) for playback CDs with compressed music files. Company last year was first to introduce car decks with MP3 playback, which also is incorporated in new CDC-MA01 that ships next month at $349.95. Using WMA or MP3 compression, consumers can transfer several hours of music from PCs to blank CDs for mobile playback. Despite greater compression ratio that makes WMA files just 1/3 size of MP3 files, Microsoft has said audio quality is same. Other features of top-shelf CDC-MA01 include 4-channel amp at 50 w per channel, motorized front panel that flips down and away to expose CD slot -- and retracts to disguise player with plain black panel when car’s ignition is turned off. It also has front panel input jack for other music sources, such as cassette player or flash-memory portable. Soundfield-shaping processor adjusts stereo imaging for driver’s position at touch of single button. Aiwa package also includes steering-wheel-mounted wireless remote control for in-dash player.
Showtime Networks executive Mark Greenberg extols virtues of TiVo device that allows his children to pause live TV, but Greg DePrez of Starz Encore Group believes operators can offer much fresher material out of head-end. They were among 7 panelists discussing next generation of video-on-demand (VOD) at VoD Summit in N.Y.C. Tues. They agreed, however, that hybrid of network and personal video recorder (PVR) devices based in home would be embraced by cable industry for immediate future. For example, Greenberg, exec. vp-corporate strategy & communications at Showtime, likes ability to skip commercials on home PVR. However, DePrez, vp-subscription VoD at Starz, says PVRs are “nice, but they don’t predict what you're going to watch.”
Enix America is backing release of PlayStation title Dragon Warrior VII Nov. 1 with million-dollar marketing campaign that will include extensive print ads, co-op marketing programs with videogame retailers, online promotions and contests, PR campaign to mainstream media. Enix Pres. Paul Handelman said campaign “represents our most aggressive push to date for a single product, as it targets not only the dedicated videogame audience, but also strategic vertical markets as well.”
Standout titles at Electronic Arts (EA) game showcase in N.Y.C. this week included Need for Speed: Hot Pursuit 2 for PS2. EA spokesman told us title, currently in pre-alpha stage of development cycle, was scheduled to ship next spring. He said Need for Speed was key franchise from company’s EA Games division and it spent time evaluating capabilities of PS2 before developing title for system. Objective, he said, was to gain “photo realism” with cars featured in game. Title features more than 20 licensed vehicles from car makers including Ferrari, Lamborghini and Porsche rendered with more detailed graphics than had been possible in past. Cars in game, he said, are about 60% complete at this point. Other titles at game showcase included Cel Damage, debut title for Xbox next month that will ship in mid-Dec. for GameCube. Also spotlighted were Command & Conquer Renegade for PC (Feb. 12), Harry Potter and the Sorcerer’s Stone for Game Boy Advance/Game Boy Color/PC/ PlayStation (Nov. 16, day and date with feature film of same name), James Bond 007 in Agent Under Fire for PS2 (Nov. 17), Motor City Online (Oct. 30), NBA Live 2002 for PS2 (Oct. 30) and Xbox (Dec. 4), Knockout Kings 2002 for PS2/Xbox, Sid Meier’s Sim Golf for PC (late Jan.-early Feb.), The Simpsons Road Rage for GameCube (Dec.), PS2 (Nov. 20) and Xbox (Nov. 13), The Sims Hot Date for PC (Nov. 13), SSX Tricky for GameCube (Dec. 4), PS2 (Nov. 13) and Xbox (Dec. 18), Tiger Woods PGA Tour 2002 for PC/PS2 (mid-Feb.).