Western Digital, Nippon Steel set pact to finance development of disk drives

Article Abstract:

Western Digital Corp and Nippon Steel Corp sign an agreement to jointly finance the development and marketing of 1.8-inch disk drives. Under the agreement, Nippon Steel gains marketing and manufacturing rights for the technology, but Western Digital will retain royalty rights on Nippon Steel's sale of the disk drives. While the two corporations do not yet have a detailed marketing plan or division of responsibilities, they expect to bring the drives to market by the end of 1992. Western Digital Chmn, Pres and CEO Roger W. Johnson notes that the agreement is advantageous to his company because it will offer an entry into the Japanese market. The 1.8-inch disk drives are emerging as a new standard, and competition for the market is expected to be intense, according to industry observers. Phillip Devine of Dataquest Inc predicts that the market penetration of 1.8-inch disk drives will grow from an estimated 300,000 units in 1992 to near 9 million units by 1995. The drives will replace 2.5-inch disk drives currently utilized in portable computers.

Contracts, Western Digital Corp., WDC, Disk drives, Computer storage device industry, Strategic Planning, Product Development, Miniaturization, Cooperative Agreements, Marketing Agreements, Nippon Steel Corp., Time to Market

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Rockwell International plans to appeal steep award in Celeritas cellular case

Article Abstract:

Rockwell International plans to appeal a Federal court's $115.3 million dollar judgement against the semiconductor company. Rockwell was found to have violated patent and trade regulations in its unauthorized use of Celeritas Technologies' technology allowing cellular telephones to provide computer-data transmission. Celeritas engineers provided Rockwell with details of the technology prior to obtaining a patent in Jan 1995. Rockwell then began using the technology in its modem chips without obtaining licensing. Rockwell claims the technology was in the public domain, but never consulted legal experts. The Federal judge said Rockwell officials looked like liars, and strongly criticized the company's behavior. Rockwell will appeal both the decision and the amount of damages. Rockwell's semiconductor sales were over $1.59 billion in FY 1996, with $330 million in profit.

Semiconductor Devices, Innovations, Company legal issue, Cases, Rockwell Automation Inc., Modems, Modem, ROK, Celeritas Technologies Inc.

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Broadcom set to unveil TV-Internet chip

Article Abstract:

Broadcom is expected to announce a computer chip that lets TV screens show different Internet pages and television pictures simultaneously. The single chip will revolutionize broadcasting by letting an electronic box organize TV channels, World Wide Web sites and even recorded movies on regular TV screens, according to Broadcom. Pres and CEO Henry T. Nicholas said Broadcom, which has been developing the chip since 1996, could make an announcement as soon as today. An analyst representing Cahners In-Stat Group praised the new chip's power in managing two-way flow of analog and digital signals through the arrangement of images by internal logic. Broadcom must move quickly to place its chip in set-top boxes that likely will reach the market in mid-1999. Some analysts are balking at Broadcom's expected inital price of $21 per chip, saying it is too expensive.

United States, Product development, Microprocessor Chips, Hardware product development, Computer hardware, Microprocessor, CPUs (Central processing units), Microprocessors, Broadcom Corp., Interactive media, Interactive technology

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