Home-theater equipment continues to be one of the fastest-selling segments of the consumer electronics market, according to the most recent figures from the <A HREF="http://www.ce.org/">Consumer Electronics Association</A>. How good is it? Try $2 billion in factory-to-dealer sales of video equipment in the first quarter of this year. That's a 20% increase over the first three months of 1999, according to the May 31 report. The figure is even more astounding in light of 1999's growth, in which home theater revenues increased by 11% over 1998's totals.

The music industry may be in the dumps, but the home video business is soaring, according to a January report from trade journal <I>Video Business</I>.

The Home Recording Rights Coalition (<A HREF="http://www.hrrc.org">HRRC</A>) supports the interests of all home theater fans&mdash;especially those early adopters who bought high-def displays prior to proposals to insert "broadcast flags" in data streams to prevent unauthorized recording of copyrighted material. Such flags are part of last year's so-called "plug'n'play" agreement between equipment makers and cable providers.

Flat-panel displays are moving up to the next level of performance, thanks to <A HREF="http://www.ibm.com/">International Business Machines</A>. On Wednesday, November 10, the company announced what observers called an "eye-popping" LCD screen with an astounding 123 pixels (picture elements) per square inch&mdash;more than twice the typical 55-per-square-inch pixel count of high-definition television screens. The almost-21-inch-diagonal screen, dubbed the QX20, is capable of resolutions as high as 2048x1536.