Only hours after THQ cut its earnings forecast for its current quarter (CED Dec 24 p3), Midway Games drastically reduced its estimate for 4th quarter ending Dec. 31. Midway said it now expected revenue for 4th quarter would be $78-$83 million, down from $105-$155 million company had predicted. Also, instead of $15-$40 million profit Midway had forecast, it said it now expected loss, although it didn’t say how much. Announcement spurred disappointing reactions from analysts, and shares in game maker dropped.

It’s “premature” to give Sec. 271 authority to SBC for Cal., even though company has made “great strides in opening the local market” there, FCC Comr. Martin said in statement explaining why he dissented in vote to approve SBC’s application (CD Dec 20 p3). “The record does not demonstrate that SBC has satisfied all of the requirements of Section 271,” he said. Congress didn’t give FCC right to look at any Bell’s overall compliance and balance out pluses and minuses, he said. Instead, Congress required that Bell “must meet each and every checklist item” before FCC granted it interLATA relief, Martin said.

ATI Technologies, responding to challenge from rival NVidia, has shipped low-priced TV add-in card for PCs priced at $129. All-in-Wonder VE PCI card, which shipped last week, is aimed at discount and CE chains such as Wal-Mart and Best Buy, Group Product Mgr. Blair Birmingham said. Card based on ATI’s Radeon 7500 graphics processor has 64 MB of double-data rate (DDR) SDRAM, Philips TV tuner, TV-on-demand feature for pausing live TV, Gemstar Guide Plus and Pinnacle Systems’ Studio 8 video editing software. Device requires that desktop or notebook have minimum 500 MHz processor for MPEG-2 video capture. Video can be captured at 720x480 resolution. To further drive price, ATI plans to offer $30 mail-in rebate for short period in mid-Dec. that drops final tag to $99, Birmingham said. ATI’s introduction of All-in-Wonder VE comes as rival NVidia readies Personal Cinema PCI add-in card at $199. NVidia, which failed in first attempt to launch Personal Cinema in 2001, has redesigned card and lined up 6-7 partners that marketed co-branded product.

U.S. Appeals Court, D.C., struck down FCC’s video description rules, saying Communications Act “does not give the FCC unlimited authority to act as it sees fit with respect to all aspects of television transmissions.” Decision came in Motion Picture Assn. of America v. FCC, case in which MPAA was joined by NAB and NCTA. Writing for majority, Judge Harry Edwards pointed out that Telecom Act added specific mandate for FCC to enact rules for closed- captioning, but not for video description. He said there was “a marked difference” in way Congress treated those 2, but FCC nevertheless adopted rules for both.

JVC will sell radio that lets users slow speed of audio output, making it easier for listeners to understand broadcasts. Model to go on sale next month in Japan has signal processor that slows output when program is tuned in, Nikkei said. Processor then gradually increases speed to normal, but shortens pauses between speech so that program occupies allotted amount of broadcast time. Radio receives AM, FM and TV audio, has large display and controls, MSRP of about $279.

Standards making is increasingly important as technologies change and businesses face more competition, SBC Pres. William Daley said in speech at World Standards Day dinner last week. “With the increasing pace of new technologies, it’s critically important for the standards process to keep up,” he said. “When the average shelf life of some new high-tech products is as little as 6 months, businesses don’t have time to pause and wait.” Daley said SBC was working with others in telecom business to develop more-streamlined standards process, which has “become even more important with the increasing competition in our industry and the increasing number of new networks and technologies.” He said industry was working with Alliance for Telecom Industry Solutions (ATIS) to develop priorities so investment went to issues most important to industry. Communications companies want to set priorities that “eliminate overlap and duplication” of standards efforts, he said: “Too many standards can basically mean no effective standards.” ATIS Pres. Susan Miller told group that “traditional approaches to standards development must move to a new paradigm.” Daley received Ronald Brown Award for leadership in U.S. standardization efforts.

Teledesic decision to suspend operations and restructure business (CD Oct 3 p12) is another indication slump for satellite telecom and broadband market isn’t over and new projects will continue to languish, analysts and industry officials told us. Company had planned ambitious 30- satellite constellation to distribute broadband and data services before concluding it was too risky to continue. “This happens in the course of a global meltdown,” Satellite Industry Assn. Exec. Dir. Richard DalBello told us: “The demand hasn’t been as strong as [Teledesic] had hoped. It appears Teledesic wants to bide their time. There is a tremendous amount of pain in the telecom market. It’s hard to mount aggressive new projects in this type of environment.”

Pace Micro Technology unveiled digital terrestrial personal video recorder (PVR) in Britain that would allow over-air viewing with PVR features, company said. “Twin Digital TV Recorder,” expected to retail for about $540 just before Christmas, gives viewers access to more than 20 free digital TV channels and allows them to pause, rewind, fast- forward, etc. PVR has 20 GB hard disc drive, twin digital tuners, dual recorder.

More details on PlayStation 2 (PS2) shipment numbers were made available by Sony Computer Entertainment (SCE) after our Thurs. deadline. Company said 40.04 million units of console that we reported had been shipped were through Sept. 17. Breakdown by region was indeed 12.06 million for Europe and other PAL countries, 17.01 million for N. America and 10.97 million for Japan, as reported (CED Sept 20 p2).

Apparently setting stage for radio version of personal video recorder (PVR), terrestrial digital radio developer iBiquity Digital acquired exclusive worldwide license for Command Audio (CA) patents, technology and other assets in field of digital radio, companies said Tues. Companies are privately held and terms of agreement weren’t disclosed. IBiquity said acquisition set stage for radio broadcasters to provide consumers with content on-demand, as well as selecting radio programs via electronic guide, scanning content and pausing or saving for later listening. CA technology also will give content providers and advertisers tools to design innovative programming, iBiquity said.