Compaq Computer signs accords with three big retailers of PCs

Article Abstract:

Compaq signs marketing agreements with CompUSA Inc, Office Depot Inc and Circuit City Stores Inc that result in the number of retail outlets selling Compaq microcomputers jumping from 200 to 600. Originally, Compaq sold only to corporate users, but is now courting the home and small business markets, which currently make up 5 percent of Compaq's North American revenue. Microcomputer prices continue to fall, and Compaq is using the retail marketing strategy as a way to maximize profits. While trying to increase its sales volume, Compaq has had difficulty supplying enough of its popular ProLinea line to consumers and this concerns some industry observers. Compaq says that product supply should improve during 4th qtr 1992. By the end of 1993, an industry executive predicts that Compaq microcomputers will be in over 2,000 retail outlets.

Computer and software stores, Household appliance stores, Stationery and office supplies, Compaq Computer Corp., CPQ, Contracts, Office Depot Inc., Computer stores, CompUSA Inc., Circuit City Stores Inc., Distribution channels, CC, Retail/Reseller Channel, Marketing Agreements, ODEP

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Tandy to sell couch potatoes computer TV

Article Abstract:

Tandy Corp introduces its Video Information System, which is an interactive video machine that plays compact disks and plugs directly into a television set. The new product incorporates specially designed microchips and a version of the Microsoft Corp Windows graphical user interface (GUI). A spokesman for Tandy describes the new product as a user-friendly multimedia computer. Commodore International Ltd and Philips Electronics NV have introduced similar products, but those devices have not done well in the marketplace. Competition from established game companies such as Nintendo Co is difficult to overcome. Tandy says that 50 companies have promised to develop more than 100 programs that will run on the Video Information System.

Computer storage devices, Innovations, Product introduction, Product Announcement, Television sets, Televisions, Equipment and supplies, Multimedia systems, TAN, Videodisk players, Interactive video systems, Interactive Video, Multimedia Technology, Digital Video-Interactive, Videodisc systems, Tandy Video Information System (Multimedia upgrade kit)

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AST to acquire PC business of Tandy Corp

Article Abstract:

AST Research Inc will acquire Tandy Corp's microcomputer business for about $175 million. The move could place AST as the fourth-largest company in the industry, positioning the company to enter new markets such as pen-based computing and multimedia technologies. Tandy's businesses will provide AST with new products and will strengthen the company's economies of scale. The acquisition comes as a surprise because Tandy had recently announced that it intended to spin off its computer operations as a separately managed company called TE Electronics Inc. AST's stock closed up $1, at $16.125, on May 26, 1993. Tandy's stock was up $2, closing at $31.25.

Microcomputers, Mergers, acquisitions and divestments, Outlook, Stock, Acquisition, AST Research Inc.

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