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The Data Storage Report - April 1996 Volume 11, Issue 4


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TELEVISION AND PC COMBINED IN ONE, A CONSUMER BOON OR BOONDOGGLE?

On March 21, Gateway 2000 in North Sioux City, S.D., and NetTV Inc. of San Rafael, Calif. (story far right) introduced big screen television combined with a Pentium-based PC. Both are betting that consumers will want to browse the Internet as a family unit. The product drew praise and condemnation from market analyst.

Megan Robertson, a technology analyst at Smith Barney, said, “the device is likely to complement the PC in the home ... (but) we think it is likely that Destination could replace the television.” Duncan Davidson, managing partner of Gemini-McKenna, a high-tech consulting firm says the device is slow and has poor graphics quality.

The Gateway offering is the $4,600 Destination big screen PC. The NetTV product, WorldVision, sells for slightly less, starting at $2,995. Both companies hope upscale consumers currently purchasing big screen home theatre TVs buy their offerings because of the additional PC (see story at right).

However, it appears that instead of synergy from a combination of television and PC, what the consumer is getting is a poor compromise for an expensive PC. Instead of a high resolution PC display the user gets a low-resolution big screen television monitor that is well suited for displaying video but poor for high resolution graphics and text.

What may save both companies is the availability of high speed cable modems that promise to provide users a high bandwidth pipe to the Internet. Now, users with these systems will be able to access audio and video content now starting to appear on some sites. In fact, such a configuration could be the first widespread use of video on demand.

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