Barry Willis

Pioneer buying NEC Plasma: NEC announced Friday Feb 6 that it would sell its plasma display panel (PDP) manufacturing business to Pioneer. NEC plans to concentrate its efforts on "network solutions and semiconductors," according to the announcement. The deal, estimated by Japanese analysts at about $379 million, could make Pioneer the dominant player in the hot plasma display market. The company projects that its PDP market share will rise from 14% to 22% as a result.

A cheaper, better future: New microprocessors from <A HREF="http://www.intel.com">Intel Corporation</A> could revolutionize the market for flat-panel and slim-profile big screen televisions, according to a December 17 <A HREF="http://www.nytimes.com/2003/12/17/technology/17chip.html?th">report</A> by John Markoff in the <I>New York Times</I>. Leveraging large-scale integration, the company's chips and design expertise could yield big bright high-definition displays at prices far below today's. In what is perhaps a misquote of Intel executive Richard Doherty, Markoff predicts 50" liquid-crystal-on-silicon (LCoS) rear-projection "engines" selling for $1000 by the next winter holiday shopping season.

Retailers on the rise: Best Buy and Circuit City, North America's largest and second-largest electronics chains, both reported surges in profits for the fourth fiscal quarter ended February 28. Best Buy's profits rose 51% to $469 million on strong sales of flat-panel TVs, digital cameras, and computers, while Circuit City posted a net income of $89.6 million, a 26% increase in profits over last year's fourth-quarter $70.9 million, after making cost-cutting efforts.

Video-on-demand: The Holy Grail of the cable industry, VOD is getting a boost from underutilized ("dark") fiber optic networks. Early attempts at VOD were glitchy at best, but computer technology is increasingly making the service a reality via large-capacity servers that can offer thousands of hours of programming to thousands of digital cable subscribers. Many of the fiber networks are owned by telecommunications companies that lease use to cable providers. Cox Communications Inc., Time Warner Inc., and Comcast Corporation have all bet heavily on the potential of fiber optics to deliver more to their subscribers. "80% to 90% of the fiber installed during the telecom boom is still sitting unused," reports Peter Grant in a recent analysis in <I>The Wall Street Journal</I>.