Film and TV actor Joe Pantoliano, who appears on HBO’s The Sopranos, will be in episode 4 of Electronic Arts’ (EA) online game Majestic. Pantoliano will play blackballed investigative journalist Tim Pritchard. For his work on EA’s game, Pantoliano spent 2 days filming and one day in studio to record voice mail messages that Majestic players will receive, game maker said.
PC game Zoo Tycoon from Microsoft started shipping at $29.99. E-rated (Everyone) simulation-style title, developed by Blue Fang Games, challenges players to turn bunch of animals into money-making machine by building profitable animal park. Microsoft PC Games Div. Gen. Mgr. Stuart Moulder said company expected game to be one of its biggest titles this holiday season. After buying game, players can download new content including completed zoos and new animals via Zoo Tycoon Web site, www.microsoft.com/games/zootycoon/.
Activision will ship Tony Hawk’s Pro Skater 3 for PlayStation at $39.99 and PlayStation 2 (PS2) at $49.99 Oct. 30. Title, developed by Neversoft Entertainment, will be first online game for PS2, Activision said. PS2 version of title is rated T (Teen), while PlayStation SKU is rated E (Everyone).
Sony cut price $30 on Clie PEG-S320 handheld PC to $169 as company joined Palm and Handspring in lowering retails in effort to jump-start market. Sony’s S320, introduced in June, now is priced in same range as Palm’s m105 ($149), but adds expansion slot capabilities of m125 ($249). Price cut was made to “accelerate the growth” of Clie products, Sony spokesman said. Average selling price of handheld PCs dropped to $248 in Aug. from $283 year earlier, but sales grew just 11.9% compared with 207.5% year earlier, NPD Intelect said.
Genesis Microchip said 2nd quarter net income jumped to $6.6 million from $1.9 million year ago as revenue more than doubled to $36.1 million from $15 million. Genesis, which in July forecast 2nd quarter revenue of $25 million and in Sept. increased it to $30 million, said gross margin improved to $16.6 million from $9.4 million. Genesis credited new IC design contracts for increased revenue. It signed agreement in Sept. to buy rival Sage and said it would complete acquisition by March. Sage, meanwhile, said it narrowed 2nd quarter net loss to $3.8 million from $6.2 million year ago as revenue rose to $9.9 million from $8.6 million. Loss included $1.1 million charge related to expenses in proposed merger with Genesis.
Cyberian Outpost said 2nd quarter loss widened to $7.3 million from $6.7 million year ago in what was likely be its last quarter as publicly traded company. Net sales declined to $27.5 million from $45.2 million year ago and gross margin to $5.4 million from $10.7 million. In quarter, Cyberian transferred $600,000 to Tweeter as part of joint venture that’s being discontinued in wake of expected sale of online retailer to Fry’s Electronics. Tweeter also received $84,000 as share of net income of Tweeter@Outpost.com. Cyberian ended quarter with $551,000 in cash and cash equivalents, but since has received $13 million loan from Fry’s pending completion of acquisition. Cyberian also reversed $777,000 of restructuring charges incurred in first quarter as it negotiated termination of lease for 17,000-sq.-ft. facility in Bethel, Conn. Cyberian paid Berkshire Industrial Corp. $100,000 in Sept. and Oct. to cover amount remaining under lease. Cyberian ended quarter with 1.5 million customers. Shareholders meeting to vote on proposed sale to Fry’s is scheduled for Nov. 8 in Danbury, Conn.
First plausible evidence is emerging of impending price breaks on DLP-based rear-projection TVs as LG Electronics, Optoma and Vestel prepare models for 2002 introduction, possibly at tags as low as $3,000-$5,000.
David Nagel, who was lured from AT&T to head Palm’s new operating system (OS) subsidiary, will receive $620,000 starting salary and $200,000 hiring bonus, said letter in recent SEC filing. Palm in July announced plan to separate OS business as subsidiary and letter outlined steps being taken to accomplish that, including possible spinoff. “The separation process may include legal separation, third party investments by strategic partners, sub-IPO and spinoff,” Palm said. Nagel also will get restricted stock grant in Palm shares along with options to buy 6.5% of shares in Palm OS business once it has made subsidiary late this year. Grant of 50,000 shares will vest in 2 years, but will “accelerate” after first release of Palm OS based on StrongArm processor, Plam said. ARM-based OS is expected to be released in 2002 and company has said project remains on track.
David Margolese, who resigned last week as CEO of Sirius Satellite Radio (CED Oct 17 p1), qualifies for $5-million severance payment, company said Fri. in SEC filing. Margolese will receive $200,000 in annual fee for serving as Sirius non- executive chmn., and his stock options have been extended through April 16, 2007, filing said. Margolese has 2-year noncompete clause in employment agreement, Sirius said.
Electronic Arts became pilot customer of Kontiki, company that offers secure network for delivering digital media files over Web. Kontiki said its network allowed its customers to deliver entertainment and other TV-quality content direct to users’ PCs. Other pilot customers of Kontiki include Amazon.com, LivePlanet, MP3.com, Palm, Sony Pictures Entertainment, TiVo, Verisign. Companies said Kontiki services might dramatically lower their cost of sales, marketing, training and travel, while increasing revenue and customer royalty. Preview of pilot network is available by downloading Kontiki at www.kontiki.com. Following pilot period, first production release of Kontiki Delivery Network is expected later in 4th quarter.