Sour DOW/NASDAQ to kill digital future?


DO YOU THINK THAT THE PROMISE OF SACD OR DVD AUDIO WILL BE PUT ASIDE IN LIGHT OF THE LAST 12 MONTHS OF ECONOMIC SLOWDOWN HERE IN THE U.S. AND ABROAD. I AM VERY MUCH LOOKING FORWARD TO THE SACD FORMAT. BUT I AM FEELING THAT THIS FORMAT AND OTHERS MAY BE DOA PARTLY BECAUSE OF CERTAIN COMPANIES UNWILLINGNESS TO SPEND MONEY FOR NEW VENTURES IN UNCERTAIN TIMES. WHAT DO YOU THINK?
avnut
My local high-end dealer thinks that his store's sales should be used as a leading indicator. The store experiences slow down in sales months before anyone realizes there's an economic slowdown. This year, the owner told me that sales came to an abrupt halt in August, 2000.
It might force prices of both hardware and software down, but I do not believe it will hurt the future or development of either format.
avnut: it's not polite to YELL. i don't think any predictions can be made at this point about the effect of an economic downturn on new digital formats. i doubt that venture capital funds are being looked to by the producers of sacd hardware and software. i should think that most capital costs have already been sunk. what's needed now is a marketing rampup, tied to the introduction of cheaper machines and lots more software. the real problem may be reduction of consumer confidence, which will slow the sales of all electronic products. still, that trend may have the perverse effect of pushing the marketing of new digital formats, since the sony's of the world have to sell something really "new" or face the "why replace it now?" syndrome that's being felt, in spades, by computer makers. 'course this is all pure speculation. guess that's why they call economics "the dismal science." -kelly
The current market selloff will probably slow new developments down but will not kill them. Wiped out portfolios will cause new purchases to be postponed. The good news is that a few interest rate cuts along with lower taxes add up to real economic stimulus. Things should start looking better around 3rd quarter. Hopefully nobody will do something stupid like pulling the pin on a nuke.