Source: businessweek.com
By Gene G. Marcial, businessweek.com
A television window in every PC? That's what Hauppauge Digital HAUP, which makes digital video products for PCs, hopes to see. The company expects to reap big rewards from such a move. It is forming important strategic alliances to achieve its goal. One of its products, called WinTV board, enables the user to view TV programs in a resizable window on the PC. This summer, it will also market a digital TV tuner called WinTV-D, which lets PC users receive digital TV. The expected price: $500, vs. the $7,000 that high-definition TV sets are retailing for. Hauppauge will announce a joint venture soon with a large Internet company that broadcasts streaming media programming on the Web, says one New York money manager. Hauppauge is also forming a marketing alliance with a major E-commerce company, he adds. David Jordon, Senior Vice President at Axiom Capital Management, says Hauppauge will benefit from the increasing supply of Internet-based digital video content and the rising demand for high-speed digital broadcast receivers for PCs. He expects Hauppauge, now at 12, to earn 60 cents a share on sales of $55 million this year. In 2000, Jordon sees profits of at least $1 a share on sales of $75 million.