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Sony unveils 45 hour mini disc
( 2004-01-12 11:22) (Agencies)

Sony Corp. has introduced a revamped mini-disc Walkman that doubles the recording capacity of current discs and a new 1-gigabyte mini disc that records up to 45 hours of music, up from the current 80 minutes.


A model shows Sony's new mini disc Walkman Hi-MD, left, and a new 1-gigabyte mini disc.
The new offerings from the Japanese electronics and entertainment giant, called Hi-MD, attempt to make up for the qualities that were lacking in current mini discs, such as sound quality and compatibility with personal computers, while keeping prices affordable, Sony officials said.

Available in the United States in April, in Europe from April to June, and in Japan in June, the machines will sell for about the same prices as current MD Walkmans, ranging from 30,000 yen ($280) to 45,000 yen ($420) in Japan. The new discs will cost 700 yen ($6.50) each. Current MDs cost 100 yen (90 cents).

Sound quality will approach that of compact discs, and Hi-MD will also download and upload files to PCs. Current MDs can download but cannot upload information to PCs.

Other electronics makers, including Japanese rival Matsushita Electric Industrial Co., producer of the Panasonic brand, are being approached to adopt the technology, and several including Sharp Corp. and Kenwood, have expressed interest, officials said.

Hi-MD also comes with copyright protection security, and the new discs can decode encrypted files, so users can purchase music downloads, a business that is expected to grow globally.

"The machine matches the broadband era, and we hope to expand the overall music download market," Sony Deputy General Manager Tsutomu Imai told reporters at a Tokyo hall where the new machines -- which look very similar to the old versions -- were shown.

Sony's offering is a bid to better compete against digital audio products already on the market such as Apple Computer Inc.'s iPod, which holds up to 10,000 songs on a hard drive and is expected to make a big marketing push in Japan this year.

But analysts say prospects for Hi-MD aren't clear because the MD format has not caught on outside Japan.

"The MD has taken a back seat overseas," says Kazuharu Miura, analyst at Daiwa Institute of Research in Tokyo. "As long as it remains popular only in Japan, it lacks power as a product."

In mini-disc recorder and player sales, Japan accounts for 60 percent of worldwide sales, while Europe stands at 24 percent. North America makes up just 10 percent. Imai said hopes were high the Hi-MD features will help boost U.S. sales.

Sony also announced it is launching an online music service, Connect, this spring in the United States. Like a slew of new rivals in the market, Sony's site will sell songs for 99 cents and most records for $9.95. It will feature about 500,000 tracks from the major record labels and independents, the company said. Sony plans to market the service by offering frequent flier miles through United Airlines.

Sony is targeting combined sales of 70,000 of the three Hi-MD Walkman models in Japan for the first month. It did not give a target for overseas sales.

Sony estimates that global sales of MD players and recorders from all manufacturers have totaled about 80 million since the devices went on sale in 1992. Sony expects to sell more than 7 million mini-disc Walkmans worldwide in the fiscal year ending in March.

While acknowledging it wasn't totally innovative like past Sony hits, such as the original Walkman, Vice President Tadao Yoshida defended Hi-MD as adding to consumer choices.

"It may be seen as merely bringing together old technology," he said. "But it's keeping abreast of the rapidly changing network era and creating a market. And that's a Sony trademark."

 
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