The WAVE Report on Digital Media
Issue #907------------------11/3/98
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905.2 Story of the Issue - 3D WinBench 99 Arrives
Change this Paragraph to the following:
The S3 Savage based cards are well behind the leaders. There is a shortfall in the current implementation of Savage3d drivers - it does not yet support triple buffering. The review makes estimates for the performance which we have not shown here.
***Electronic Animation Magazine For Children Can be Downloaded (October 30)
"Digital Puppet" magazine is available that shows kids how to make a short motion picture using animation programs such as MetaCreations' Poser 3 and Bryce 3D. The first issue of the magazine chronicles the making of the 2 minute movie "Frog Prince" which also can be downloaded from the web site.
Robert Purser,
Publisher and Editor,
"Digital Puppet" Magazine,
685 Placerville Drive,
Placerville, CA 95667-4298
***CD Radio Begins Construction of National Broadcast Studio (October 29)
CD Radio Inc. announced that it has begun construction of its national broadcast studio in Rockefeller Center in New York City. The facility, which will house 100 radio stations under one roof, will contain advanced digital broadcast technology, the command center for tracking and controlling CD Radio's three satellites, and a world class music library.
The 100,000 square foot national broadcast studio was designed by the architectural firm of HLW Associates and is being constructed by Lehr Construction Corp. Construction is expected to be completed in March 1999.
CD Radio is building a digital satellite radio system for the broadcast of 100 channels of music and other programming to motorists throughout the United States. Scheduled for launch in early 2000, CD Radio will broadcast 50 channels of commercial-free music and 50 channels of news, sports and entertainment programming for a total monthly subscription fee of $9.95.
CD Radio's programming will originate at its national broadcast studio in New York City and be uplinked to the Company's three satellites. These satellites are currently under construction at Space Systems/Loral and are scheduled for launch beginning in late 1999. Initially, consumers will receive CD Radio's broadcasts through a two-inch satellite dish affixed to their car's rear windshield. This signal will be relayed wirelessly to a plug-and-play adapter that will fit into a vehicle's existing cassette or CD slot. CD Radio-ready aftermarket radios are also expected to be available.
The majority of CD Radio's planned programming formats are generally unavailable on radio stations in any single market. Furthermore, unlike conventional stations, which have an average range of approximately 30 miles before reception fades, CD Radio's signal is designed to cover the continental United States coast to coast. More information on CD Radio is available at
***ATI Announces RAGE Mobility Series(November 2)
ATI announced its RAGE Mobility family of graphics accelerators which include the RAGE Mobility-M and RAGE Mobility-P.
The RAGE Mobility-M has the following features:
--integrates 4MB of SDRAM,
--supports up to 8MB of memory using 4MB external,
--2D/3D graphics engines,
--hardware MPEG-2 decode for DVD, TV encoder,
--dual LVDS transmitters at 110MHz for two independent display support,
--AGP 2X and PCI interfaces, and
--power consumption less than 600mW including the transmitter power.With 4MB of memory these chips can support two 1024 X 768 independent displays at 16 bits. By integrating the 4MB of memory, TV encoder, and LVDS transmitters, the Mobility-M is claimed to save a minimum of $12 in external parts costs. In addition, the integration of hardware DVD decode functions saves a minimum of $30 in external parts cost.
The RAGE Mobility-P is the same as the M without the integrated memory. External memory can be either SGRAM or SDRAM. With AGP the following performance is claimed by ATI using 3D WinBench 98.
Mobility-P 8MB SGRAM
1020Mobility-P or M SDRAM
1004Mobility - P 4MB SGRAM
970Mobility - M 4MB SDRAM
795These tests were done on a PII 400MHz DX6 system with 64MB of SDRAM. These chips use the 3D core from the RAGE LT product, with some improvements, and the DVD core from RAGE 128.
The RAGE Mobility-M and RAGE Mobility-P are currently sampling, with production in Q1 1999. The RAGE Mobility-M is priced at $39 in units of 10,000 and the RAGE Mobility-P at $32 in units of 10,000.
ATI is going directly for the NeoMagic product line. The price points for both parts, especially the M with integrated memory, is an attempt by ATI to undercut NeoMagic's pricing and put ATI's parts into the mainstream of the portable market. NeoMagic is also vunerable because of its lack of 3D support. There are rumors that NeoMagic is working with a 3rd party for its 3D solution. As 3D becomes more important in the business space the need for 3D on portables will also increase. The next step for ATI is to integrate is RAGE 128 core into the Mobility family.
A key, behind the ATI strategy, is how it integrates memory. This is not a embedded memory part but what they call integrated memory. The WAVE Report believes that the memory integration is done at the module level within the packaging. The most logical being vertical package integration to save space. The two technologies in this space are Stacked MCP and Stacked Chip - Scale Package (CSP). ATI would not disclose either is FAB partner or how it is accomplishing the memory integration.
***Rational Reducer (RR) Claims Improvement in Rendering Times (October 10)
Systems In Motion (SIM) has developed a tool -Rational Reducer (RR) - that enables 3D users to lower render times without compromising the visual quality of their 3D models.
Rational Reducer is a polygon reduction tool that analyses each model and calculates optimal reduction parameters based on model characteristics and Knowledge Base experience data - without user intervention. The software also uses OpenGL hardware if available.
Rational Reducer v2.2 will be officially launched at COMDEX in Las Vegas in November 1998, but sales from Web-sites have begun. Free demo copies may be downloaded at
http:// www.infinity.no/page68.html
http://www.sim.noRational Reducer supports the VRML 1.0, VRML 2.0, VRML 97, DXF
and 3D Studio .3ds file formats. It is available on the following
platforms:Microsoft Windows NT and Windows 95/98 for x86
platforms SGI Irix 6.2 and later Linux 2.0 (and above) with
Xfree86 3.2.0 (and above) on x86 platforms.Rational Reducer is available today and may be ordered from the
products' exclusive distributor Infinity Innovations at http://www.infinity.no
Price for is: $ 995 all platforms, all formats (1-year upgrade included)* $ 495. All Windows platforms, all formats.
***S3 Has a New President
(November 2)
Kenneth Potashner, described as a turn-around manager at Maxwell Technologies is replacing the retiring Terry Holdt as S3's president, CEO and chairman of the board. Kenneth Potashner will start full time on November 23rd.
***Digital Intelligence Targets Market With Embedded Digital-Imaging Technology (October 22)
Digital Intelligence announced its formation and development of a new embedded digital-imaging technology for the home consumer electronics environment.
The new company, founded by a group of Adobe veterans, develops and licenses software technology to advance the capabilities and ease-of-use of next-generation consumer electronics devices. Digital Intelligence's software is optimized for embedding in a variety of intelligent home appliances including set-top boxes, WebTV-like devices, digital cameras, hand-held devices and desktop PCs.
Digital Intelligence's standards-based open software solutions will allow consumer electronics manufacturers to enable their products with digital imaging capabilities and ensure cross-product, cross-platform compatibility. Digital Intelligence will provide a standard way to work with digital images spanning consumer appliances as well as PCs. Digital Intelligence's platform-independent embeddable technology will incorporate Adobe's core imaging technology from Adobe PhotoShop and Adobe Premiere.
The company received a first round of venture capital financing from Adobe Ventures and Hambrecht & Quist. The company anticipates its first technology will be incorporated into consumer electronics appliances next year.
Founded in September, 1998, Digital Intelligence, Inc. develops and licenses smart digital imaging technology to advance the capabilities and ease of use of next generation consumer electronics. The company develops open embedded software solutions that provide consumer electronics manufacturers with a standard way to work with digital images in consumer appliances. Digital Intelligence is privately held and headquartered in Seattle, Washington.
***DSL Internet Standard Agreement Reached (October 22)
The International Telecommunication Union (ITU) reached an agreement on the technical specifications for digital subscriber line (DSL) "Lite" high speed Internet modem technology.
This agreement means consumers will benefit from the rapid delivery of DSL "Lite" products and services into homes and businesses over regular phone lines that adhere to the technical specifications agreed upon today. DSL "Lite" services transmit Internet data up to 25 times faster than today's fastest analog modems, without requiring voice/data splitters.
Lucent Technologies participated and contributed broadly from the beginning in the development of this DSL "Lite" standard, called G.992.2 (previously known as G.Lite). Representatives from Lucent's Microelectronics Group, which designs and manufactures DSL modem communications chip sets; Lucent's Switching and Access business, which produces DSL networking equipment; and Bell Labs, its research and development arm, participated in the standards proceedings that led to the agreement.
Lucent's Microelectronics Group initiated and submitted several technical contributions that resulted in the ITU's important power management specification for G.992.2 connections. The G.992.2 specification allows a PC equipped with Lucent's DSL "Lite" power management features to work with a DSL modem without breaking the communications link with the Internet Service Provider. Lucent plans to incorporate the complete set of power management features and benefits into its multi-faceted WildWire DSL "Lite" solution. Aware, Inc., a provider of software and technology for Lucent's WildWire offering, also made substantial technical contributions to the standards committee. Aware provided key technical submissions involving "splitterless" DSL "Lite" technology, which alleviates the costs and inconveniences associated with a phone company's technician needing to install splitters at peoples' homes. Aware also provided low-complexity algorithm technical submissions that enable lower costs of DSL "Lite" services for consumers.
Lucent's WildWire technology will comply with the recommended specification for DSL "Lite" technology. Lucent's WildWire DSP1690 chip set, which will be available by December, will be G.992.2-compliant when such products are delivered to consumers beginning early next year.
Lucent's chip set is targeted for use in desktop and notebook computers. The formal ratification of the G.992.2 standard for the technology is scheduled for next June.
http://www.lucent.com
http://www.lucent.com/micro/WildWire
http://www.aware.com
***Unigraphics Solutions Launches Solid Edge Version 6 (October. 22)
Unigraphics Solutions unveiled Solid Edge Version 6 which will ship V6 in November. Solid Edge V6 adds a range of features aimed at more complex plastics, cast and sheet metal parts.
Solid Edge V6 contains three modules:
Plastics+, Sheet Metal+ and Virtual Studio for rendering.
· Plastics+ -- V6 adds a lip feature, web network feature, divide part and cavity generation, add draft options and embossed text.
· Sheet Metal+ -- While Solid Edge already leads the mid-range market In sheet metal, this module adds deformation features, jog, lofted flange, close corner, bend-around line and chain contour flange.· Virtual Studio-Presentation-quality graphics can now be created in Solid Edge to help designers make their projects sell themselves. Solid Edge V6 adds raytrace rendering, phong shading, 3D input device support (Spaceball from Spacetec and Magellan 3D Contoller from LogiCad 3D), fly through and save-as-movie AVI capabilities.
Solid Edge V6 will sell for $4,995 (U.S.) per seat.
http://www.ugsolutions.com
http://www.solid-edge.com
http://www.ugsolutions.com/
***AudioCodes - TrunkPack
VoIP/200
(October 21)
The TrunkPack VoIP PCI board series are standard based, high density, cost-effective solutions for carrying voice trunks over IP networks. AudioCodes' TrunkPack VoIP/200 provides packetization for 60 independent digital voice (G.723.1, G.729A) and fax channels (G3) in a single PCI slot, handles voice and silence compression, echo cancellation, and in-band signaling which are needed for IP telephony.
The board includes E1/T1, MVIP, SCBus and H.100 telephony interfaces. The TrunkPack-VoIP architecture handles all audio streaming locally, with an on-board communications processor running RTP/RTPC and an Ethernet interface that provides a high-capacity scalable gateway design.
The TrunkPack VoIP/200 board will be available in samples early Q3 1998. Currently VoIP/100 is shipping as a single slot, 32-channel server board to customers like Clarent, Selsius, and VocalTec.
***Zoom Ships Full-Color Live-Motion USB Video Camera (October 21)
Zoom Telephonics announced the release of the ZoomCam USB, a color video camera for Windows 95/98 computers. Connecting through a Universal Serial Bus port, the ZoomCam supports videomail, videophone, video meetings, and still image capture.
The ZoomCam allows video to be sent and received over standard telephone lines point-to-point or through the Internet. Any 28.8Kbps or faster modem can be used for Internet video. Point-to-point videos require a V.90-compatible modem such as any Zoom 56K modem. Sending videomail simply requires attaching a video file to an e-mail message. Zoom's video software attaches a "player" application program to outgoing videomail. It can then be viewed on a Windows PC without special hardware or software.
Utilizing a CMOS array and f1.9 lens, the ZoomCam also provides color video for video chat, video conferencing, home security, child monitoring and other applications, and point-and-click image capture for Website development, desktop publishing or graphic design. It has a 52 degree field of view and 2"-to-infinity focus range and can do digital zoom, pan and tilt. The ZoomCam USB adjusts exposure, contrast and brightness, and corrects for backlighting and fluorescent light "flicker." Frame rates are software-selectable up to 30 frames/second.
The ZoomCam supports the Video for Windows standard as well as TWAIN-compatible image capture. The palm-sized ZoomCam USB is designed for placement on a monitor or desk, and can also be mounted on a standard camera tripod. The ZoomCam USB comes with a microphone and ZoomLink CD-ROM of video software, including Microsoft NetMeeting for Internet conferencing, Boxtop iVisit for video chats, SmithMicro Videolink for videomail, and Jasc Paintshop Pro SE, a image-editing tool. The retail price of the ZoomCam USB is approximately $99.
***Discreet Delivers smoke* at $159,000 Price (October 22)
Discreet Logic announced that smoke*, a nonlinear editor is now available for US $159,000.
smoke* provides real-time editing while delivering non-compressed 4:4:4 image quality. smoke*?s editing tools include: four edit modes including timeline, collapsed, storyboard and head/tail; multiple audio and video tracks per edit; full, nonlinear editing features (trim, slip, slide, etc.); drag-and-drop interface; a EDL management tool; colour correction and keying capabilities; and a 3D text module. These features coupled with paint and compositing capabilities allow editors to start a project and finish in-house. smoke* may also be grown with the addition of third party sparks* plug-ins, of which over 400 are available today.
smoke* is available on the SGI OCTANE SE at US$159,000 list price and on the OCTANE MXE it lists for US$199,000. Both systems are available now.
***NewTek Announced HyperVoxels
2.0
(October 19)
NewTek announced HyperVoxels 2.0 rendering software for the creation of volumetric rendering effects.
HyperVoxels is a sub-pixel volumetric rendering technology that ray traces continuous virtual surfaces that can be perturbed with various hyper-textures, or algorithmic textures that allow for extremely detailed 3D surfaces. HyperVoxels surfaces and volumetrics are integrated with the LightWave 3D 5.6 rendering engine to support ray-traced reflections, refractions and shadows. HyperVoxels technology provides a geometry-efficient tool for LightWave 3D users, to easily create and render organic effects such as fluids, smoke, pyroclastic effects, clouds, rocky surfaces, rusted materials, and other worldly phenomena. Previously, animators avoided creating these types of effects or used a laborious combination of morph targets, displacement maps and bones to create these types of effects.
HyperVoxels 2.0's has a new internal Volumetric Rendering engine.
Additional HyperVoxels 2.0 features include:
Interactive viewing of controls over volumetric texture settings.
· Real-time animated previewing of volumetric textures in 2D window.
· Multiple lighting models including Rayleigh, Beer, Constant, Diffuse and Self.
· Customizable control of volumetric effects including volumetric shadows, render quality, and density.
· Smooth and multiple object blending between attributes and HyperTextures.
· Blending modes can be used to blend, affect or repel other objects.
· New smoothing modes can be used to tightly blend or loosen the distances between particles. Blending can also be turned off for discreet particle boundaries.
· Additional detailed subpixel HyperTextures have been added, allowing animators to create even more realistic effects in HyperVoxels 2.0.
· A Bump only mode allows users create simple, less render intensive bump maps.
· Presets selector includes a visual browser for quickly choosing the appropriate settings for your needs. Parameters can also be edited to customize surfaces.
· Zoom mode can be used to examine details in any area of the render.
· An improved fractal algorithm removes repetitive patterns and improves render quality.
· Turbulence and Billowing effects give users more control over animated sequences.HyperVoxels 2.0 is available now for $249.00 (download version) and $269.00 (shipping version) directly from NewTek. HyperVoxels 2.0 runs with LightWave 3D 5.6 a free upgrade available for LightWave 5.5 registered users directly form NewTek's web site. LightWave 3D 5.6 runs on Windows NT and Windows 95, DEC Alpha running Windows NT, Power Macintosh, Silicon Graphics and Sun Microsystems.
***Traffic Information Via Radio Data Service (October 23)
Newsbytes reports that Etak, a developer of digital map and traveler information technology; Metro Networks, which says it is largest local traffic and information reporting company in the world; and DCI, which says it is the world's largest broadcaster over a FM radio subcarrier will provide real time traffic information.
The service, which uses a standard format FM radio subcarrier transmission system, is available from this week in 10 major metro areas across the US. According to DCI officials, the real-time traffic information service has been designed to support dynamic route guidance operations in a variety of in-vehicle and hand-held products.
In use, the service is billed as informing drivers of traffic incidents, traffic speeds, road conditions plus construction, special events, weather descriptions and other useful travel news. By the end of next year, the service will be progressively rolled out to cover 75 cities across the US, extending to 200 by the end of the year 2000.
The radio data transmission system uses the radio data system (RDS) standard as seen in Europe and the Far East. According to DCI, by using the standard, most modern car radios equipped with RDS should be able to receive the traffic information automatically.
The service works with Metro Networks collecting traffic and mobility information - both from government sources (such as police, traffic management centers, and road maintenance operations) and from Metro sources (including aircraft, camera systems and mobile reporters).Information is then entered both automatically and manually into Etak Traffic Workstations (TWS). These workstations consolidate the information and place it into standard formats suitable for use in multiple map formats, and for transmission to wire and wireless devices anywhere in the US. Plans call for an Etak TWS to be located in each of the Metro offices where the service is activated.According to DCI, coverage currently includes Seattle, San Francisco/Oakland/San Jose, Sacramento, Los Angeles, Dallas/Ft. Worth, Denver, Detroit, Phoenix, Minneapolis/St. Paul and Indianapolis.
***"The Oceans:
A Heritage For Our Future" Metaforia Entertainment Inc.
On June 10, 1998
Innovitech, a high technology consulting firm based in Montreal launched METFORIA Entertainment Inc. Innovitech has worked to develop leading-edge entertainment concepts to take advantage of the emerging trend of Location-Based Entertainment Facilities. This new subsidiary will specialize in the creation and development of an immersive entertainment experience. This will combine virtual reality attractions and integrated thematic settings to form a new entertainment concept.
OCEANIA, the company's first production, was developed for EXPO '98 held in Lisbon, Portugal from May 22nd-September 30th. This multimillion dollar virtual reality experience uses stereo headsets, special effect seating, a precision simulator, 3D images and an interactive dome, to virtually explore the remains of a lost civilization submerged in the depths of the ocean thousands of years ago.
Visitors board a shuttle and put on their HMDs. Engine sounds can be heard and as the shuttle descends. Visitors can look up and see the images of the surface receding from view. Marine life can be seen around the participants, submarines pass in the distance. As the shuttle descends further the building sound of water pressure can be heard and the images get darker with time. The shuttle eventually has to set off a cluster of flares so that the passengers can see. In the light of the flares, participants see the three islands that make up OCEANIA.
As the voyage takes place the participants wander through caves inhabited with starfish and manta rays, mazes of columns and portals, and a space station attached to a cliff wall called "The Base." Giant octopuses grab onto the shuttle and cataclysmic events cause tremors and aftershocks. Participants eventually find themselves in the Artefact Room where they actively participate in the development and ending of the OCEANIA story before they see the ocean floor disappearing as they rise to the surface.
The technology for this voyage, while hidden to participants, makes the virtual feeling possible. The shuttle includes a 4-degree of freedom electric motion platform with proprietary motion control software, a 70mm projection on a wide screen that covers the peripheral field of vision, and a surround sound system.
The Virtual Subs contain virtual reality stereoscopic HMD helmets with cathode ray tube screens. These are combined with molded optics and shutter dynamics to offer superior 3D visualization.
The Artefact Room consists of a 7-metre hemisphere dome screen with an 180-degree projection. The high-resolution interactive 3D animated content is displayed on a specially coated screen. The surface uses advanced hemispheric projection technology that layers the single lens with different diffraction/refraction characteristics, resulting in an infinite focus. The Artefact Room uses SGI's Onyx Infinite Reality Engine.
OCEANIA is the only pavilion in Lisbon where visitors have to pay an additional fee to enter. Admission is $5. Once in a commercial setting the admission will be raised. To date OCEANIA has maintained maximum capacity, 4800-5000 visitors daily. Average waiting time is 4 hours but some visitors have waited up to 8 hours. The end result was that close to 600,000 people visited the pavilion during the 4 month fair.
METAFORIA is hoping to open an OCEANIA site in Montreal, then possibly in Orlando, Las Vegas, Mexico City, Rome and Tokyo as well.
Several partners were involved in the creation of OCEANIA. The vast majority of the visual content and computer graphics technology was developed by TUBE IMAGES INC. ANGEL STUDIOS INC. provided the content of OCEANIA's Artefact Room. GSM INC. supplied many of the basic themes inside the Base and in the waiting areas which have been transformed into attractions to complete the experience. Also involved was T'AS D'DEAUX YEUX INC. SIMEX Inc. who supplied the integrated motion platforms and visual content for the Shuttle. STRAYLIGHT CORP. supplied the HMD units. ALTERNATE REALITIES CORP. supplied the VisionDome hardware for the Artefact Room.
***Unit Formed to Focus
on GI's Strategy
(October 22)
General Instrument announced the formation of an Internet Protocol (IP) networking business unit to consolidate GI's continuing efforts in identifying, marketing and developing the right products to provide IP data and telephony over HFC.
The business unit will be headed by Dan Moloney, Senior Vice President and General Manager, Advanced Networks and Telecom Systems, and will leverage the strengths of GI's existing high-speed data/Internet, distance learning and video service businesses to offer a cost-effective way to deliver telephony and other advanced services to the home.
***Casio to launch Software Startup in Silicon Valley (October 19)
Casio Computer Co of Tokyo, Japan, announced the creation of CASIO Soft, in San Jose, CA to develop software for Windows CE. The company will develop and market software to support not only CASIO's CASSIOPEIA line of Handheld and Palm-size PCs, but also Windows CE-based systems from other manufacturers as well.
CASIO Soft also announced the availability of the three software products in its line of "Business Tools for Windows CE":
---CSI Project-The portable project management companion to
Microsoft Project, Suggested Retail Price: $79.95
---CSI PowerPack-An utility collection for the Handheld PC and Palm-size PC with a Suggested Retail Price: $59.95 and which includes:
---CSI DeskType-Use your PC's keyboard to enter text directly onto any "docked" H/PC or P/PC.
---CSI File Explorer-Find, view, and open applications and documents on your Windows CE device, using an intuitive yet powerful interface.
---CSI Task Switcher-Switch between open applications, or close unused applications.
---CSI Screen Zoom-Enlarge your view of any portion of a Windows CE device's screen.
---CSI Image Viewer-View bitmaps, JPEGs, and CASIO digital camera images directly on your H/PC or P/PC. Enlarge or reduce a displayed image and convert between standard image formats.
---CSI Screen Capture-Captures any screen an your H/PC or Palm-size PC to a bitmap file.
---CSI Outliner - An idea outliner and list organizer which has a
s Suggested Retail Price: $39.95.
***Avid Technology Announces Results for the Third Quarter 1998 (October 21)
Avid Technology reported its financial results for the third quarter ended September 30, 1998. Third quarter revenues were $116.2 million compared to $116.5 million in the third quarter 1997. The Company recorded a net loss of $5.97 per share in the third quarter of 1998. This loss includes a previously announced non-recurring, pre-tax charge of $193.7 million for the write-off of in-process technology associated with the Company's third quarter acquisition of Softimage Inc. Excluding the one-time charge and the amortization associated with the acquisition, the Company would have reported net income of $8.0 million or $.30 per diluted share, as compared to $8.8 million or $.34 per diluted share in the third quarter of 1997.
For the nine-month period ended September 30, 1998, revenues were $337.8 million versus $347.6 million for the same period in 1997. The Company recorded a net loss of $127.4 million, or $5.45 per share, for the nine-month period ended September 30, 1998. Excluding the one-time charge and the amortization associated with the acquisition, the Company would have reported net income of $25.0 million or $.99 per diluted share for the nine-month period ended September 30, 1998, compared to $17.1 million, or $0.72 per diluted share, for the same period in 1997.
William J. Miller, Avid's Chairman and CEO, commented, "The third quarter revenue level, while flat versus the same period in 1997, did not reflect the growth we had anticipated. During the quarter, we experienced some distraction in our reseller channel as we added Softimage product lines and launched our alliance with Tektronix Inc. in the broadcast market. Additionally, it appears that some customers have delayed buying decisions in order to evaluate the major new products scheduled for shipment in the fourth quarter. These new products include Avid Symphony, SOFTIMAGE/DS2.1, and Avid Xpress for Windows NT."
"Although, we are disappointed with the revenue level for the third quarter of 1998, we remain confident that these exciting new products coupled with our recent acquisition of Softimage and alliance with Tektronix, will provide Avid with the ability to grow revenues and maintain ongoing financial success," said Miller.
"During the third quarter, we maintained a strong balance sheet," Miller added. "Cash and investments were $98.3 million at September 30, 1998, compared to $209.9 million at June 30, 1998. The lower cash and investment balance reflects $79.0 million paid to Microsoft as partial consideration for Softimage Inc. and $38.3 million used to complete the 1.5 million common share repurchase program, partially offset by cash from operations."
"This quarter reflects significant accomplishments which are critical to Avid's future success. We completed the acquisition of Softimage, which brought us 3-D technology and SOFTIMAGE/DS, a product and technology for television finishing, both of which will be central to our future. We formed a strategic alliance with Tektronix, Inc. to provide broadcasters with integrated end-to-end technology and equipment solutions as the industry migrates to digital production. In addition, we are scheduled to launch several major new products in key markets over the next few quarters," Miller concluded.
***Cirrus Logic Reports Second Quarter Fiscal Year 1999 Results (October 21)
Cirrus Logic announced results for the second quarter of fiscal 1999. Net revenues were $170 million and, excluding one time charges related to the restructuring announced on September 24, 1998, net income was $1.1 million and diluted earnings per share were $0.02.
In connection with the recently announced restructuring, the company also announced its intention to phase out certain non-core businesses so that it can more fully concentrate on its profitable precision linear and mixed-signal positions in the mass storage, audio and high-precision data conversion markets. Revenues from these core businesses totaled $133 million for the second fiscal quarter, with operating margins of $9 million and diluted earnings per share of $0.10.
Core Business Results Q2 FY 1999
Revenues $ 133 million
Gross Profit Margins 42 percent
Operating Margins $ 9 million
Diluted EPS $ 0.10Operating Results Including Restructuring Charges totaling $123 million, the company reported a net loss of $121 million and a diluted per share loss of $1.90. Pursuant to the previously announced restructuring charge of up to $500 million, the second quarter's charges include $46 million of deferred tax assets, $48 million of inventory write downs and other manufacturing charges included in cost of sales, and $29 million of direct restructuring charges. The company reported that its cash balance remains strong with a quarter end balance of $335 million.
***MetaCreations Announces Third Quarter Results (October 21)
MetaCreations reported that net revenues were $9.1 million for the third quarter ended Sept. 30, 1998, down 57% compared to $21.0 million for the third quarter of 1997.
MetaCreations also reported a net loss of $3.0 million, or $.12 per share, for the third quarter of 1998, compared to net income of $3.6 million, or $.15 per share, for the third quarter of 1997.
Net revenues for the nine months ended Sept. 30, 1998, were $31.5 million, compared to $53.0 million for the nine months ended Sept. 30, 1997. The company reported a net loss of $16.2 million, or $.68 per share, for the first nine months of 1998, compared to a net loss of $9.2 million, or $.40 per share, for the first nine months of 1997. The company attributed lower revenues in the third quarter of 1998, compared to the third quarter of 1997 to several factors, including, among others, lower demand in domestic retail markets, weak demand in Asia, and lower OEM and licensing revenue.
The company noted that its balance sheet continued strong at Sept. 30, 1998, with cash of $49.6 million and a net worth of $72.5 million, representing a book value of $2.97 per share. International revenues represented 25% of the third quarter 1998 revenues, down from 35% in the third quarter of 1997, and essentially flat compared to second quarter 1998 revenues. The significant decline in year to year international revenues is attributed to weakness in Asia and strong international licensing and OEM revenues in the third quarter of 1997.
***Truevision Announces Real-Time Ready To Edit Workstations (October 19)
Truevision announced its TARGA 2000 RTX digital video engine running on IBM's IntelliStation M Pro computer system and Avid's MCXpress 1.6 editing software with the real-time option. The price is begins at $16,995.
***NEC Introduces Two Additions to the VideoWorks Videoconferencing Product Line (October 19)
NEC America has introduced two additions to the VideoWorks videoconferencing product line-These include the desktop VisuaLink 128/384 and the VisuaLink 128/384 gateway codecs for use with the ViewPoint VBX video server. The desktop VisuaLink 128/384 codecs are complete desktop video communications systems equipped with a camera, video capture card, software and all connecting cables. The desktop VisuaLink codecs performs all of the hardware intensive tasks of video compression within itself.
The desktop VisuaLink 128/384 offers H.320 and T.120 standards support, software upgrade capabilities, icon driven menus and H.263 video compression for better motion handling at low bandwidths. The system can also connect with most televisions, monitors and conference speakerphones as well as operate with a variety of cameras.VisuaLink 128/384 gateway Codecs works with the ViewPoint VBX video communications server. The H.320 standard is used to provide connectivity between local VBX networks and remote sites. The gateway codecs function as a shared public network allowing an organization to provide individual access to WAN videoconference services without purchasing individual systems. By integrating the gateway codec with the VBX server, it is possible to provide videoconferencing to each office, conference room and boardroom that has a VBX network connection.
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