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GE-RCA Sells DVI Technology to Intel

Magazine article Information Today

GE-RCA Sells DVI Technology to Intel

Article excerpt

GE/RCA Sells DVI

One and a half years after its first announcement and public demonstration, GE/RCA made its first big DVI sale, by selling all of its DVI technology, rights and related equipment to Intel, a leading manufacturer of semiconductors. GE, which bought RCA in 1987 and thereby acquired that DVI technology developed at RCA's David Sarnoff Laboratory, receives an undisclosed amount of cash and royalties in the transaction.

DVI is an acronym for Digital Video Interactive, a radically new innovation for placing digitized full motion, full screen video, still pictures, audio and other text and digital data on CD-ROM and other magnetic media for display on computer monitors and PC/AT hosts.

This won't be the last DVI sale for GE, however, Nigel Andrews, GE vice president for Corporate Planning, spoke at the October 14th Press Conference in New York City, saying GE plans to develop many internal and commercial DVI applications as a DVI customer.

Gordon Moore, chairman of Intel, emphasized Intel's leading role in the development of critical standards and expressed confidence in DVI technology being the best basis for digital video standards. Moore also explained the logic of Intel's purchase by saying that its track records of achieving cost/performance breakthroughs in embedding complex functions on silicon was a perfect fit for commercializing DVI technology, along with volume manufacturing and effective marketing of the chip sets.

David House, senior VP and general manager of Intel's Microcomputer Components Group, said that DVI is the ultimate improvement in the man/machine interface. He stated that DVI would be targeted to vertical markets served by "less flexible analog media" such as videodiscs. The first targets would be commercial and government, next would be business and education, and ultimately entertainment and education in the home market. House detailed a three phase implementation plan, where Beta testing was completed in mid-1989, cost reduction and applications development in late-1989 for initial rollout, and marketing to establish momentum for volume manufacturing in early 1990.

Bill Gates, chairman of Microsoft Corporation, and an original supporter of DVI technology, appeared in a video reiterating that CD-ROM was essential to PC proliferation, endorsing Intel as DVI's champion, and reaffirming their commitment to DVI applications development. …

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