12-Nov-99

Valence Takes On DolbyÆ

With the adoption of its multichannel audio system by local and overseas system suppliers, Hong Kong-based Valence Technology Ltd., the largest ASIC design house, is eyeing the huge audio encoding/decoding market long dominated by Dolby Laboratories Inc. Valence announced at a recent high-tech fair in Shenzhen, China that as many as 10 local and foreign companies have adopted its CS-5.1 multichannel audio system. The company said it expects to design and ship about 36 chip types this year to its new list of customers. San Francisco-based Dolby has solidified its hold on the audio markets with its 5.1-channel DolbyÆ Digital (AC-3Æ) multichannel technology. But Chinese industry observers said Dolby's complex application programs and high royalty fees created barriers for local industry. Chinese manufacturers and the government sought another system that would help unify and upgrade current audio products. Valence filled the void with its Circle Surround 5.1, or CS-5.1, audio system. It is based on adaptive matrix technology with integrated steering logic that provides full bandwidth sound for movies and music. Source: Electronic Engineering Times