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VIZIO seeks to trim the pork, joins the "CUT FATT" PR campaign

VIZIO bacon briefcase
Apparently still stinging from its MPEG-LA licensing tussle, VIZIO is throwing its weight behind the Coalition to Terminate Financial Abuses of the Television Transmission ("CUT FATT," and no, we're not sure where the "U" came from). Claiming excessive and unregulated patent fees related to FCC regulations for producing DTV-ready sets that have already exceeded a Dr. Evil-esque one-billion dollars, the crux of the argument is that since 2007, US consumers have paid 20-30 times the licensing fees as compared to European and Japanese consumers for "essentially the same technology," and CUT FATT would like to see the FCC rein in these fees to competitive rates. VIZIO is claiming this is an effort to stand behind the American consumer, but we'd like to know how much the company would cut retail prices on its already relatively strong sales. Still, we can't argue with the company's rights to do what it can to seek higher profitability as it balances value and upscale marketing messages.

[Bacon briefcase image courtesy saynotocrack]

European Commission looks into Blu-ray studio agreements

Next-gen DVD market share graphEuropean regulators have begun an inquiry into possible antitrust and anticompetitive practices by the Blu-ray Disc Association as it relates to agreements and restrictions on producing content for Blu-ray and its competing high-definition format, HD DVD. At the urging of some in the HD DVD camp, the European Commission has sent letters to many of the Hollywood studios asking them to produce any correspondence relating to their backing of the Blu-ray format. Of the major studios, Sony, Disney, Fox, Lions Gate, and MGM only release titles on Blu-ray, while only Universal is exclusive to HD DVD. Analysts say much is riding on the outcome of which format wins, with sales of content and players as a big incentive for either side. Is this inquiry just a case of sour grapes by HD DVD that sees itself as in trouble while Blu-ray has better agreements with studios? Or is the BDA not playing fair by using those vertical relationships to form a de facto monopoly? Those in the EU aim to find out.

[Thanks, LJKelley]




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