Newsbytes - International Computing Industry News 1983 May to 1994 June

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(NEWS)(GENERAL)(SFO)(00001) AST Enters Pen Computing Market 04/08/93 IRVINE, CALIFORNIA, U.S.A., 1993 APR 8 (NB) -- AST Research has entered the pen computing market with the introduction of the PenExec "PenTop" pen notebook computer. The company says that the launch is a direct result of AST's strategic alliance with TE Electronics of Tandy Corp. The unit consists of a 11.6 by 9.4 by 1.6-inch, 5.5-pound black magnesium box, and is a hybrid between a traditional keyboard-driven notebook and a pen computer. The PenExec is priced under $3,000. In announcing the pen computer, Bret Berg, product marketing manager, said the PenExec is based on pen technology from Grid Systems but adds that AST added its own features, including an extended life battery that provides up to three hours of continuous computing time, support for PCMCIA, hard drives up to 200 megabytes (MB), and RAM system expansion up to 20MB. The PenExec comes standard with pre-installed programs for both pen and keyboard computing. Pre-installed software includes: DOS 6.0, Windows 3.1 and Windows for pen computing. (Ian Stokell/19930407/Press Contact: Donna Kather, 714-727-7943, AST Research Inc.) (NEWS)(IBM)(SFO)(00002) Acer Intros ACROS PCs 04/08/93 SAN JOSE, CALIFORNIA, U.S.A., 1993 APR 8 (NB) -- Acer America has introduced 25 new models into its family of ACROS Industry Standard Architecture (ISA)-based PCs. According to Acer, the computers feature accelerated video that allows them to reach up to 10 million WinMarks, a 50 percent increase in graphics performance over earlier Acer ACROS models. The new systems come with either 170 megabyte (MB) or 240MB hard drives. Street prices start at $1,099 for a 25 megahertz (MHz) 486SX- configured system with 4MB of RAM and 170MB hard drive. In announcing the new PCs, Ashok Ramaswami, strategic planning manager for Acer America, said that the accelerated video provides the superior graphics performance required for today's Windows-intensive environments. "Meanwhile higher hard disk capacities give users more disk storage for the same cost as earlier Acer ACROS models." The Acer ACROS family is based on the ISA bus and features 25 systems based on Intel 486 CPUs (central processing units), ranging from the 25MHz 486SX to the 66MHz 486DX2. All of the PCs come with 4MB of main memory, expandable to 48MB; 128 kilobytes (KB) EPROM (erasable programmable read-only memory) for system and video BIOS; 512KB video RAM, expandable to 1MB; four ISA slots, a socket for up to 256KB external cache, 3.5-inch floppy disk drive, DOS, and keyboard. Additionally, configurations based on either the 50MHz or 66MHz 486DX2 come with 1MB of video RAM. Bundled systems add a 5.25-inch floppy drive plus PFS WindowWorks office productivity software from Spinnaker. Some models also offer a built-in fax modem, Phoenix MicroFax software, Prodigy communications package, and Micrografx Graphics Works, Limited Edition. All Acer ACROS come with a one-year on-site warranty, a free year of Acer premium care toll-free telephone support for end users, plus lifetime technical support via phone and on-line bulletin board. (Ian Stokell/19930407/Press Contact: Rebecca Hurst, 408-432-6200, Acer America Corp.) (NEWS)(GOVT)(LON)(00003) Dublin European Community Directives In Question 04/08/93 DUBLIN, IRELAND, 1993 APR 8 (NB) -- A big question mark is hanging over the legality of a number of European Community (EC) laws, introduced in Ireland using a method known as a directive, rather than through discussion in the Irish Government. The Irish Government last week suffered the humiliation of seeing its own High Court rule that the government had acted unconstitutionally in rubber stamping a number of EC laws passed since the country joined the EC in the early 1970s. Now the Government is appealing the High Court decision, although legal experts are divided as to whether the Government will be successful in its appeal. If the appeal fails, the most of the legislation on market liberalization, food and drink quotas and the like will be declared null and void. At the very least, the Government may have to enter emergency session to pass the legislation in accordance with its own rules. At worst, there could be several complications and legal claims from companies who say that their businesses have been affected by the illegal "legislation." There is even the remote possibility that the Irish courts could revoke the country's membership of the EC, although experts say they do not expect this to happen. The Irish High Court ruled that an Irish cabinet minister does not have the power under the Irish constitution to introduce new legislation or even amend existing laws. An appeal through the Irish Supreme Court -- the country's highest -- will be completed over the next few weeks. (Steve Gold/19930408) (NEWS)(GOVT)(LON)(00004) ****Britain Investigates Online Svcs 04/08/93 LONDON, ENGLAND, 1993 APR 8 (NB) -- The British Government has announced it is making a formal investigation into possible abuse of monopoly power by online service providers. At the heart of the investigation is the legality of a print publisher to favor its own online system when it comes to allowing online access to its print publications. Late last year, the Financial Times Profile online service announced it was allowing same-day access to the London Financial Times. So, as soon as the paper hit the streets, online subscribers could download it or even keyword search the paper. Most online services have to wait a few days to access the information, as tapes of print publications are usually supplied in several days in arrears. The Office of Fair Trading (OFT), apparently acting on a complaint from persons unknown, is investigating the world of online services, since it may be that the FT should allow other online service providers same-day access to its printed edition. The FT is saying nothing on the matter, with officials noting that they wait the outcome of the OFT report with interest. In an official statement, the OFT makes direct reference to the FT Profile service, noting that the service "is a major participant in the UK market with a market share sufficient to make it a monopolist in terms of the Fair Trading Act." The OFT has instructed the Monopolies and Mergers Commission (MMC) to begin an investigation into the business online services industry. Newsbytes notes that this would also include those non-UK online service providers offering their services directly to subscribers in the UK, although, as yet, the brief for the MMC report has yet to be drawn up. Sir Bryan Carsberg, the director general of fair trading, who, until last year was the head of Oftel, the government-appointed telecoms watchdog in the UK, said that information is fast becoming a valuable business tool and, as such, merited controls. "I am concerned that the restriction on copyright material may be inhibiting effective competition in the market for historical on-line databases and that it may be disadvantaging new market entrants. For these reasons, I have decided that a full examination by the MMC is warranted," he said. Online service providers are privately aghast at the OFT's decision to investigate their services. One representative of an online service said privately and anonymously to Newsbytes that, of the MMC rules that the FT should open up its files to the competition, then some online services may find it more profitable to actually withdraw from the UK. "If I've got 100,000 subscribers in Europe wanting fast access to services, and the UK bars that fast access, I'd have to look at cutting the UK out of my plans. It's as simple as that," he told Newsbytes. (Steve Gold/19930408) (NEWS)(TELECOM)(LON)(00005) UK - Vodafone To Hit The High Street 04/08/93 NEWBURY, BERKSHIRE, ENGLAND, 1993 APR 8 (NB) -- Vodafone, the dominant of the two cellular phone services providers in the UK, has announced plans to set up a series of stores selling mobile phones. The company says it hopes to have around 170 stores open by the summer of next year. Under the terms of its operating licence, issued in the early 1980s to both itself and Cellnet, the other analog cellphone network operator in the UK, Vodafone is forbidden to sell its services direct to the public. Vodafone plans to get around this problem by offering its dealers the opportunity to set up business in its shops, and so sell phones directly to the public. Cellnet, Newsbytes notes, has succeeded in doing this for some time, by allowing its British Telecom Mobile Communications (BTMC) subsidiary, itself an air time provider/dealer, to sell services in BT's phone shops. The planned shops will be known as Vodafone centers, Newsbytes understands, with dealer's names having equal precedence with Vodafone in the store branding. Announcing the plans, Ken McGeorge, the director of Vodafone, said that the next few years will see a considerable broadening of the cellular phone market in the UK, as more and more business users become aware of the benefits of mobile telephony. "As this market develops, it's important that the retail distribution keeps pace and we consider the high street to be very important. A number of our service providers and dealers are already moving in this direction and we hope hat our initiatives will act as a further catalyst," he said. McGeorge added that the introduction of the new stores will also allow Vodafone to start selling its digital phone technology to the public. Vodafone's digital mobile phone network, GSM (global system for mobile communications) has been operational in the UK for more than a year, but it is only recently, Newsbytes notes, that the service has been actively promoted, since the network has achieved around 50 percent coverage in the UK. (Steve Gold/19930408/Press & Public Contact: Vodafone - Tel: 0635- 33251; fax: -635-45713) (NEWS)(TELECOM)(TYO)(00006) ****Japan's NTT To Build $390 Billion Digital Telecom Net 04/08/93 TOKYO, JAPAN, 1993 APR 8 (NB) -- NTT has proposed a 45 trillion yen ($390 billion) project, lasting for 25 years, to lay out a national fiber optic network and to develop multimedia software for it. This ambitious project will involve rate hikes for ratepayers. The plan calls for NTT to invest 2 trillion yen ($1.7 billion) every year for 22 years, starting next year. 20 trillion yen ($17 billion) of the total 45 trillion yen investment will be spent for the installation of optical fiber cables and creation of a digital telecommunication network across Japan. Eight trillion yen ($70 billion) will be spent to develop software. Five trillion yen ($43 billion) will be allocated for research and development of advanced telecommunication networks, and 12 trillion yen ($105 billion) will be spent for facilities and maintenance of current services. In order to raise the money, NTT may raise telephone fees for local calls within Japanese cities. NTT claims such calls are now unprofitable at current rates, unlike long distance calls. NTT has already announced a plan to raise charges at public telephone booths. NTT plans to lay out the fiber optic cables first in the Tokyo area by 1995, and in the major cities by the year 2000. Fiber optic cables will be connected to each house, office, and organization. NTT wants to digitize all the telecom equipment including telephone switching devices. Among the software projects NTT wants to develop are advanced graphic systems for medicine and education. Also on the table is a plan to develop technologies for interactive television sets and multimedia libraries. (Masayuki "Massey" Miyazawa/19930408/Press Contact: NTT, +81-3- 3509-5035, +81-3-3509-3104) (NEWS)(BUSINESS)(TYO)(00007) Fujitsu, Sony, Canon In Joint CD-ROM Venture 04/08/93 TOKYO, JAPAN, 1993 APR 8 (NB) -- Fujitsu, Sony, Canon Sales, and Japan Photo Research Center have set up a firm to develop and sell CD-ROM-based software. The first product is due out early next week. The new firm is called Japan Image Library. It's capitalized with 20 million yen ($174,000), divided equally among the four firms. A member of the board of directors of Canon Sales, Yukihide Ono, has assumed the presidency of this new firm, and three other participants have each sent an executive to assume a position on the board of directors of the new firm. The new joint venture firm will release its first product, an electronic photography series called "Image CD," next week. The CD offers 150 photographs of landscapes and scenery from around the world. It will cost 14,500 yen ($125). The firm plans to release 12 other electronic books this year, all of them produced by Sony Music Entertainment, a subsidiary of Sony. All four firms will sell the products. The first CD-ROM software is based on the international standard called "ISO9660" and the still-picture format "TIFF." The joint venture continues to seek more outside investors, despite its big-name players. (Masayuki "Massey" Miyazawa/19930408/Press Contact: Japan Image Library, +81-3-3769-1121) (NEWS)(IBM)(LON)(00008) UK - Lotus Ships Improv For Windows 04/08/93 STAINES, MIDDLESEX, 1993 APR 8 (NB) -- Lotus Development UK is shipping Improv for Windows, which it claims is its first dynamic spreadsheet for Microsoft Windows. At the same time, the company has extended its planned intro offer price of UKP 95 for the package until the end of May. After June 1, the price goes to UKP 365. "The package has earned rave reviews in computer publications worldwide since it was formally unveiled last November," explained Jeff Anderholm, Lotus' group product manager for Improv. "We believe that this special promotion will build a critical mass of early users who can most effectively demonstrate to their co-workers what Improv can do that traditional spreadsheets can do," he added. Lotus is billing Improv for Windows as the next major step forward in the evolution of spreadsheets. Some sources in the company have been noted as saying that the package is as significant as Visicalc was in the early 1980s. Visicalc is generally acknowledged as the personal computer industry's first spreadsheet. In use, Improv for Windows allows "dynamic views" of data to be made. This basically allows 3D graphical representations of the data on the spreadsheet to be carried out. Lotus claims that, unlike the competition, Improve for Windows allows up to 12 categories of data to be viewed on a single dynamic view. The package is fairly heavy on system resources. Improve for Windows requires a minimum of a 20 megahertz (MHz) 80386-based PC with 4 megabytes (MB) of memory, a VGA monitor and a mouse. The program is recommended for use with a 33MHz 386-based PC or better with 6 megabytes of more of memory. (Steve Gold/19930408/Press & Public Contact: Lotus Development uK - Tel: 0784-455445) (NEWS)(IBM)(SYD)(00009) Australia - IBM Promotes Arts With Computers 04/08/93 SYDNEY, AUSTRALIA, 1993 APR 8 (NB) -- The IBM Arts Management Initiative for 1993 has been launched by IBM and the New South Wales (NSW) state government. Speaking at the launch function, the NSW Minister for the Arts said "This is a great boon to directors and senior managers of NSW arts organizations. I am confident it will mean strong and lasting benefits to arts practice in NSW." Five arts organizations will each receive a management package of an IBM PS/1 PC and IBM laser printer, word processing, database, and spreadsheet software, plus tutorials. The package also includes MYOB accounting software. Recipients will receive 24-hour hotline support for the hardware, and training in the use of the accounting software. IBM Australia Director of Public Affairs and Corporate Communications John Harvey said, "A further initiative of the program is to expand the notion of promoting excellence in arts management and will incorporate a series of intensive 2-day courses for arts managers on professional management skills development. The application of the latest management business skills are highly relevant for the administration and management side of the arts. It is in this area that IBM can make a substantial contribution to the arts." The organizations supported in the first stage are: Multicultural Arts Alliance - addresses the question of access and equality for non-English-speaking members Shopfront Youth Center - regional group for young people and the community The Jazz Coordination Association of NSW - wide-ranging support of jazz groups and musicians The Crafts Council of NSW - commissioning, retail and gallery displays Writers in the Park - public access to a performing forum set in a suburban public setting (Paul Zucker/19930408/Contact: NSW Ministry for the Arts, Kevin Waddell on phone +61-2-361 9111) (NEWS)(GENERAL)(SYD)(00010) 1993 Weird Software Competition 04/08/93 SAN DIEGO, CALIFORNIA, 1993 APR 8 (NB) -- Feeling bored? Is that copy of Visual Basic just itching to get off the shelf and into use? Perhaps this is for you. The 1993 Weird Software Competition is being held in conjunction with the 1993 San Diego Computer Fair. One winner of last year's competition helped people find out if their neighbors were in fact, aliens from space. Another winner was a screen saver that featured bungee-jumping cows. "We got some pretty strange stuff last year," said Fair Coordinator Kevin Leap "but we really just hit the tip of the iceberg. Our motto for '93 is 'Just do it weird.' "We have a feeling the people who are into out-of-the-ordinary software will take the message to heart." The Fair takes place on September 10, 11 and 12. Entries for the competition must be in by July 30 to allow plenty of time for the "weirdness" to be appreciated by the judges. Prizes include $250 each for the best textual and visual "weird" software and T-shirts and copies of the Computer Widows Handbook for the second and third runners-up. All entrants will get the coveted "Certificate of Weirdness." Entries should be sent to: 1993 Weird Software Contest, c/o ComputorEdge Magazine, 3655 Ruffin Road, Suite 100, San Diego, CA 92123, phone 800-544-5541 Entries must be in DOS or Macintosh format, on 3.5" disks. Your name, address, phone number and an asking price for the software must be clearly marked on the disk. Also include a short descriptive paragraph of the software. (Paul Zucker/19930408) (NEWS)(GENERAL)(SYD)(00011) WordPerfect Almost Develops New Color Printing System 04/08/93 SYDNEY, AUSTRALIA, 1993 APR 8 (NB) -- April Fool's Day jokes are legendary in this industry, but they sometimes have repercussions the originator didn't envision. One example this year was perpetrated by Sean Dent of WordPerfect Pacific in Australia. First, the text of the press release that Australian computer journalists received on the fateful day: "WordPerfect has announced ExtractionColor Technology will be integrated into WordPerfect 6.0 when it is released mid-year. ExtractionColor is a state-of-the-art patented new technology that allows users to print color documents, even from black and white printers. "Wordperfect Special Project Manager Wayne Gates said that ExtractionColor Technology has been four years in the making. 'It hasn't been easy, but now that we have it we are going to be years ahead of the competition. No other company has this technology and it will take a long time for them to figure out how we did it,' said Gates. "The concept is quite simple. Any first year physics student knows that black is essentially a combination of every color. We figured that if we could get the printer to print black then we could get it to withhold some of those colors. "The software is still in beta with just a few minor hiccups left to sort out. Orange still comes out as dark pink and green appears as white on certain printers. Yet WordPerfect turned this bug into an advanced feature. The green/white printout can be used for secure documents. The person sending the document can tell the recipient to what printer he should send the document to. Then only he will be able to read the document. 'We call it the invisible ink feature,' said Gates, the little known brother of Bill Gates." That was the press release. It isn't known yet if any press people took it seriously, but according to Sean Dent, the faxes are still flying backwards and forwards between WordPerfect offices as staff try to find out how such a new technology got out on beta software and on a road show around the world without anyone else knowing about it. (Paul Zucker/19930408/Contact Sean Dent on phone +61-2-415 5222 or fax +61-2-418 7505) (NEWS)(TELECOM)(ATL)(00012) ****Prodigy Going to Time Charges 04/08/93 WHITE PLAINS, NEW YORK, U.S.A., 1993 APR 8 (NB) -- After setting a trend among online services of charging a monthly fee instead of hourly rates, Prodigy is apparently moving toward hourly rates. In an online letter to the service's 2 million members from President Ross Glatzer on April 2, and a subsequent "note from Dear Prodigy" offered on April 5, company officials acknowledge they're seriously discussing charging hourly rates on popular services like bulletin boards, the Easy Sabre airline reservation service, stock quotes and company news. Despite attracting millions of users with heavy advertising, Prodigy is not yet profitable, and it is reportedly facing heavy pressure to become profitable due to financial troubles experienced by its corporate parents, IBM and Sears. The company announced it would lay off about one-quarter of its workers a few months ago. In contrast its main rival, CompuServe, a division of H&R Block, has for years said it turns a profit. The two companies battling for third place among consumer online services are GEnie and America Online, with both claiming the spot. GEnie revenues are not broken out of its parent, General Electric. America OnLine is a public company and has reported profits. Prodigy spokesman Steve Hein emphasized to Newsbytes that the new fees have not yet been set, but Glatzer in his letters said, "It's become clear we must introduce some timed charges for some features in the second half of this year." He added that the new prices will be competitive, and that the flat-rate option with "as many features as possible" will be maintained. Tools designed to help users manage their online time, bulk rates for heavy users, and a special program for disabled members, are also being considered, the letter added. (Dana Blankenhorn/19930408/Press Contact: Steve Hein, Prodigy, 914-993-8843) (NEWS)(APPLE)(SFO)(00013) Apple Cuts Powerbook Prices 04/08/93 CAMPBELL, CALIFORNIA, U.S.A., 1993 APR 8 (NB) -- Apple Computer's Apple USA division has cut prices on some PowerBook Duo units sold in the US by 10 to 18 percent. The company attributes the reduction in prices to a well-stocked inventory on dealer's shelves: "The PowerBook Duo System has been in high demand and short supply since introduction in October of 1992," said Bob Puette, president of Apple USA division. "We are now catching up with the demand and the product is more readily available at Apple resellers. These price reductions will provide customers with excellent products at unmatched value." Current and previous suggested retail prices for the Apple PowerBook Duo products are: PowerBook Duo 210, 4 megs RAM, 80 MB hard disk, was $2249, now is $1839; PowerBook Duo 230, 4/80, was $2609, now $2299; PowerBook Duo 230, 4/120, was $2969, now is $2659; PowerBook Duo 230, 4/120 w/modem, was $3219, now is $2899. The PowerBook Duo system is designed to create a full-featured desktop computer and a lightweight (4 lb) notebook computer in a single system. (Wendy Woods/19930408/Press Contact: Lisa Byrne of Apple Computer, 408-862-5154) (NEWS)(BUSINESS)(SFO)(00014) Inmac Sells UK Retail Unit 04/08/93 SANTA CLARA, CALIFORNIA, U.S.A., 1993 APR 8 (NB) -- Inmac Corporation is selling all of its outstanding shares of The Business Superstore Ltd., its retail stores in England, to Globus Office World Plc for an undisclosed sum. Just last month, Inmac laid off 8% of its workforce and announced plans to close its Japanese operations, as well. The agreement with Globus, a UK-based company, will give Globus 16 stores in 13 cities across the UK. The Business Superstores are located at Park Royal, West London at Colindale, Northwest London. They offer products from IBM, Apple Computer, Compaq, Xerox, Acco/Rexel, Esselte, and Hewlett-Packard. Office World is said to be the largest operator of office supplies discount superstores in the UK with 14 stores trading from sites all over the South and North of England. In March, Ray Nystrom, director of finance for Inmac, said Inmac was restructuring and as a result, eight percent of the workforce was being cut. He said the company had 1,300 people. The company took a $14.9 million charge against second quarter earnings to pay for the restructuring at that time. (Wendy Woods/19930408/Press Contact: Inmac, M. Waide, 408/727-1970; Office World S. Fox, 0734 560099) (NEWS)(TELECOM)(ATL)(00015) Broadcasters Set "Multimedia Woodstock" 04/08/93 WASHINGTON, D.C., U.S.A., 1993 APR 8 (NB) -- Multimedia technology will hit the big time April 19 as the National Association of Broadcasters features the technology at its annual convention. The show will feature panels with multimedia experts, speeches from computer industry leaders like John Sculley of Apple Computer and Lucie Fjeldstad of IBM, and a trade show floor featuring desktop video products like the NewTek Video Toaster and Macintosh-based Avid editing suite. Spokesman Doug Wills told Newsbytes that broadcasters will also take home a CD-ROM which uses Microsoft Windows 3.1 to display highlights of the show. NAB Multimedia World is described by the CD-ROM cover this way: "This is just a convention like Woodstock was just a concert." The CD-ROM was produced by the Interactive Multimedia Association, Lotus Development, and 3M. Wills said that broadcasters are looking to multiple benefits from multimedia technology, and recognizing that cable companies, computer companies, and telephone companies could all be competitors and allies in the coming market battle. He said desktop video tools can lower production costs while raising quality, that multimedia could represent a new source of revenue for broadcast producers, and that broadcasters themselves could even use some of their frequency bandwidth to transmit multimedia along with HDTV programming, using digital compression. (Dana Blankenhorn/19930408/Press Contact: Doug Wills, NAB, 202- 429-5350) (NEWS)(TELECOM)(ATL)(00016) Pacific Bell Moves Toward Cable Alliance 04/08/93 SAN FRANCISCO, CALIFORNIA, U.S.A., 1993 APR 8 (NB) -- Pacific Bell is considering an alliance with the California's cable operators as it works to create a fast data network as part of the Clinton Administration's "gigabit network" plan. Speaking just a day after Tele-Communications Inc., the nation's largest cable operator, disclosed plans to upgrade its systems, including those in California, with fiber cable, Pacific Bell President Phil Quigley acknowledged that discussions on cooperation have begun with major cable companies in the state. Pacific Bell has said it is committed to upgrading its networks by the year 2015 to allow the delivery of video telephony, entertainment and home shopping services, with half that network in place within 10 years. Quigley said telephone-cable cooperation is the best way to assure that everyone gets the potential benefits of the technology, since replacing current copper wiring with fiber could cost $30-40 billion. Changes in regulations will be required before such alliances can be formally announced, he acknowledged, urging that state and federal regulators move forward on that. Meanwhile, PacBell announced an alliance with Octus, which makes a communications product called Subway. Subway will integrate a wide variety of telephone and PC communications services, including voice mail and data transfer functions, when it is released in July. The alliance is with PacBell's Pacific Bell Centrex offering. Octus' chairman is Nolan Bushnell. (Dana Blankenhorn/19930408/Press Contact: Octus, Tom Geldner, 619/452-9400; Pacific Bell, Dori Bailey, 415/542-4033) (NEWS)(TELECOM)(ATL)(00017) MCI Wins Fed Data Contract 04/08/93 WASHINGTON, D.C., U.S.A., 1993 APR 8 (NB) -- Continuing its policy of chipping away at the FTS-2000 contract the US government signed a few years ago with AT&T and Sprint, MCI announced that it has a 10-year contract to build a data network for the Federal Reserve. FTS-2000 was designed to combine all federal traffic onto a single system with shared discounts, but not every agency was covered. The US Congress, for instance, was not part of the original contract, and MCI handles its long distance. The Federal Reserve, like the Congress, is not covered by FTS-2000 because it's not a pure government agency. In the past, MCI efforts to solicit agencies which are part of the contract has led to a great deal of heat within the bureaucracy, since defections by some agencies looking for good deals lowers the total discounts offered by AT&T and Sprint to the government as a whole. The new FedNet network will combine the networks of the existing 12 Federal Reserve district banks and three new data processing facilities into a single network, allowing the banks to communicate with commercial banks at a moment's notice. The network will also provide connections to a disaster recovery center should something happen to the main facilities. FedNet will consist of a variety of data services, ranging from 56,000 bit/second digital lines to T-3 trunk lines moving as fast as 45 million bits/second. The deal was announced in Chicago because that's where the Fed's network management control center is located. MCI will work with alternate carriers and regional Bell companies to assure 100 percent reliability and the lowest possible local service costs. (Dana Blankenhorn/19930408/Press Contact: MCI, 202-887-3000) (NEWS)(TRENDS)(ATL)(00018) ****JEDI - New Digital Effects Firm 04/08/93 SAN RAFAEL, CALIFORNIA, U.S.A., 1993 APR 8 (NB) -- The rush by computer vendors to sign multimedia alliances with entertainment figures continued as Silicon Graphics signed with Industrial Light and Magic (ILM) to create a joint venture dubbed JEDI, which stands for Joint Environment for Digital Imaging. The move follows by a few weeks the creation of Digital Domain, headed by "Terminator" director James Cameron and former ILM executive Scott Ross, as a joint venture with IBM. Like JEDI, Digital Domain will concentrate first on creating effects for movies, but it's intent on also offering multimedia tools and intellectual property. Unlike Digital Domain, the new JEDI venture is more of an alliance, since ILM has been using Silicon Graphics equipment for six years, after dropping its own line of custom hardware. All this deal-making could hit overdrive during the National Association of Broadcasters' show in a few weeks. Broadcasters hold a lot of the valuable intellectual property which multimedia producers are aiming to lock-up, and the show will feature the latest in multimedia technology at a special exhibit and conference. Silicon Graphics will exhibit its workstations at the exhibit, and offer The Cave, a special multimedia exhibit designed by DataDisplay Corp., of Elk Grove Village, Illinois. ILM, however, has long been considered a leader in the technology of entertainment, having created a lot of effects from scratch for director George Lucas' "Star Wars" trilogy. More recently, ILM created effects for "Roger Rabbit" and Cameron's "Terminator 2," and "Death Becomes Her," among other films. Recently the company has tried to enter the TV market with "The Young Indiana Jones Chronicles," although its ratings have been poor. Lucas is the head of the company. Lucas said the formal alliance will enable ILM to increase its digital film production, and allow Silicon Graphics to develop more sophisticated graphics workstations at a lower price. Jedi will act as a "media lab" for digital imagery, developing new hardware and software products for both film and television production. The top end of Silicon Graphics' line will now compete with IBM's "Power Visualization" workstations, which will be used by Digital Domain, both for the loyalty of Hollywood producers and in the realm of desktop video tools. Apple is also a leader in the production market. (Dana Blankenhorn/19930408/Press Contact: Silicon Graphics, Sandi Weir, 415-960-1980) (NEWS)(TRENDS)(HKG)(00019) ****Taiwan's Computer Firms Unstable 04/08/93 TAIPEI, TAIWAN, 1993 APR 8 (NB) -- Following the announcement that leading Taiwanese computer manufacturer Copam Electronics is facing severe financial problems, there is much concern over the future of many Taiwanese computer firms. According to Taiwan's Institute for Information Industry, fierce competition has forced many small Taiwanese computer firms to close. Niall O'Reilly of Research Asia told Newsbytes, "The Taiwanese companies put together teams to compete with the Japanese in the European notebook market, at the same time the European market, in the wake of a recession became very sluggish," Mr O'Reilly told Newsbytes. "So they ended up just competing against themselves." He said last year 100 notebook manufacturers in Taiwan closed their businesses. "We expect more situations like Copam. Although Copam is encountering financial crisis, it is still expected to manufacture and sell stock well into the year," he said. "They will probably cut prices to maintain the level of sales." "We envisage widespread company takeovers and integration," O'Reilly said. Andrew Lai, area manager at Novell Hong Kong, told Newsbytes that from Novell's perspective, the shake-out is very exciting. Networking in Taiwan is more widely available. Taiwan is an upbeat market with 25% of Novell's Asian sales. Novell has just appointed Mike Guo as country manager for the Taiwan office. Lai expects that the weaker suppliers will be shaken out, leaving the stronger, more reliable venders that are willing to better support their products. The Institute for Information Industry (III) reported that as the economic climates in the US and in Europe improve and Southeast Asia and China expand, stability will return to the firms. In Hong Kong and Northern Asia, the PC market is dominated by well-known brands like AST and Compaq. Until a year ago the price difference between these brands and the Taiwan clones was significant. The difference is now only 10-15 percent. "In Hong Kong, the Taiwanese brands have a poor reputation for service, so it's very hard for them to compete," said O'Reilly. In Taiwan, leading PC computers manufacturers like IBM, Apple Computer, and Compaq entered recently and are having difficulty breaking in because local manufacturers are already addressing the over-saturated market. (Brett Cameron/19930408) (NEWS)(GENERAL)(HKG)(00020) Digital Names New President For Asia 04/08/93 TAIKOO SHING, HONG KONG, 1993 APR 8 (NB) -- Edmund J. Reilly has been appointed president and managing director of the company's Asia region. Reilly, who has been president of Digital Japan for the last 12 years, oversaw Digital's dramatic growth of more than 10 times in revenue, to nearly $1 billion, and 10 times in staff to approximately 4000 employees. Bobby Choonavala, former president of Digital Asia and now president of the company's General International Area (GIA), said, "Ed Reilly is a senior member of the international management structure. He brings to the Asia Region his successful experience of management in an Asian cultural environment as well as his personal contacts within and outside the company. I am confident our success in Asia will be continued under his leadership." Reilly, 51, joined Digital in 1962 as an engineer in the US and later transferred to corporate customer services. He managed customer services for Latin America for eight years. He became sales manager of Digital Japan in 1980 and president of Digital Japan two years later. A member of the American Chamber of Commerce in Japan, Reilly served as president in 1991 and 1992. He was previously chairman of the Japan Chapter of the American Electronics Association. Commenting on his new appointment, Mr Reilly said, "Although I feel sad to leave Japan, I am eager to explore new Asian business opportunities and implement Digital's new strategies to become the leading computer company in the fastest growing region of the world." "I am excited about the new Digital organization under Bob Palmer," said Reilly. "Bob is providing dynamic leadership to take the necessary steps to control costs and emphasize services, software, networking, silicon and open systems, which will lead Digital through the '90s and beyond. "We are now a much more focused company in terms of target business segments. As Bob has rightly pointed out, the customer must be the primary focus of everything that we do. A key area of my job will be to improve customer satisfaction and provide the technology appropriate to customer needs in the Asia region." (Brett Cameron/19930408/Press Contact: Walter Cheung, Digital, Tel: +852-808 3533;HK time is GMT + 8) (NEWS)(IBM)(TOR)(00021) IBM Accounting Practices Questioned 04/08/93 WHITE PLAINS, NEW YORK, U.S.A., 1993 APR 8 (NB) -- IBM has confirmed that it has changed some accounting practices since the mid-1980s in ways that boosted the revenues, the company reported. However, a company spokesman told Newsbytes the effect on financial results was "not material" and IBM's accounting practices remain reasonable and in line with industry practice. A recent article in The Wall Street Journal raised questions about several IBM practices, including: booking revenue for equipment upon shipment to dealers, although dealers can return unsold goods; recording revenue for goods shipped to an IBM warehouse in transit to a customer if final delivery is expected within 30 days; and using a special form of insurance to comply with rules that let the company record leasing revenue in the year the lease begins rather than spreading it over the life of the lease. IBM spokesman Rob Wilson said his company had no quarrel with the facts stated in the Journal article, but maintained the article cast the practices in an unfairly bad light. "Our accounting practices have evolved over the years to reflect change in the over-all industry and in IBM," he said. Most of the policies highlighted in the article were introduced in the mid-1980s, Wilson said. It was at about that time that changes in the computer industry, such as the move away from large mainframe computers running proprietary operating systems, started to erode IBM's historic dominance -- an erosion that last year led to the company's first operating loss and a massive cost-cutting effort. IBM's return on equity in 1984 was 26.5 percent. It fell to 9.6 percent in 1989, and has been negative in the past two years. Wilson confirmed that IBM received a lengthy memo from its auditors, Price Waterhouse, in November 1988 questioning some of its accounting practices. He said some practices were changed in response to the memo, others were not, and Price Waterhouse ultimately signed an "unqualified opinion" on IBM's results, meaning the auditors accepted IBM's practices. Wilson added that memos of this sort between a large company and its auditors are normal. "It's the auditor's job to raise questions," he said. (Grant Buckler/19930408/Press Contact: Rob Wilson, IBM, 914-765-6565) (NEWS)(BUSINESS)(TOR)(00022) Delrina Creates Consumer Software Division 04/08/93 TORONTO, ONTARIO, CANADA, 1993 APR 8 (NB) -- Amaze Inc., the Kirkland, Washington, company acquired last October, will form the core of Delrina Technology's new consumer software division. The new group will focus on "content publishing," company spokesman Josef Zankowicz said, through PC-based calendar software, daily planners, and screen savers. Amaze was the publisher of Gary Larson's The Far Side calendar, Trivial Pursuit, and the Random House Dictionary in electronic form. Along with creation of the new division, Delrina announced it has licensed rights to Intermission 3.0, a screen-saver program from Icom Simulations of Wheeling, Illinois, and signed a marketing deal with Day Dream Publishing of Indianapolis, a publisher of theme calendars in paper form. Delrina will do electronic versions of Day Dream's calendars, which include a world wildlife calendar, a Sports Illustrated swimsuit issue calendar, and others, Zankowicz said. Delrina would not reveal terms of either agreement. The new division will have its development activities in Kirkland, with sales handled through Delrina's San Jose, California, office and administration in Toronto, Zankowicz said. Delrina's business products -- facsimile and forms processing software -- still account for the majority of its business, he said. However, the company expects its consumer software business to provide a growing share of its total revenues over the coming year, he added. Dan Elenbaas, former president of Amaze, has been appointed vice-president of the new division. (Grant Buckler/19930408/Press Contact: Josef Zankowicz, Delrina, 416-441-4658, fax 416-441-6016; Public Contact: Delrina, 416-441-3676) (NEWS)(BUSINESS)(TOR)(00023) Cognos Loses On Year, But Quarter Shows Upturn 04/08/93 OTTAWA, ONTARIO, CANADA, 1993 APR 8 (NB) -- Software vendor Cognos Inc., has reported a loss for the fiscal year ended February 28, but the company made money in the fourth quarter and Ron Zambonini, who took over as president in January, contends Cognos has turned the corner. In the year ended February 28, Cognos lost C$7.9 million on revenues of C$147.7 million. That compares to net income of C$5.2 million on revenues of C$145.2 million last year. In the fourth quarter, the company made a C$100,000 profit on revenues of C$38.7 million. The net income figure compares to income of C$200,000 in the first quarter and losses of C$1.3 million and C$2.5 million in the second and third quarters. Zambonini said he is "quite pleased" with the fourth-quarter profit, which he admitted was "a small one, but at least it's in the black." The company has been going through a transition from selling software for older proprietary minicomputer systems to three areas it considers have potential for growth: Unix, desktop PCs, and the IBM AS/400 minicomputer. Cognos' problem over the past year has been that "the older ones have been going away faster than the new ones were coming," Zambonini said. Now the new product areas are "beginning to come for us." Sales of Cognos' application development tools for Unix, PCs, and the AS/400 accounted for 28 percent of its sales in the fourth quarter, Zambonini said, up from about 16 percent last year. In the meantime, Cognos has been cutting costs, reducing expenses from C$40.1 million in the third quarter to C$37.2 million in the fourth, excluding restructuring charges. Some further cost-cutting may be needed, Zambonini said. "I'm more interested in profit than growth this year," he said, and "if that means further cost cutting, then I'm going to do it." (Grant Buckler/19930408/Press Contact: Lyse Teasdale, Cognos, 613-738-1440; Michael Greeley, Cognos, 617-229-6600) (NEWS)(GOVT)(WAS)(00024) Federal Office Systems Expo Next Week 04/08/93 WASHINGTON, DC, U.S.A., 1993 APR 8 (NB) -- The annual Spring Federal Office Systems Exposition (FOSE) will be held in downtown Washington, DC, from April 12 through 15 at the Washington Convention Center. Three keynote speakers, Microsoft's Bill Gates, NCR's Gil Williamson, and Computer Associates' Charles Wang will highlight this year's show. In addition to product exhibitions from more than 500 of the world's top computer and telecommunications companies, FOSE features a world-class conference schedule with nearly 100 sessions. Where will be the crowds be thickest this year? Bets around Washington are almost all being placed on any booth actually running Windows NT on any system, with Novell's booth being the second best bet, especially if, as expected, the company has a running version of the newly announced Novell DOS 7.0. This is one of the two largest conferences and exhibitions which target the important federal microcomputer marketplace. (John McCormick/19930408/Press Contact: National Trade Publications, 703-683-8500) (NEWS)(BUSINESS)(TOR)(00025) NCR Cuts Jobs 04/08/93 DAYTON, OHIO, U.S.A., 1993 APR 8 (NB) -- NCR will do away with about 125 jobs in its US Group head office over the next two months. The cuts results from a reorganization in February that created worldwide industry marketing and professional services groups. That reshuffle made some positions redundant, company spokesman Mark Feighery said. NCR hopes to find other jobs for some of the affected workers either within NCR, in its parent AT&T Co., or in other companies. An outplacement consulting firm has been hired to help employees who are being laid off hunt for new jobs. NCR will work with laid-off employees for at least 60 days to help them find jobs, officials said. Those who do not have new jobs after that period will be eligible for one week of pay for every year of service, plus continued benefits for six months. The positions to be cut are largely in administration, management, and sales, Feighery said. NCR has about 5,200 employees in Dayton -- it is the city's second-largest employer. Of these, 2,900 work in the US Group, which employs about 16,000 people overall, company officials said. NCR said the cuts are not related to its acquisition by AT&T. (Grant Buckler/19930408/Press Contact: Mark Feighery, NCR, 513-445-5236) (NEWS)(TELECOM)(TOR)(00026) Telesat Mobile Seeks Bankruptcy Protection 04/08/93 OTTAWA, ONTARIO, CANADA, 1993 APR 8 (NB) -- Telesat Mobile Inc., a company formed to provide mobile satellite services in Canada, has sought protection under the Bankruptcy and Insolvency Act. Company officials said the company, which is 80-percent owned by domestic satellite carrier Telesat Canada, needs more money to meet increased costs and has not been able to find the financing it requires. Robert Ferchat, chairman and chief executive of Telesat Mobile, said he hopes the problems can be resolved quickly so the company can proceed with plans to launch its own satellite this summer. Telesat Mobile is already providing its service, used largely for communications among trucks and other vehicles, using rented satellite capacity. However, Ferchat admitted there have been quality problems with the existing service. The satellite Telesat Mobile plans to launch would have larger antennas than most conventional satellites, which should improve service quality. The difference in the satellite technology used may also be one of the company's problems, however. Ferchat acknowledged that the design, previously used only in military applications for which performance data is not available, may contribute to potential investors' nervousness. So may the unusual design of the ground stations used. "Without a doubt we are pioneers," he said. Last fall, a group of Canadian and foreign banks suspended a financing package that would have brought Telesat Mobile C$270 million in funding. The company currently needs about C$300 million, some of which is already committed but is contingent on the balance being found, Ferchat said. Financing needs have increased beyond what the company originally expected, partly because revenues from the existing service have not met expectations, Ferchat said. More recently, two recent accidents in satellite launches have driven up the cost of insurance, he added. Ferchat said Telesat Mobile's existing service should not be affected by the proceedings. He said the launch of the satellite being built for the company by Toronto-based Spar Aerospace could be delayed from the originally planned May or June launch to later in the summer. Spar officials said work is continuing on the satellite being built for Telesat Mobile and on a similar one being built for American Mobile Satellite Corp., a company planning to provide similar services in the United States. (Grant Buckler/19930408/Press Contact: Janis Millar, Telesat Mobile, 613-736-6728) (NEWS)(IBM)(DEN)(00027) Compaq Pre-Installs DOS 6.0 04/08/93 HOUSTON, TEXAS, U.S.A., 1993 APR 8 (NB) -- Compaq Computer Corporation says it is ready to start installing Microsoft's recently announced operating system DOS 6.0 on its desktop and portable computers at no charge to the buyer. DOS 6.0 was first introduced to the public last week at a rollout transmitted via satellite to what the company described as the largest-ever PC users group. PC users gathered at 20 locations nationwide to see Microsoft Chairman Bill Gates and his executives show off the features of the new operating system. DOS 6.0, in addition to the usual copying, deleting, renaming and other mundane file management tasks provided by an operating system, adds features like virus detection, and data compression to double the effective available disk space. There's also a feature called Memmaker which determines the optimum configuration of the device drivers in the computer's upper memory blocks in order to free up low memory space for use by applications. Version 6 also has the ability to store multiple boot configurations, and there's a utility called Interlink, which allows file transfer between two computers similar to third-party programs like Laplink. Additionally, files can now be between directories or disks with a single command, and entire directories, including subdirectories and their contents can now be deleted. Gates told the users that almost all of Microsoft's OEMs (original equipment manufacturers) have already signed up to distribute the new system. The retail price of MS-DOS 6.0 is $130, but introductory pricing is $50 until May 31, Microsoft said. For the first time, a three-user retail package is also available. Like DOS 5.0, MS-DOS 6.0 is being distributed in two forms: as an upgrade to systems with DOS already installed, and as a stand-alone product only offered for sale with new computer systems through PC manufacturers and original equipment manufacturers. Compaq said it is offering the upgrade package for $50. Microsoft has already announced that the next generation DOS, version 7.0, will be released in about a year, calling the product "the biggest change since the beginning of DOS." DOS 7, or "Chicago" as it's called within Microsoft, reportedly will offer users the ability to take advantage of the 32-bit processing capability available in newer PCs. (Jim Mallory/199304081/Press Contact: Collins Hemingway, Microsoft, 206-882-8080, fax 206-936-7329; Reader contact: Microsoft, 800-426-9400) (NEWS)(BUSINESS)(SFO)(00028) BoCoEx Index 04/08/93 BOSTON, MASSACHUSETTS, U.S.A., 1993 APR 8 (NB) -- Boston Computer Exchange for the week ending March 26, 1993 Machine Main Closing Price Ask Bid Drive Price Change IBM AT 339 30 MgB 390 400 350 IBM PS/2 Model 30 286 20 MgB 400 450 300 IBM PS/2 Model 50Z 30 MgB 450 500 400 IBM PS/2 Model 55SX 60 MgB 875 900 800 IBM PS/2 Model 60 40 MgB 450 500 325 IBM ThinkPad 300 120 MgB 1550 1600 1400 IBM ThinkPad 700C 120 MgB 3200 3400 3200 IBM V\P 3/25T MOD. 80 80 MgB 1500 1600 1500 IBM PS/2 Model 95-OKF 400 MgB 3300 3500 3000 IBM PS/2 Model 95-OJF 400 MgB 3000 3300 2700 Compaq Portable II 20 MgB 225 500 200 Compaq Portable III 20 MgB 350 400 200 Compaq Portable 386 100 MgB 750 800 700 Compaq SLT-286 40 MgB 650 700 600 Compaq LTE-286 40MgB 700 700 600 Compaq LTE-386 30MgB 750 850 700 Compaq LTE-LITE\25C 120MB 2400 2600 2300 Compaq Systempro LT-486 510 MgB 2200 2400 2100 Compaq Syspro 386/25LT 340 MgB 2100 2300 1950 Compaq Deskpro 486 /33I 120 MgB 1850 1900 1750 Compaq SysPro 486/33 2040 MgB 6800 7000 6300 Compaq DeskP 486DX2/66i 240 MgB 2100 2400 1900 AST Prem Exec 386SX20 40 MgB 900 1000 800 NEC UltraLite 286 20 MgB 550 600 500 NEC UltraLite 386SX/20 40 MgB 900 950 800 Zenith Mastersprt-386SX 60 MgB 950 1100 900 Zenith SuperSport 386SX 40 MgB 750 900 650 Macintosh Classic 40 MgB 650 700 600 Macintosh Classic II 40 MgB 800 850 750 Macintosh SE 20 MgB 575 650 550 Macintosh SE-30 80 MgB 1150 1250 1100 Macintosh LC 40 MgB 1000 1300 800 Macintosh II 40 MgB 1400 1500 1300 Macintosh II SI 80 MgB 1600 1700 1500 Macintosh II CX 80 MgB 1600 1700 1600 Macintosh II CI 80 MgB 2250 2350 2200 Macintosh II FX 80 MgB 2800 3000 2800 Macintosh Quadra 700 160 MgB 3250 3500 3200 Macintosh Quadra 900 160 MgB 4000 4300 3900 Macintosh Powerbk 160 120 MgB 2600 2700 2500 Macintosh Powerbk 140 40 MgB 1350 1400 1250 Macintosh Powerbk 170 80 MgB 2200 2300 2100 Apple Imagewriter 2 200 225 175 Apple Laserwriter LS 550 600 500 HP Laserjet II 750 800 750 HP Laserjet III 1050 1100 1000 Toshiba T-1200 XE 20 MgB 575 650 550 Toshiba T-1600 40 MgB 625 700 600 Toshiba T-2000 SX 40 MgB 900 1000 900 Toshiba T-2000 SXE 40 MgB 950 1050 900 Toshiba T-2200 SX 80MgB 1250 1300 1200 Toshiba T-3100 SX 80 MgB 1000 1300 900 Toshiba T-3200 40 MgB 650 800 600 Toshiba T-3200 SX 40 MgB 850 900 800 Toshiba T-3200 SXC 120 MgB 2250 2400 2100 Toshiba T-6400SX 120 MgB 2400 2700 2200 Toshiba T-4400SX 120 MgB 1900 2100 1800 Toshiba T-5200 100 MgB 1400 1500 1400 BoCoEx Index data is compiled by Market Analyst, Gary M. Guhman Here are some current retail-oriented Seats on the Exchange, presented in a cyclic basis. Dallas - Ft. Worth, TX - DFW Computer Exchange - M.B. Lee - 817-244-7833 Escondido, Ca. - Affordable Computer Solutions - Dean Jacobus - 619-738- 4980 New Orleans, Louisiana - Audubon Computer Rental - Mike Barry - 504-522- 0348 Detroit, Michigan - CompuCycle - Walt Hogan - 313-887-2600 Computer Exchange\\NorthWest - Dye Hawley - 206-820-1181 Albuquerque, NM, Western Computer Exchange - David Levin - 505-265-1330 Fresno, California - MacSource Computers - Mike Kurtz - 209-438-6227 BoCoEx Index prices are based on complete systems with keyboard, VGA monitor and adapter, less the value of any software or peripherals. Boston Computer Exchange is available at: 617-542-4414, Buyer's HotLine: 1- 800-262-6399, In Alaska and Canada 1-800-437-2470, FAX: 617-542-8849. (BOCOEX/19930408) (NEWS)(GENERAL)(LAX)(00029) Symantec Executive Joins Knowledge Adventure 04/08/93 CUPERTINO, CALIFORNIA, U.S.A., 1993 APR 8 (NB) -- Symantec Executive Vice President Rod Turner is leaving the company to join La Cresenta, California-based educational software company Knowledge Adventure as president and chief executive officer. But Symantec isn't mourning the loss, instead it's taking an equity investment in Knowledge Adventure. Symantec has been facing hard times lately, but not just because its executives will stand trial on charges of theft of trade secrets from competing software developer Borland International. Symantec President and Chief Executive Officer Gordon Eubanks and Executive Vice President Gene Wang have been indicted by a California grand jury to stand trial in a case the Santa Cruz district attorney's office says will set landmark legal precedents in defining what constitutes "technical and trade secrets." A portion of Symantec's hard times has to do with the release of Microsoft's MS-DOS 6.0. The new version of DOS includes utilities, some licensed by Microsoft from Symantec, that have been the company's bread and butter in the IBM and compatible personal computer (PC) market for years. While Symantec is releasing new utilities for MS-DOS 6.0, the handwriting appears to be on the wall for the DOS utilities market. Executive Rod Turner was the twelfth employee at Ashton-Tate when he left it eight years ago to join Symantec. Now Turner is joining Knowledge Adventure, a young company pioneering multimedia software products for the educational market. Analysts are predicting the educational software market is where the next opportunities for software developers are and Prodigy recently released a survey that said nearly half of all computer owners are parents. Knowledge Adventure just announced two educational virtual reality software titles, Animal Adventure and Issac Asimov's Science Adventure 2.0. The company was also recently honored with the Best Elementary Education Program and Best Secondary Education Program by the Software Publishers Association for its Dinosaur Adventure and Science Adventure titles. (Linda Rohrbough/19930408/Press Contact: Lynda Orban, Knowledge Adventure, tel 818-542-4200 ext 122, fax 818-542-4205; Brian Fox, Symantec, 408-446-8886) (NEWS)(UNIX)(LAX)(00030) ****Canon/Next Loses Hardware Developers 04/08/93 REDWOOD CITY, CALIFORNIA, U.S.A., 1993 APR 8 (NB) -- Next is reporting the majority of developers in its hardware division have left the company for greener pastures. While Next cut its workforce by half, it had hoped its hardware developers could wait until a deal with Canon to take over the hardware division, was finalized, Next representatives said. Steve Jobs, inventor of the Apple Computer, started Next Computer, which developed a proprietary workstation computer and operating system to attract the high-end scientific and engineering computing market. Next reported in January of 1992 over 400 percent growth in its 1991 revenue and announced a new operating system based on the Nextstep operating system, but for the Intel 486-based personal computer market. However, in February of this year the company announced it was abandoning the Nextstep hardware and concentrating solely on the development of the Nextstep 486 operating system product. While the loss of its developers could make the sale of the Nextstep hardware manufacturing facility in Fremont, California more difficult, Canon is still the most likely buyer, according to a Next spokeswoman. Canon is the largest investor in Next, and despite published reports to the contrary, Next and Canon have not abandoned talks concerning Canon's acquisition of the factory and hardware design center, the Next representative said. However, the hardware end of the Next operation is only ten to fifteen percent of a much larger deal between Next and Canon, and that concerns the operating system Nextstep. Scheduled for release on May 25, 1993, the Nextstep 486 operating system is the main subject of negotiations between Canon and Next. Talks include a broader distribution of the Nextstep 486 and possible distribution of the operating system in Asia with Canon hardware. Next is denying reports that the resignation of president and chief operating officer Peter van Cuylenburg left the company in disarray. Van Cuylenburg left last month. The British national and former telecommunications executive was at Next for one year. However, once the hardware end was abandoned, there was need to reorganize all the company's relationships both internally and externally. With half the staff, Next no longer needed Van Cuylenburg, according to Next officials. Company representatives said a new tier of second level management is being put into place and Next is planning to announce new appointments from its current staff, including that of vice president of sales, in the near future. While the release of Nextstep 486 is on track, other plans for Next still remain up in the air, company officials told Newsbytes. Negotiations between Next and Canon are still in progress and meetings are planned for the immediate future, according to the Next spokeswoman. (Linda Rohrbough/19930408/Press Contact: Allison Thomas for Next, Allison Thomas Associates, tel 818-981-1520, fax 818-981- 4230)