Newsbytes - Internationa…ews 1983 May to 1994 June/Newsbytes - International Computing Industry News 1994 Edition - May 1983 - June 1994 - Wayzata Technologies (5045) (1994).iso/pc/text/mac_text/1986/v150

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[***][4/8/86][***]
WEST COAST COMPUTER FAIR REPORT
The 11th Annual West Coast Computer Faire, held April 3-6 at San
Francisco's Moscone Center, which was expected to draw a crowd
of 30,000-40,000, was not a disappointment this year.
As Sheldon Adelson of The Interface Group, new owners of the Faire,
had pledged, "We will return the Faire to its roots."  By and
large he did it in 10 weeks.  While the large players such as Apple,
IBM, AT&T, Zenith, Kaypro, Borland, and others were on the floor,
the vast majority of the 300 exhibitors were small Mom-and-Pop
shops with truly innovative products and marketing strategies.
A few of them follow....

[***][4/8/86][***]
ST TO MAC BUT THEN WHERE?
"MacCartridge", created by David Small and being funded by Data
Pacific of Marina Del Rey, Ca. was shown to make "nearly 99%"
of Macintosh software run on the Atari ST.  Demonstrated for the
first time at the San Leandro Computer Club booth, "MacCartridge"
is composed simply of a plug-in cartridge installed with 64K
Macintosh ROM chips, and software. "MacCartridge" may, however,
never see the light of day.  Apple attorneys, who have the case
in hand, may see the product as a copyright violation and may
squash it promptly.  Guy Kawasaki, Apple's software product
manager, was seen lurking around the booth on Thursday, but was
not available, nor was anyone else from Apple, for comment on
the product to NEWSBYTES.

CONTACT:  Joel Rosenblum, DATA PACIFIC, 4269 Via Marina, Suite 4,
          Marina del Rey, CA 90292  213/821-2623

[***][4/8/86][***]
A MAC FASTER THAN A VAX?
Levco, a San Diego company, showed off a lightening-fast souped-up
Macintosh called the Levco Prodigy 4.  At $9,000, this Macintosh
is based on the new 32-bit Motorola 68020, the MC68881 floating-
point math co-processor, 4M of RAM, and runs at 16 megahertz.
It's four times faster than a conventional Mac and operates twice as
fast as a Digital VAX!  Duane Maxwell says his product is so
good that his company's relations with Apple "have cooled in
recent months.  We're kind of an embarrassment to them."

CONTACT:  Duane Maxwell, LEVCO, 6160 Lusk Blvd., Suite C-203
          San Diego, Ca.  92121  619/457-2011

[***][4/8/86][***]
$99 NETWORK
Applied Knowledge Groups displayed an idiotically simple network
that ties together up to 6 PCs.  The Knowledge Network consists
of simple twisted-wire telephone cable that plugs between two
PCs' serial ports, plus software and documentation.  In this
network, PCs can share printers and other peripherals, as well.

CONTACT:  Steve Zurcher, APPLIED KNOWLEDGE GROUPS, 1622 El
          Camino Real W., Mountain View, Ca. 94040  415/965-1300

[***][4/8/86][***]
IBM WINS THE CROWDS:
The 3-piece suiters from IBM had their work cut out for them at
the WCCF.  A steady crowd gathered around the PC Convertible,
coming away with mixed, but largely favorable, reviews.  The
most glowing review heard was from Dan Bricklin, whose "Demo"
program was also a hit of the show, "It's the best of the
Apple IIc and the improved DG (Data General) portable."  Most
appreciated the fact that the screen, which is slightly more
readable than the dismal first LCD on the DG/1, can be
removed to accommodate a larger monitor for desktop applications.
"I would hope third party vendors will supply their own
monitors," says Jan Lewis of Palo Alto Research Group.  She
suggests that maybe George Morrow look at this possibility...

As for the 3 1/2" disk drive on the Convertible, says Lewis,
"IBM is saying 'Start doing your conversions now, because
in 2 years we'll look at 5 1/4" format as we see the 8"
disk today.'"  Further, she adds, "The ease and cost of
adding 3 1/2" drives to PC XTs and ATs shows IBM is telling
everyone to start their engines."

[***][4/8/86][***]
**HOTTEST RUMOR ON THE CONVERTIBLE**
 ...is that IBM finally has a product to put serious pressure
on Apple's educational market.  Word is that IBM will see
students as a perfect match for the lightweight machine
which runs PC software and that is a snap to transport between
classes.

[***][4/8/86][***]
3 1/2" BANDWAGON
IBM also revealed that 16 major software producers have agreed
to put their programs on 3 1/2" format to accommodate the Convertible
and 3 1/2" drives for the XT and AT.  Among them are Microsoft,
Lotus, Living Videotext, Microstuf, Ashton-Tate and Alpha
Software.

[***][4/8/86][***]
JOBS BUYS AGAIN:
Steve Jobs has purchased a 3-person Seattle software company called
Solaster for $400,000.  The purchase was actually made in December
but was just discovered by "The San Francisco Examiner" reporter
John Markoff.  Most significant about this purchase is that the
team was developing a word processing program for the Macintosh,
Jobs' pet project in his days at Apple.  But Jobs' spokesman,
Dan'l Lewin, denies the purchase was a way for his boss to get
"in tight" again with his old company.  "We liked their
technology but it has nothing to do with Apple."  Two of the
Solaster staff are now working to adapt their word processor
for Next's "scholar's work station", according to Markoff.

CONTACT:  Dan'l Lewin, NEXT, INC. 415/424-0200

[***][4/8/86][***]
COMMODORE'S BIG BLUNDER
While the West Coast Computer Faire was underway, San Jose's
St. Claire Hilton hosted an Amiga Faire.  Right.  Talk about
timing.  Amiga developers were slated to hand-carry an almost
bug-free version of "The Transformer" to the show from their
Los Gatos, Ca. headquarters.  For those of us who couldn't
make the show, there was zero press information.  NEWSBYTES
attempted to find a press packet.  "There are none," said
a spokesman for the advertising agency handling the Faire.

I was told to contact Commodore's PR firm in New York.  I
did, but no spokesperson was available.  I called Amiga
in Los Gatos, but was told they were not authorized to
make press statements.

One would think a product such as the "Transformer", which
is the module that allows the Amiga to run IBM software,
would have a bigger media splash at its West Coast premier.
Apparently not.  And why hold an Amiga Faire, which was
planned to attract at least 3,000, feature 16 exhibitors,
demonstrations and seminars, in competition with WCCF?
"It was the only slot open at the St. Claire Hilton,"
said an advertising exec.

CONTACT:  GELTZER & COMPANY (Commodore's PR agency--good luck!)
          1180 Avenue of the Americas
          New York, NY  212-575-1976

[***][4/8/86][***]
BUSINESSLAND BUYS 36; COMPUTERLAND REPLACES 1:
Businessland, the San Jose-based chain of computer retail stores,
is paying $20 million to acquire the 36-store chain Amerisource.
Altogether, that will give Businessland 105 stores and presence
in the south and midwest.  Businessland has been a booming success
in the West, where it has opened a store a month, and this
purchase, from Kansas City-based United Telecom, is its first.
Businessland still has a way to go before catching up with
Computerland's numbers, however.  Computerland owns 806 retail
outlets.

Just three days later (4/4) however, Businessland's president,
Ronald Watkins, threw in the towel and went back home to
Connecticut.  Company officials say there was no relationship
between the acquisition of Amerisource and Watkin's departure.

Computerland, meanwhile, has seen its new leader, Ed Faber,
relinquish one of his titles.  Faber, who had been chairman,
chief executive officer, and president, has given the presidential
crown to Kenneth Waters, previously executive vice president.

[***][4/8/86][***]
IN BRIEF--

WILLIAM HEWLETT, of Hewlett Packard fame, has pledge $50 million
to Stanford University's billion-dollar centennial fund-raising
campaign.

IBM has agreed to distribute DIGITAL RESEARCH's GEM application
products throughout IBM's marketing channels.

CONVERGENT TECHNOLOGIES' CEO Paul Ely Jr., still smarting from
3COM's rejection of its merger plans for Convergent, now says
he's going to create a "federation" of computer and
communications companies under the Convergent banner and will
announce "one acquisition per quarter for the next few years."

KAMERMAN LABS of Beaverton, Oregon has unveiled an AT compatible,
called the AT-Plus-1800, which retails for $1,999. The small
company's machine features a 5 1/4" drive, a 20MB hard drive,
AT-style keyboard and 4 Borland software packages.  Phone:
503/626-6877.

BONDWELL INDUSTRIAL COMPANY, another small hardware-maker,
has unveiled a $1,595 laptop PC compatible with 512K of RAM,
a built-in 3 1/2" drive, 300 baud modem, 4-8 hour battery
and 80X15 line backlit liquid crystal display.  Bondwell
is located in Fremont, CA.

XEBEC CORP., the San Jose-headquartered disk drive maker,
has brought 2 projects to a flying halt as investor money
dried up.  Xebec had been designing a 100 megabyte disk
drive and a disk media coating system.

MICROSOFT has release a version of "Flight Simulator" for
the Macintosh.  There are five scenery databases (starting
with takeoff from San Francisco), and a player can
view his progress from 3 different perspectives--the
cockpit, the control tower, or a spotter plane.  $49.95.
Shipping now.

[***][4/8/86][***]
MURDER AT THE WEST COAST COMPUTER FAIRE:
John Dvorak, in his "Confidential Inside Track" newsletter,
sheds light on the meaning of a flyers which were lying around
at the Faire, reading "Murder at the West Coast Computer Faire,
or Why Small Software Publishers Have to Kill for Publicity."

It turns out that Michael Cahlin of Cahlin/Williams Communications
had planned to have someone "killed" (it was all to be a joke,
of course) during a software demonstration on stage by having a
computer blow up in his/her face.  Then a full-blown whodunit
complete with clues and publicity would have ensued.  Trouble
is, the Interface Group objected to the term "murder", fearing
it would reflect badly on the show, and Cahlin was sobered by
the possibility of lawsuits resulting from real injury during
the stunt (heart attack, rash, etc.).  So the whole thing
was scrapped and the 300 posters are now collector's items.


[***][4/8/86][***]
MICRO MART ENTERS CHAPTER 11 (North Sun merger off)
Micro Mart, the troubled Norcross-based computer store chain,
filed for Chapter 11 bankruptcy Thursday after a proposed merger
with North Sun Resources Inc. of LA fell through. Micro Mart had
no comment on its action.

Edward Dobbs, an attorney representing unsecured Micro Mart
creditors, told the "Atlanta Journal-Constitution" the firm's
assets were shrinking at a "precipitous rate" and that "every
time a deal was put together based on a set of facts, the
financial picture would change before they got a chance to
finalize."

According to the bankruptcy petition the National Bank of
Georgia is owed the most money, $5.5 million, but that's secured
by assets. The biggest unsecured creditors are IBM ($4.4
million), AT&T ($1.9 million), H-P ($1.5 million), Compaq
($790,000) and Micro Mart's Atlanta ad agency, Bleichner, Bonta,
Martinez and Brown ($700,000). Other potential losers include
NCR, Ingram Software Distribution, Quadram, and Okidata.

CONTACT: Richard Korski, MICRO MART, 3159 Campus Drive, Norcross,
         GA 30071 [phone]

[***][4/8/86][***]
COMPUTONE, LARGEST IBM DEALER HERE, LIKES IBM MOVES
Atlanta's surviving IBM dealers were cheering Big Blue's
Wednesday announcement of bigger ATs, bigger XTs and (best of all
they said) lower prices all the way round. None had more reason
than Future Information Systems Inc. president Jay Rosovsky, "At
the low end this is going to make it very difficult for the clone
makers," he predicted after attending the unveiling. "They don't
want to lose market share, and I suspect they're the lowest-cost
producer in the world." Rosovsky is certain his New York-Atlanta
chain will be left with enough margins to make a profit on the
business, too.

As to the long-awaited PC Convertible, "So what?" asked Rosovsky.
"It's going to sell well because it says IBM and might legitimize
a lap market that's been wallowing. I don't think it's
technologically great shakes." The screen is "better than other
LCDs I've seen", it runs 6-10 hours on a rechargeable NiCad
battery pack, what's not to like? "They didn't commit to 3 1/2
disks a whole lot. They gave a mediocre method for getting data
over."

Finally, Rosovsky was asked about Micro Mart's troubles. "Fewer
competitors has to help you somehow," the head of Atlanta's big
winner in the computer store wars deadpanned.

CONTACT: Jay Rosovsky, COMPUTONE SYSTEMS INC., 1 Dunwoody Park,
         Suite 200, Atlanta, GA 30338 [phone]

[***][4/8/86][***]
INSIDE THE VIEWTRON FAILURE     *EXCLUSIVE*
While the Independent Commodore Users Group may claim it has
plans to buy Viewtron, the failed Knight-Ridder videotex project,
don't bet on it happening. "There's not much of a story there,"
says Viewtron chief executive Reid Ashe. "Those folks are
genuinely interested in buying the business but they don't have
any money. They approached us saying they were trying to line up
some investors, and asked us to keep the service going on
speculation over an interim basis." Viewtron turned the offer
down. It closed its doors March 31.

Lost Viewtron customers might wind up right here at NEWSBYTES,
however. Ashe said Viewtron and The Source have made a deal for
those few thousand Viewtron users who bought AT&T Sceptre
terminals, under which they'll get free Source accounts, a $50
usage credit, and no monthly minimums, along with special IDs
identifying them as Sceptre customers. (It's similar to the deal
The Source gave the Computer Press Association a year ago.)
"Instead of going out and selling the list we went to competing
services and offered the list to the service offering the people
the best deal," explained Ashe.

So why did Viewtron fail? "The biggest reason was the market was
way overestimated and Viewtron got too big too fast," according
to chairman Ashe.

CONTACT: Reid Ashe, VIEWTRON, 1111 Lincoln Road, 7th Florr, Miami
         Beach, FL 33139

[***][4/8/86][***]
REGIS MCKENNA LOSES HAYES ACCOUNT
Southeast high-tech PR firms can rest easy (if they weren't doing
so before) with word that Hayes Microcomputer Products Inc. of
Norcross quietly dropped Regis McKenna & Co. as its public
relations agency a month ago. That, combined with the loss of the
Intel account, has magazines like "Business Week" scrambling to get
out stories asking if the Master of Silicon Valley has lost his
touch.

If he hasn't, at least he can still teach. Regis lost Intel to
Bruce LaBoss, a former Regis executive. He was on his way out in
Atlanta when Jane Glasberg, the account manager for Hayes, took a
staff job in Dennis Hayes' office late last year. Ms. Glasberg
said the divorce became official in early February. "We're
establishing an in-house public relations department and will
then look to outside later for consulting and project work," she
said.

CONTACT: Jane Glasberg, HAYES, P.O. Box 105203, Atlanta, GA 30348
         [phone]

[***][4/8/86][***]
WHY THE BEST MICRO COWBOYS HAVE TEXAS EYES *EXCLUSIVE*
If you've been checking the mail-order computer ads lately,
you've probably noticed that suddenly there are tons of full-page
spreads from Texas-based companies, Austin and Houston mostly,
all with 800 numbers.  "I can explain that," says Tim Johnson,
sales manager for Computer Dynamics Inc. in Austin, which opened
for business last August.  CompuAd was among the first in just a
few years ago. They begat PCs Limited when a salesman jumped
ship, which begat Main Street Computers in Bastrop. Tim moved
over from PCs Limited.

Why so many? Cynics may ascribe it to the Bevo factor, the same
herd instinct which turned a hillock called Spindletop into a
valley in the 6 years after oil was discovered there in 1903. Mr.
Johnson says it's location. "It's not a long ship to anywhere in
the United States," are his words. As to why the ads are all in
the same places? "Where you see one mail-order ad you'll see them
all." Mooo-ove over, micro market.

CONTACT: Tim Johnson, COMPUTER DYNAMICS, 2201 Donley, Suite 304,
         Austin, TX, 78758 [phone]

[***][4/8/86][***]
LINIUM SUES JOHN HANCOCK FOR PIRACY
Linium Technology Inc., a wholly owned sub of American
Software Technology in Bay Harbor Islands, Florida, has sued John
Hancock Mutual Life Insurance in Southern District of FL,
charging software piracy. They're seeking $25 million in damages.

CONTACT: Hugo Riter, American Software Technology, 1150 Kane
         Concourse, Bay Harbor Islands, FL, 33154 [phone]

[***][4/8/86][***]
PECAN BITS
   ...MSA...QUADRAM...JUDGE O'KELLEY

"MIS Week" reports Management Science America (MSA) of Atlanta is
discounting mainframe software packages by up to 40%, i.e.  $80-
90,000 for packages which usually cost $150,000. The charge,
levelled by Data Designs, a small competitor, was not explicitly
denied, but MSA told NEWSBYTES-SOUTHEAST its discounting is no
worse than anyone else's.

CONTACT: Helen Taffet, MSA, 3445 Peachtree Road NE, Atlanta, GA
         30326 [phone]

QUADRAM tipped its hand about Comdex, announcing a new, even
bigger Memory Board will be its featured attraction, along with
MainLink, a half-card IBM mainframe emulation card, and the
QuadEGA+, a graphics board they claim leads industry sales with
over 10,000 shipped in 45 days.

CONTACT: Jane Bator, CAM GROUP, 4351 Shackleford Rd., Norcross,
         GA 30093 [phone]


FINALLY...U.S. District Judge William O'Kelley of Atlanta had
still not ruled April 4 on Microstuf's (Crosstalk) copyright
infringement charges against Softklone Distributing (Mirror).
Meanwhile we have a second loud clone-maker, Interface
Technologies Corp. of Houston, TX, getting official (favorable)
reviews on its "Farsight", a 1-2-3 clone. If he rules against
Softklone now, the Judge will have a lot of mad users on his
hands, and justice delayed will prove justice denied for
somebody.

CONTACT: U.S. District Court Clerk, Northern District of Georgia,
         50 Spring St. SW, Atlanta, GA 30303 [phone].



[***][4/8/86][***]
NEW IBM PC-AT IS THE DAWNING OF AQUARIUS   * E X C L U S I V E *
An IBM representative has confirmed to NEWSBYTES-LOS ANGELES
that the new 8-megahertz PC-AT is indeed the computer Big Blue
once code-named "Aquarius."  In addition, IBM information
officer Fred McNeese revealed that the redesigned PC-AT and PC-
XT keyboards of the just-released machines are not compatible
with either of their older counterparts.  Both new keyboards are
more similar to IBM's famed Selectric design than to the
original PC and PC-XT versions.

CONTACT:  IBM Entry Systems Division, P.O. Box 1328, Boca Raton,
          FL 33432   [phone]

[***][4/8/86][***]
KAYPRO PC UPGRADE BOARD ANNOUNCED
Taking a cue from the automobile industry, Kaypro Corp. of
Solana Beach has announced that owners of the Kaypro PC can
upgrade to PC-AT power by replacing their engines.  Well,
swapping their 8088 CPU boards for new 286 PC Cards at least.
The new processing boards are available for $799 with the trade-
in (they will cost owners $1,065 otherwise).

In other Kaypro news, the company reported that earnings were up
$788,450 on sales of $20.5 million in its latest fiscal quarter
which ended February 28.  This could mark a turnaround for the
company, which carries an earnings loss of $1.75 million on its
books for the last six months.  In addition, the firm is still
$16 million in debt.

CONTACT:  Kaypro Corp., 533 Stevens Ave., Solana Beach, CA 92075
          [phone]

[***][4/8/86][***]
MA BELL'S BIG COMPUTER PROBLEMS
There are computer mistakes, and then there are computer
MISTAKES.  Pacific Bell discovered last week that its billing
computers failed to charge 1.6 million California customers for
at least $29 million in long-distance calls they made between
January 13 and March 14.  Area codes affected in the Southland
are 213, 818, 805, 714 and 619.  And yes, customers will be
retro-invoiced for the calls.  Of course, this is the second
major "computer error" by Pacific Bell in recent months.  The
first goof was only for $22-million and affected bills dated
from November 27 through January 12.  However, the California
Public Utilities Commission said Pac Bell would have to absorb
that loss itself because too much time had passed before it was
discovered.  Until the most recent announcement, that $22-
million mistake was the most expensive in company history.

[***][4/8/86][***]
GIANT COMPUTERLAND WHITE SALE
A late report from the huge ComputerLand clearance sale now
underway in Santa Ana says that about 160,000 "master cartons"
of computer equipment have been unpacked in preparation for the
inventory blow-out.  Organizer Fred Brown of Santa Barbara says
each of those cartons contained up to 50 items of hardware.  He
also stated on one of the local TV-news shows that *everything*
would be sold in nine days, with any remaining stock priced at
$1 on the final day.  No IBM-label equipment is included, but
Apple, Apricot and even Peachtree items are on the menu.
Inventory from 600 ComputerLand franchises across the country is
being unloaded in the aircraft-hanger-sized warehouse.

CONTACT:  [Warehouse] 1929 St. Andrews Place, Santa Ana, CA

[***][4/8/86][***]
INFO SHOW TO FEATURE PRODUCT LOCATOR
The 13th annual Information Management Exposition follows
COMDEX/Winter into the Los Angeles Convention Center in a few
weeks and will feature a computerized software-locator service.
According to the advance publicity, you "define the type of
program or system you're looking for" at the show.  Then, the
printer spits out a list of which booths are displaying what
you're after.  Now that's progress!  Sheldon Adelson, make a
note.

CONTACT:  INFO Show, Cahners Exposition Group, 999 Summer St.,
          Stamford, CT 06905   [phone]

[***][4/8/86][***]
BEACHBITS

>>>  Applied Circuit Technology of Anaheim has acquired
     Whiteworth International Inc. for cash and notes totaling
     $2.15 million.  Whiteworth makes pharmaceuticals and is
     ACT's first move to diversify out of the computer industry.

>>>  Archive Corp. of Costa Mesa has signed a $5.9-million deal
     to provide its macho-sounding Scorpion and Sidewinder tape
     drives to Philips Data Systems of West Germany.

>>>  Data Systems Software Corp. of Canoga Park has inked a
     contract with Sperry Corp. for Data Systems' EntryManager
     series of data-entry software.  No terms of the agreement
     were disclosed.

>>>  Key Image Systems of Chatsworth has posted a $1.3-million
     loss for the nine months ended December 31.  The firm is
     apparently suffering from serious cash-flow problems and
     may be on the ropes.  Key Image develops bilingual
     microcomputer systems.


[***][4/8/86][***]
LOTUS SLASHES JAZZ:
Lotus Development announced this week that it's cutting the
retail price of Jazz (for the MacIntosh) from $595 to $395. Not
so coincidentally, this brings the price of Jazz equal to
Microsoft's Excel, which dealer report is outselling Jazz by at
least a 3-to-1 margin. Although Lotus refuses to talk numbers,
market research firms estimate that some 50,000 copies of Jazz
were sold last year. Lotus introduced Jazz last May with a huge
television and print advertising campaign that cost an estimated
$8 million. The new price will take affect with the release of
Jazz version 1A, which is designed for the MacIntosh Plus.
Insiders says Lotus is also planning an aggressive dealer
discount program to move Jazz.

Meanwhile, the Lotus Developers Conference ended last week in
Boston. About 450 developers attended, and the changing nature of
software development was underlined by the fact that the majority
of attendees were employees of large corporations instead of
independent third-party developers. Lotus said they'll be
introducing a series of development tools for 1-2-3 Release 2
that will allow other software to be "hooked" into the 1-2-3
environment. (The tools won't be available until the third
quarter of this year.) The company also announced an updated set
of tools for Symphony, and instituted a "Developer's Program"
that will provide discounted software and technical support to
developers. There is, however, something of a catch-22 in the
Developer's Program. You have to actually be shipping a product
before you can qualify for the program.

Finally, Lotus also confirmed that their Engineering and
Scientific Products Division will release a word processor and
data acquisition product later this year.

CONTACT:  Lotus Development Corp., 55 Cambridge Parkway,
          Cambridge, MA 02142, 617-577-8500

[***][4/8/86][***]
WANG TAKES ON DEC:
Wang Laboratories could have picked a better day to make a major
product announcement. On Wednesday, Wang announced two new
supermicrocomputers that are designed to go head-to-head against
DEC's super-successful MicroVAX II. Though they put on a happy
face, sources report that Wang executives were more than a little
upset that their announcement was lost in the blizzard of gushy
press about the new IBM laptop. The Wang VS-5 will sell for
$12,000; and the VS-6 for $19,950. Both are slightly faster than
comparable MicroVAXes, and sell for about 25%-30% less than
comparably-equipped DEC machines. A Wang spokesperson also
claimed the company intends to lower the price of comparable
supermicros by at least 25% every year. The VS-5 and VS-6 will be
shipped within 90 days.

CONTACT:  Wang Laboratories, One Industrial Ave., Lowell, MA
          01851, 617-459-5000

[***][4/8/86][***]
VAX SOFTWARE DIRECTORY:
Speaking of the VAX, are you wondering what software is available
to run on yours? Wonder no longer! DEC has just released the
third edition of its "VAX Software Sourcebook." The two-volume,
1944-page directory lists over 2600 programs for all models of
the VAX. Best of all, it's free. Just drop DEC a line with a
business card or your company's letterhead, and request order
number EJ-28572-46.

CONTACT:  Digital Equipment Corporation, Printing and Circulation
          Services, Inquiry Fulfillment, 10 Forbes Road,
          Northboro, MA 01532-2597

[***][4/8/86][***]
BELL VERSUS BELL:
When the Justice Department forced the break-up of the Bell
System, one of the reasons given was that it would encourage
competition. But direct competition between Bell Operating
Companies? NYNEX, the NYC-based operator of New York Telephone
and New England Telephone, is going head-to-head with New Jersey
Bell. NYNEX announced this week that they'll be publishing phone
books for most of Northern New Jersey, where New Jersey Bell
already publishes. This means NYNEX and NJ Bell will competing
with each other for lucrative yellow-pages advertising. By the
end of this year, confused NJ consumers will be receiving two
sets of telephone books.

CONTACT:  Susan Barnum, AT&T, New York, NY 212-513-9774

[***][4/8/86][***]
CURTIS AND EPD TANGLE OVER COLOR:
The latest wrinkle in the increasingly-curious spate of computer-
industry lawsuits is between Curtis Manufacturing Company of
Peterborough, NH and Electronic Protection Devices (EPD) of
Waltham, MA. Both companies sell a line of AC-power-line surge
protectors named after fruit (lemon, lime, peach, and orange),
and the cases look identical. EPD has sued Curtis, claiming the
Curtis products are a "knock-off" of the products they designed
and marketed first. The issue this time is a legal term known as
"trade dress" (color and appearance). The case will be tried in
U.S. District Court in Boston.

CONTACTS: Electronic Protection Devices, Inc., PO Box 673,
          Waltham, MA 02254, 617-890-2518

          Curtis Manufacturing Company, Inc., 305 Union St.,
          Peterborough, NH 03458 603-924-3823

[***][4/8/86][***]
PRIME'S SURPRISING LOSS:
Natick, MA-based Prime Computer had a very successful year in
1985, avoiding the losses that plagued so many computer
companies. But what the company terms the "sluggish high-tech"
market has finally caught up with them. Prime announced this past
week that they expect a 25% drop in profits for the first quarter
of this year. The company says it'll limit spending, but plans no
layoffs. The announcement had little affect on Prime's stock
price.

CONTACT:  Prime Computer, Inc., Prime Park, Natick, MA 01760,
          617-655-8000

[***][4/8/86][***]
ENCORE KEEPS TRYING:
Encore Computer Corporation, troubled by product delays, layoffs,
and lawsuits -- announced this week that it expects to sell its
first Multimax superminicomputer before the end of the month. The
Marlboro, MA-based company, once the darling of venture
capitalists, says over a dozen of the multi-processor machines
will be shipped to unidentified companies. Prices for the
computers range between $100,000 and $300,000. The company, which
had a major layoff earlier this year, also said it expects to
shrink its workforce further (to about 130) by the end of the
year. Encore had 240 employees at the beginning of this year.

Meanwhile, Encore has settled out of court with the former head
of the group that designed the Multimax. David Schanin had sued
Encore for $8.5 million, alleging the company breached his
contract in an effort to lessen his financial stake by firing him
last year. Terms of the settlement weren't disclosed.

CONTACT: Encore Computer Corp., Marlboro, MA, 617-460-0500

[***][4/8/86][***]
WILL ALPHA TAKE ON DBASE?
Inside sources report Burlington, MA-based Alpha Software is
beta-testing an updated version of their Data Base Manager II.
The new version is different from its predecessor in one crucial
respect: it's reported to be totally compatible with dBase III
files (no conversion needed). Alpha will reportedly market the
package, expected to cost $300, to corporations who are currently
committed to dBase. There's no word yet on when the product will
be shipped, and Alpha isn't talking.

Meanwhile, the battle of the keyboard-enhancements programs
continues to rage. Alpha is currently shipping an updated version
of its "Keyworks" program. Version 2.0 costs $89.95 and includes
several new features, including a cut-and-paste ability for
moving data between applications. If you own the first version of
Keyworks, you can upgrade for $19.95.

CONTACT:  Alpha Software Corporation, 30 B Street, Burlington, MA
          01803, 671-229-2924

[***][4/8/86][***]
SHARP ROLLS OUT DESKTOP COMPUTER:
New Jersey-based Sharp Electronics, best known for their not-
highly-successful PC-5000 laptop computer, has quietly introduced
its first desktop computer. Not surprisingly, the MZ-5600A is IBM
compatible. It comes with 512K of RAM, a built-in color graphics
adapter, and two 640K (quad-density) disk drives, The MZ is
available now and retails for $1795. Sharp says they'll be
staying away from the volatile consumer markets and will be
selling the unit to value-added-resellers for vertical-market
applications. A spokesperson also says it's only the first in a
series of desktop computer that Sharp will be introducing.

CONTACT:  Sharp Electronic Corp., 10 Sharp Plaza, Paramus, NJ
          07652, 201-265-5600

[***][4/8/86][***]
STAR MICRONICS GOES LOW END:
The price of full-featured printers continues to slide, and
that's good news for consumers. NYC-based Star Micronics
introduced the NX-10 last week. With a list price of just $349,
the NX-10 is a dot-matrix unit that prints both draft (120 cps),
and near-letter-quality (30 cps). Star has also moved all feature
controls to the front panel; unlike their former printers where
you needed a screwdriver and an afternoon to get to the DIP
switches. A tractor-feed is built in, and optional cut-sheet
feeders are available.

CONTACT:  Star Micronics, 200 Park Ave., Suite 3510, New York, NY
          10166, 212-986-6770



[***][4/8/86][***]
SEIKO-EPSON TIES UP WITH ABC:
SEIKO-EPSON (Nagano, Japan) and ABC Network (U.S.A.) have
jointly established an information service company in New York.
This new company, Indesys Inc., provides a message forwarding
service in the U.S. by using ABC's satellite channels. In this
system, the users send their messages or information to Indesys
through a telephone line.  Then they are dispatched to the
multiple number of users' printers at different locations
simultaneously.

Michael Moone, a former president of Atari, has assumed the
presidency in Indesys. The company's total capital US$8.85
million has been shared by 18.6% for EPSON, 40% for ABC, and
the rest for venture capitalists.  The expected sales volume of
Indesys in 1986 is US$50 million.

CONTACT: EPSON America, Torrance, Los Angeles, 213-373-9511

[***][4/8/86][***]
MICROSOFT DENIES IBM LINK:
William Gates, a Chairman of MicroSoft Corp., met the press in
Tokyo on 4/2, and he denied the rumor about IBM's takeover bid
of MicroSoft.

Regarding the MicroSoft activity in Japan, its business will
start on 5/1.  "MicroSoft won't market MSX machines.  They will
be handled by ASCII," said Gates.   However, Gates mentioned
that the copyright of MSX has been owned by MicroSoft, and the
royalty rate of MSX sales has not been decided yet.  So the
future of the MSX is still bleak at the moment.

CONTACT: MicroSoft, Tokyo, 03-486-1411

[***][4/8/86][***]
UNINET's HOLE-IN-ONE:
Japan Uninet, a subsidiary of Uninet (U.S.A.) and Kanematsu-
Gosho Trading (Tokyo), will start providing a database service
dubbed "HOLE-IN-ONE" in the Japanese market this month. "HOLE-
IN-ONE", which is a database of Uninet U.S.A., has over 400
kinds of world news and real estate data.  The registration fee
of Japanese HOLE-IN-ONE is US$222 and the usage charge is $0.39
per minute.  According to a report, Japan Uninet plans to offer
international E-mail service in the near future.

CONTACT: Japan Uninet, Tokyo, 03-436-3161

[***][4/8/86][***]
COMMUNICATION TOKYO '86:
Communication Tokyo '86, a trade show of communication equipment
and systems, was held at the Harumi Exhibition site in Tokyo from
4/2 to 4/5.  138 major manufacturers in and out of Japan
displayed VANs, personal computer telecommunication systems,
"intelligent-building" plans, digital PBX, and LANs.  The U.S.
Ambassador to Japan, Mr. Mansfield, was invited to the opening
ceremony to enliven this show.  The total number of visitors
is estimated to be 80,000.

CONTACT: The Society of Communication Machinery Industry
         Sankei Bldg. Bekkan, 1-7-2 Otemachi, Chiyoda-ku, Tokyo 100
         Phone: [phone]

[***][4/8/86][***]
HITECH MISSION '86:
The U.S. Department of Commerce has been planning to invite
medium-sized Japanese hi-tech firms to the U.S. for mutual
cooperation with U.S. counterparts.  According to a published
report, the U.S. authority aims to become a go-between for the
firms in both countries to reach agreements concerning joint
ventures, license, dealership, and investment, etc.  This year,
the delegation will visit Colorado and its vicinity for
about ten days in early September.  25 firms will be invited.

CONTACT: "HITECH MISSION '86", The U.S. Embassy in Japan
         Tokyo, 03-583-7141 ext.7618

[***][4/8/86][***]
<<< SUKIYAKI BYTES >>>

SHARP EYES BETTER SALES IN '86 -- According to a published
report, Sharp (Tokyo) expects US$333 million for the sales of
the company's semiconductor products in fiscal '86.  Sharp plans
to significantly increase the production of 64K DRAM, 256K DRAM,
and CCD this year.

VAN SERVICE -- NEC started its personal computer network "PC-VAN"
on April 1.  The network provides BBS, E-mail, and database
service etc.  Meanwhile, Hitachi Information Network and Japan
Information Service (JAIS) have also started an electronic mail
service using their VAN.  More newcomers in this budding field
of the telecommunication business are expected this spring.

HITACHI AND SPERRY -- For nearly a year, Hitachi and Sperry have
been hammering out a business deal concerning the
production of Sperry's CPUs at Hitachi's plant.  Hitachi's
senior executive Mr. Takeo Miura told the impatient Japanese
press, "We'd like to make our decision before long."

NTT WANTS TO INCREASE ADS INCOME -- NTT (Japan's Telegraph and
Telecommunication Corp.) has been preparing to establish a joint
venture for publishing a better telephone directory, in
cooperation with ITT World Direction (a subsidiary of ITT).
NTT expects ITT World Direction to be a big help for gaining
lots of advertisement income for the directory, which is
less popular at present.  We'll see.

Meanwhile, NTT has decided to integrate the company's computer
languages to Ada, concerning the development of software for
general purpose computers.

NEW OFFICE OF LOTUS -- In an attempt to make a full-swing
operation in Japan, Lotus Development Japan moved its office
on March 31.  Meanwhile, a Japanese version of Lotus 1-2-3 is
expected out this summer.

NEW ADDRESS: Toranomon-MF Bldg., 3-10-11 Toranomon, Minato-ku,
             Tokyo (Phone: [phone])

VISUAL HEAD-PHONE STEREO -- In cooperation with Matsushita
Electronics, Obunsha (a Japanese publisher of educational
books) has developed a head-phone stereo with LCD display.
The new gadget called "PAGO PAGO" displays characters, figures
and graphics on a 20 x 4-line LCD, synchronized with sounds.
Obunsha aims to market PAGO PAGO for the students studying
foreign languages.  It will be released at US$277 in May.

CAI MACHINE WITH AI -- SEGA Enterprises (a toy maker in Tokyo)
and CSK (a software developer in Tokyo) have jointly developed
an AI-based CAI computer.  This new computer is said to be
equipped with a 16-bit CPU and its software is programmed in
Prolog.  Sources say it will be shipped at US$380 around July.

CONTACT: SEGA Enterprises, Tokyo, 03-743-7447


[***][4/8/86][***]
SIR CLIVE SINCLAIR TO SELL UP?
As NEWSBYTES UK went to press late Saturday afternoon (UK
time), the big news that's just about to break is that Sir
Clive Sinclair is about to sell up.  The inside word is that
Sir Clive spent most of the Easter weekend in discussions
with an un-named third party.  This was about the same time
that Sinclair was holding hush-hush creditor meetings, as
the agreed March payments to creditors had not been made
and, quite frankly, creditors are fed up.

As of Saturday a.m. (5th March), all Sinclair Research staff
have been recalled off leave in order to tidy up the loose
ends of their various projects.  This is in preparation for
a "major announcement" on Monday lunchtime.

Reading between the lines, NEWSBYTES UK reckons that the
un-named third party is none other than Alan Sugar, head of
Amstrad Computers, the firm responsible for the amazingly
successful PCW word processor (now being shipped to the US
by Sears) and the CPC series of computers.  NEWSBYTES UK
also reckons that Sir Clive will retain Sinclair Research as
his own, in order to continue (you guessed it) his research
into new projects.  The manufacturing side of Sinclair
product will, as with all Amstrad kit, be shifted to the Far
East, where production costs are lower.  Conjecture?
Educated guesswork.  Let's see what the next week brings.

[***][4/8/86][***]
APPLE MAC PLANS LEAK
This week's MICROSCOPE (A UK trade weekly), leads with the
story that "the next few weeks will see a new Apple
Macintosh with 512K RAM, an 800K disc drive and a rumoured
1,500 pound ($2,250) price tag."  The magazine also says
that Apple will release a dual processor machine by the end
of the year.  Pricing is an all important issue to the new
Mac, as summed up by one of Microscope's quoted Apple
spokesmen.  "If Apple is to continue to sell 512K Macs, then
it will have to establish a real differential between the
new machine and the One Mb Mac Plus... That could mean a
really low price."

Meanwhile, the magazine also says that the dual-processor
product will contain a VLSI version of the Apple IIc on a
single chip, along with a 16-bit processor in the same box.
Launch date is projected as September of this year.  We'll
believe it when it sees it!

Contact: Microscope, 14 Rathbone Place, London W10 1DE, Tel
         London [phone]. Source ID BDF843.

[***][4/8/86][***]
AMIGA LAUNCH DATE CONFIRMED:
Confirming last week's NEWSBYTES UK report that the Amiga
will be launched early May in the UK, it was confirmed
during the week that the Amiga will be launched at the
Commodore User show to be held in London, May 9th to the
11th.  Still no official word on the price of the machine in
the UK - rumoured to be around the 1,500 pound ($2,250) mark
- but the inside word is that, rather than cut their prices
to meet the impending US promotional level, Commodore UK
will offer extra hardware and software...anything to stave
off Atari, who are still selling strongly.

Contact: Commodore UK, 53/69 King Street, Maidenhead, SL6
         1DU. Tel Maidenhead (0628) 75712.

[***][4/8/86][***]
COMDEX BOMBS IN LA, BUT RETURNS TO EUROPE:
Despite reports that last week's COMDEX WINTER show bombed
out in LA, the show returns to Europe this year.  Unlike
1984, when Amsterdam hosted the show, Comdex Europe will be
held in Nice, following a decision by Interface Europe (the
show organisers this side of the pond) to steer clear of
capital cities.  Charles Vervoord, General Manager of the
organisers is quoted in this week's COMPUTER NEWS (a UK
weekly) as saying, "We don't want to be misunderstood.
We're not competing with Europe's established shows.  Comdex
is not a US event transferred to Europe, but is based on the
successful American formula - organised and run for
Europeans."  Try telling that to Pete Young, director of
conference products for Interface in the US!  His excuse
quoted on several US networks last week was that the LA show
was "...a reflection of the industry."  Bob Webster of UPI
chalked the figures on the wall when he said that Comdex
Winter attracted a 10,000 crowd, a half of what Interface
were hoping for.

Comdex Europe runs from June 10th to 12th in the Acropilis
Centre, Nice, and will incorporate a Software Business
Conference.

[***][4/8/86][***]
ACORN PULL OUT OF THE TROUGH:
The troubled firm of Acorn Computers have announced pre-tax
losses of 2.9 million pounds for the half year to 31st
December, after recording a 22.2 million pound loss for the
full year to June 1985.  Turnover in the six months was 20.1
million pounds, down 63 per cent on the same 1984 period.
As expected, there will be no dividend.

Acorn's MD, Brian Long says that the last six months have
been a transitional period for the company, but now "the
company is out of the woods."  He declines, however, to back
up his optimism by placing a figure on projected profits for
1986!  Long is at pains to emphasise that Acorn is a much
slimmed down version of the company that it was a year ago,
as well as being much more financially sound.  Stock levels
are down to 7.9 million pounds (from 18m) with the company
using a shade under 7 million pounds of its available 16
million pound credit line.  Long desribes Acorn's strategy
as a three layers - It will continue to operate as a
research company in hi-tech areas such as VLSI, as well as
selling the fruits of it's R&D by selling systems direct to
the public.  Thirdly, Acorn will be seeking OEM agreements
with parent company Olivetti, which Long reckons will bring
in about 30% of turnover for the company.

In the medium term future, Long says he hopes to release a
family of low cost machines in 1987, based on the
much-touted Risc processor.  The processor will be bought in
from an unnamed US silicon manufacturer, subcontracted to
handle the processor.
 ==

[***][4/8/86][***]
CHIP TALKS ON THE ROCKS
Talks between U.S. and Japanese government officials over access
of U.S. semiconductors to the Japanese market collapsed late last
month. As a result, the Reagan administration may accelerate
action against Japanese chips coming into the U.S. The
administration quickly scheduled an internal review of the
semiconductor issue in the wake of the failure of the opening
talks. The administration is aware that Congress is
looking over its shoulder on this issue. Legislators plan to move
a trade bill severely limiting Japanese access to U.S.
semiconductor and telecommunications markets should the
administration fail to get voluntary agreement from Japan. The
administration was prepared to drop three anti-dumping cases
pending against Japan if the Japanese opened their markets to
U.S. firms. The failure of the first round of talks means the
administration is likely to push forward on the anti-dumping
complaints against 64K and 256K RAMs and Eproms.

But the breakdown in talks is not likely to be the
end of the attempt to work out a deal. Japanese Prime Minister
Yasuhiro Nakasone is scheduled to visit Washington April 12
through 14. Talks could resume before that date, with the
Nakasone visit a catalyst for action.

[***][4/8/86][***]
JOURNAL CHIMES IN ON CHIP WARS
The "Wall Street Journal," the national business newspaper,
warned in an editorial last week that U.S. pressure to guarantee
markets for U.S. semiconductors could slow innovation and harm
consumers. "In semiconductors," the paper said, "conspiracy
theorists think the Japanese are trying to force out the
Americans so they can then dominate the industry. But chip prices
in Japan are actually lower than they are in the U.S. What the
Japanese are in fact doing is competing."

[***][4/8/86][***]
IRS SYSTEMS WORK AS PLANNED
Unlike last year, when irate taxpayers were waiting months for
refunds, this year the situation at the Internal Revenue Service
appears vastly different. Of course, notes the IRS, only about
half of all taxpayers have filed returns so far. The deadline is
April 15. According to IRS spokeswoman Johnell Hunter, the
situation this year has been helped by a 24-hour hotline for the
10 IRS service centers. The line is used to report computer
problems to the agency's headquarters. By the end of March, the
tax collectors had made 45 percent more refunds than for the same
period last year. 24 million taxpayers had received refunds
totaling $18.7 million, with an average refund of $771.

[***][4/8/86][***]
PITTSBURGH GETS A A CRAY
The Pittsburgh Supercomputer Center, a consortium of Carnegie-
Mellon University, the University of Pittsburgh, and Westinghouse
Electric Corp., has bought a $20 million Cray X-MP/48
supercomputer. The Pittsburgh center is the fifth established by
the National Science Foundation in Washington to provide
researchers across the nation with access to advanced computer
technology. This is the third Cray to be installed under the NSF
program, according to Cray Chairman John Rollwagen. The computer
will go into the Westinghouse computer center in Monroeville,
Pa., this quarter, and be operational by June.

CONTACT: Cray Research Inc., Minneapolis, Minn., 612-333-5889.

[***][4/8/86][***]
CHINESE OFFICIAL CALLS FOR EASED TRADE BARRIERS
An official of the Chinese government, writing in "Electronic
Business" last month, has called on the U.S. to relax barriers
to trade in electronics and computers. Li Deguang, president of
China Electronics Import and Export Corp., said that China
imported $1.37 billion in high tech electronics equipment in
recently years. "But U.S. companies captured no more than 4
percent of the total, compared with about 75 percent taken up by
Japanese firms." The reason Japan is dominating the China
market, Deguang said, "is clear: export restrictions imposed by
the U.S. government." Deguang complains that ""among the
developed countries, the United States is the only one that has
not given China the Generalized System of Preferences status.
Worse, the United States still objects to the resumption of
China's status as a member state of the General Agreement on
Tariffs and Trade."

CONTACT: Electronic Business, Cahners Publishing Co., Newton,
         Mass., 617-964-3030.

[***][4/8/86][***]
COS MEMBERSHIP GROWS
The Corporation for Open Systems, a Washington group pushing
adoption of international interconnect standards in computers and
communications, has added 13 members in the first quarter of the
year, bringing total membership to 37. The group membership
includes information systems users and industry vendors. The
first information users to join the group were Eastman Kodak,
DuPont, Bechtel Power Corp., Hughes Aircraft, and Boeing Computer
Services. New vendors who joined the group are ITT Corp., Sytek
Inc., Texas Instruments, Concurrent Computer Corp., Data General
Crop., Excellan Inc., Touch Distributed Systems, and the S.E.L.
Computer Systems Division of Gould.

CONTACT: Corporation for Open Systems, 700 North Fairfax St.,
         Suite 607, Alexandria Va., 703-739-2300.

[***][4/8/86][***]
WASHINGTON COMPUTER BUSINESS INDEX
Another solid performance for the computer business index, which
reached 271 for the March 31 issue of "Washington Business." That
represents a solid increase over the prior week's 238.5. The
week saw a hefty 14.1 pages of computer display ads, and 23.9
pages on non-computer advertising in the weekly tabloid published
by "The Washington Post."

[***][4/8/86][***]
POWERBYTES

 $$$ BDM International Inc. of McLean, Va., has won a $21.6
million increase in a 10-year contract for equipping the Air Force
Logistics Command with a new computer system. The total award is
now $120 million, the largest single piece of business for the
diversified technical services firm. CONTACT: BDM International
Inc., 7915 Jones Branch Drive, McLean Va., 22102, 703-821-5050.

 $$$ Science Applications Research of Lanham, Md., has picked up
a five-year, $18.4 million contract for programming and support
to the National Space Science Data Center at the Goddard Space
Flight Center if Greenbelt, Md. The company is a joint venture
between SASC Technologies and RMS Technologies. CONTACT: Science
Applications Research, 3400 Forbes Blvd., Lanham Md., 20801, 301-
794-5200.