The <A HREF="http://www.fcc.gov/">Federal Communications Commission</A> has approved the merger of media conglomerate <A HREF="http://www.viacom.com/">Viacom Inc.</A> and <A HREF="http://www.cbs.com/">CBS Corporation</A>, one of the "Big Three" television networks. Viacom will acquire CBS in a stock swap; the resulting entity will have one year to unload enough stations to bring it into compliance with regulations limiting its share of the television viewing audience to 35% of the total market. Stations in Los Angeles, Chicago, Dallas–Ft. Worth, Baltimore, and Sacramento may be sold to comply with the restriction. The approval was granted Tuesday, May 2.
Video-on-demand (VOD) is coming soon to more than 1.2 million homes in Los Angeles, courtesy of <A HREF="http://www.chartercom.com/">Charter Communications, Inc.</A>, the fourth-largest cable operator in the US. Charter has completed an agreement with Redwood City, CA–based <A HREF="http://www.divatv.com/">DIVA Systems Corporation</A> to provide VOD software and hardware for customers in Long Beach, Pasadena, Alhambra, Monterey Park, Glendale, and Burbank.
The month of March was the best ever for factory-to-dealer sales of digital television sets and displays, reported the <A HREF="http://www.cea.org/">Consumer Electronics Association</A> on April 27. Unit sales totaled 24,332—a 7% increase over February sales, and 343% over March 1999. Since the introduction of DTV in August 1998, a total of 202,586 DTV units has been sold to dealers, according to the CEA's latest figures.
Bigger is better, according to <A HREF="http://www.hitachi.com/">Hitachi</A>. The Japanese manufacturing giant has announced a 65"-diagonal rear-projection HDTV, its display illuminated by a <A HREF="http://www.ti.com/">Texas Instruments</A> digital light processing (DLP) unit with 8" optics. DLP technology creates a high-definition image using almost one million micromirrors on a chip to switch red, green, and blue light to form an image. When incorporated into a television with an HDTV receiver, display of both HDTV and high-resolution computer graphics is possible without any of the normal compromises found in traditional display technology.
Steven Spielberg has held out long enough. With as many as 12 million DVD players expected to be in movie fans' homes by the end of the year, Hollywood's most successful director has decided to release his films on digital discs.
When the retransmission of local TV signals by direct satellite broadcasters became legal, analysts and industry insiders expected an increase in business. They did not expect the surge in new subscribers that came in the wake of the decision. <A HREF="http://www.echostar.com/">EchoStar</A>, the perpetual runner-up to dominant DBSer <A HREF="http://www.directv.com/">DirecTV</A>, added 455,000 new subscribers to its DISH network in the first quarter of this year, bringing its total customer base to more than 4 million as of the end of April.
Last week, <A HREF="http://www.panasonic.co.jp/">Matsushita Electric Industrial</A> and <A HREF="http://www.quantum.com">Quantum Corporation</A>'s Hard Disk Drive Group announced that they have developed what they describe as the world's first audio/video hard-drive subsystem that records and plays back digital content with random-access digital video recording (DVR) functionality over IEEE1394 (aka FireWire).
Last week, <A HREF="http://www.tvguideinc.com"><I>TV Guide</I></A> announced that it has partnered with <A HREF="http://www.seachangeinternational.com">SeaChange International</A> to bring to market a version of the TV Guide Interactive electronic program guide with a video-on-demand (VOD) service. The companies say that the collaboration will combine the TV Guide Interactive application with SeaChange's ITV system, and that this is the first major deal for TV Guide Interactive in the VOD area and will be the market's first fully integrated interactive program guide/VOD offering.