Spatializer Wins Patent Infringement Case

Woodland Hills, CA. Spatializer™ Audio Laboratories Inc. said Friday that the U.S. District Court in Los Angeles CA has ruled in the company’s favor in a lawsuit filed by QSound™ Labs Inc. (Calgary, AB, Canada). Judge William D. Keller granted Spatializer’s motion for summary judgment of non-infringment.

“We have always been very confident that Spatializer would prevail in this lawsuit and are very pleased with the ruling,” said Steven Gershick, President and CEO of Spatializer Audio Laboratories. “With the litigation behind us, we can again focus 100 percent of our efforts on meeting the demands of leading manufacturers to license and use our 3-D audio technologies within their products.”

Spatializer intends to pursue a claim for damages resulting from QSound’s alleged interference with its business. As well, Spatializer intends to file a motion for summary judgment seeking to invalidate QSound’s patents.

“For the past 22 months, QSound’s accusations of infringement have adversely impacted our business,” contends Gershick. “Not only have certain licensees been reluctant to introduce new Spatializer equipped products, but a number of potential licensees were compelled to use competitive solutions because of the litigation.”

The ruling finds that Spatializer’s proprietary 3D audio chips and technology do not infringe QSound patents. The judge also states that Spatializer “cherry picked” the QSound invention, but that as a matter of law he would rule in their favour. In view of this, any claim for damages made by Spatializer would receive little sympathy from Judge Keller.
QSound Labs intends to appeal the judgement. The appeal will be heard by The Court of Appeals Panel in Washington DC. Hearings concerning patent validity and unfair competition will not take place until the appeal is decided.

Spatializer Audio Lab develops audio technologies for the consumer electronics, computing and entertainment industries. The company’s 3-D audio processing technology is incorporated in products made by major manufacturers including Hewlett-Packard, Texas Instruments, Seiko-Epson, Samsung, Everex, Labtec, Panasonic and Proton. It is also available as a software plug-in for the Digidesign ProTools® III system.

QSound Labs is currently marketing its technology to PC/multimedia, home entertainment and consumer electronics industries. The technology has been licensed by PC/multimedia, home entertainment and video arcade leaders Acer, Capcom, Electronic Arts, Fathom Pictures, IBM, Intel, Microsoft, Microprose, Mindscape, NEC, Overtime Sports, and Sega.

Sony, Toshiba, Matsushita Announcements Raise Clouds Over Future of DVD Audio

Tokyo. Sony Corp. yesterday confirmed industry speculation that it will not introduce DVD players until next spring. Sony blames the delay on the looming initial scarcity of software.

The DVD format is touted by many as an eventual replacement for CD’s, videotape, and CD-ROM. The discs are the same size as CD’s, but they are capable of storing as much as 14 times the amount of digital information.

Sony’s decision follows more positive announcements earlier in the week by Japanese makers Toshiba Corp., Matsushita Electric Industrial Co., and Hitachi Ltd.

Toshiba says it will market two DVD models in October or November, in time for Christmas shopping in both the U.S. and Japan. One of the Toshiba units will play both CDs and DVDs, while the other will be equipped for karaoke.

Pioneer will market two DVD players in October, one compatible with CD’s and the other with laser discs. Parent company Matsushita plans to announce a Japanese sales date and pricing at a news conference today. And Hitachi still plans to introduce an unspecified lineup of DVD players by the end of the year.

According to Sony spokesman Masanobu Sakaguchi, disputes about copy protection have delayed the production of software, as well as the DVD players. “We believe that was a reasonable business decision,” he said. “You can’t do business just coming out with the hardware.”

The DVD format is also hobbled as a vehicle for audio recordings by the lack of an agreed standard. Dolby’s AC-3 is specified for surround sound accompanying video. But there are currently several proposed standards for independent DVD audio, including 24-bit resolution with 96 kHz sample rate, 24-bit 88.2 kHz, and 16-bit 44.1 kHz.

The bottom line: don’t expect to see much movement on the DVD Audio front for quite some time.

Radio Stations Change Hands: WYSR (Albany) and Morningstar Network (Nashville)

Nashville, TN. Salem Radio Network has announced its purchase of Morningstar Radio Network, Inc. of Nashville. Morningstar produces, syndicates and distributes via satellite two 24-hour Christian music formats, Today’s Christian Music (adult contemporary), and High Country to over 160 affiliated radio stations nationwide.

“The acquisition of Morningstar is another important step in the continued growth of SRN,” said SRN President, Greg Anderson. “While news and talk syndication has been our foundation, we have consistently sought the right opportunity to expand our Christian music programming and syndication. Morningstar provides us with that opportunity.”

New York, NY. SFX Broadcasting Inc. has announced the acquisition of radio station WYSR-FM from Jarad Broadcasting Co. for $1.0 million. WYSR serves the Albany, N.Y. market with a 70s oldies format. SFX already owns four other Albany market stations: WGNA-FM (country), WGNA-AM (country), WPYX-FM (AOR), and WTRY-AM (70’s oldies).

“While we’ve been selling advertising for WYSR, it’s great to now be acquiring the station,” says Robert F.X. Sillerman, Executive Chairman of SFX Broadcasting. “Our proven programming expertise will allow us to fully exploit the potential of this station and bring its market ratings up to the level of our other two FM stations.”

Computer Giant Fujitsu Enters Music Software Market

Tokyo. Japan’s top mainframe computer maker Fujitsu Ltd. said Wednesday it will expand into the production of music software, including CD’s. Fujitsu’s new products will be marketed under the “fin fin” label. The first offering will be a multimedia music CD-ROM to be released in October. fin fin will follow up in November with its first classical music CD.

Fujitsu is following the lead of other Japanese computer and electronics manufacturers, including Sony, Toshiba, Victor, by getting into the music market. Unlike its rivals, however, Fujitsu claims that the music software line will feature its computer technologies prominently.

Sony, Toshiba, Matsushita Announcements Raise Clouds Over Future of DVD Audio

Tokyo. Sony Corp. yesterday confirmed industry speculation that it will not introduce DVD players until next spring. Sony blames the delay on the looming initial scarcity of software.

The DVD format is touted by many as an eventual replacement for CD’s, videotape, and CD-ROM. The discs are the same size as CD’s, but they are capable of storing as much as 14 times the amount of digital information.

Sony’s decision follows more positive announcements earlier in the week by Japanese makers Toshiba Corp., Matsushita Electric Industrial Co., and Hitachi Ltd.

Toshiba says it will market two DVD models in October or November, in time for Christmas shopping in both the U.S. and Japan. One of the Toshiba units will play both CDs and DVDs, while the other will be equipped for karaoke.

Pioneer will market two DVD players in October, one compatible with CD’s and the other with laser discs. Parent company Matsushita plans to announce a Japanese sales date and pricing at a news conference today. And Hitachi still plans to introduce an unspecified lineup of DVD players by the end of the year.

According to Sony spokesman Masanobu Sakaguchi, disputes about copy protection have delayed the production of software, as well as the DVD players. “We believe that was a reasonable business decision,” he said. “You can’t do business just coming out with the hardware.”

The DVD format is also hobbled as a vehicle for audio recordings by the lack of an agreed standard. Dolby’s AC-3 is specified for surround sound accompanying video. But there are currently several proposed standards for independent DVD audio, including 24-bit resolution with 96 kHz sample rate, 24-bit 88.2 kHz, and 16-bit 44.1 kHz.

The bottom line: don’t expect to see much movement on the DVD Audio front for quite some time.