TCI in talks over new cable-TV boxes: Microsoft, Intel are among the suppliers pursuing the potential $3 billion pact

Article Abstract:

Microsoft and Intel are among the technology companies offering to provide cable giant Tele-Communications (TCI) with as many as 10 million 'network computers,' or advanced set-top boxes, for the next generation of cable TV. The deal, which could be valued at more than $3 billion, would empower TCI to forward its schedule for improving its cable systems and deploying the new generation of set-top boxes. Cash-strapped TCI is expected to complete a deal in Dec 1997, which could include an investment in TCI, pricing discounts or revenue-sharing arrangement for future services. TCI emphasized that it will not extend the 'Wintel' duopoly from the PC market to the cable industry, as executives said they would probably select interoperable products from numerous vendors. The shift means that software maker Microsoft and chip company Intel, which view the TCI deal as crucial to their future growth, are vying for most of the business.

Product development, Intel Corp., INTC, Marketing, Internet services, Cable television/data services, Cooperative agreement for product development, Alliances and partnerships, AT&T Broadband and Internet Services Inc., Cable televison access, TCOMA

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Microsoft raises stakes in set-top battle

Article Abstract:

Microsoft's WebTV Networks subsidiary claims its new $300 WebTV box can deliver a high-speed stream over existing cable and broadcast systems. The new product would allow TV viewers to receive movies, Web sites or advertising. Microsoft would strengthen its position in negotiations with cable operators to establish set-top box standards. The biggest question in these 'Open Cable' talks centers on the distribution of potentially lucrative new service revenues. Some observers questioned the Microsoft announcement as an attempt to pressure the cable industry. The significant WebTV box technology advance consists of a 'video modem,' receives one million bits of digital information per second via the airwaves or cable, according to WebTV. The WebTV box, meanwhile, remains compatible with regular TV programming.

Computer industry, Computer hardware, Product introduction, Product Announcement, Equipment and supplies, Hardware product introduction, WebTV Networks Inc., WebTV Networks WebTV (Set-top Internet box)

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Sun's selling of encryption to skirt policy

Article Abstract:

Sun Microsystems is selling advanced encryption-based data security software to overseas companies in spite of US regulations set up to prevent such sales. Sun is able to bypass the regulation by selling the software from a Russian supplier, Elvis+, a company that was formed by members of the former Soviet space program, and which Sun has a 10% share in. The licensed Elvis+ software will be shipped from Sun distributors in third countries to the overseas customers in order to prevent the US from having jurisdiction rights. US officials are having an increasingly hard time controlling the spread of encrypted hardware and software. If the white house does not move to prohibit Sun's action, its competitors are sure to follow suit and begin selling encryption products over seas as well.

Encryption/Decryption Equip, Other Communications Equipment Manufacturing, Computer software industry, Software industry, Company legal issue, Cases, Encryption, Data encryption, International aspects, Cryptographic equipment, Sun Microsystems Inc., SUNW, Distribution, Company Distribution Practices

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