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- From: Richard Gaikowski <richgaik@slip.net>
- Newsgroups: comp.sys.amiga.hardware
- Subject: Wall Street Journal Article
- Date: Thu, 21 Mar 1996 11:37:09 -0800
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- Wall Street Journal article 03-19-96
-
-
- Jinxed' Computer Frustrates Its Owners,
- But Fans Say It's Perfect for Internet Use
-
- By SILVIA ASCARELLI
- Staff Reporter of The Wall Street Journal
-
- HANNOVER, Germany -- Can a computer be jinxed? Ask the three
- successive owners of the Amiga home computer.
-
- First, the quirky little machine burned through the $7
- million put up by its initial backers, three Florida
- dentists, before the first model hit the stores in the
- mid-1980s. After it became a cult brand in the U.S.
- and Europe, Amiga's second owner, Commodore
- International Ltd., went bankrupt in 1994.
-
- The brand's new owner, German personal
- computer-maker Escom AG, is following the
- unlucky tradition. Only months after it bought the
- Amiga and Commodore names and patents for $10 million, Escom slid deep
- into the red, largely because of slowing conventional-PC sales.
-
- But Escom is betting that Amiga's luck has finally changed. Amiga fans -- an
- unusually loyal band of diehards from Berlin to Boston -- contend that the
- current wave of multimedia computing and Internet surfing sweeping the
- industry plays to Amiga's strength: a fast, efficient circuitry and software that
- are good at showing pictures and playing video.
-
- "Technologically, it's a great computer," says Asha DeVelder, a 48-year-old
- Northern Californian graphic artist who walked out of a store in 1986 with
- an Amiga instead of the typewriter she was shopping for. "The bottom line is
- the technology is still there, it's still graceful, it still works. There's no reason
- to leave."
-
- Industry experts give it impossible odds of ever being a big force in the
- market; after all, IBM-compatible PCs hold nearly 90% of the PC market,
- and the Amiga last Christmas represented less than 1% of industry sales in
- Europe. Even Manfred Schmitt, chairman of Escom's management board,
- describes it as a niche entry. But despite its financial woes, Escom is starting
- to roll out new Amiga models. "We definitely don't want to see Amiga fail,"
- Mr. Schmitt says.
-
- Here at CeBIT, Europe's biggest computer trade show, Escom is displaying
- perhaps its most promising product, Amiga Surfer -- a microcomputer that
- plugs into a standard television and comes with a modem and special
- software for "surfing" the global Internet computer network. Priced at 1,199
- marks ($815), the machine also handles more conventional computing tasks
- such as word processing, games and graphics. Aside from the modem and
- accompanying communications software, it is similar to an earlier model,
- Amiga Magic, now being sold for 998 marks.
-
- Also at CeBIT, Escom is unveiling a prototype of a new Amiga model that
- should be in stores in September and will include a Pentium-speed
- processor and CD-ROM drive. Depending on cost, a modem may be
- added. Amiga Technologies President Petro Tyschtschenko says he wants
- to price the model below 1,000 marks, or less than half the price of a
- similarly equipped PC. But company officials maintain their biggest splash
- will be a PowerAmiga, using Motorola Inc.'s PowerPC chip, expected to be
- introduced at next year's CeBIT trade show and to reach stores in May
- 1997.
-
- When it was first launched a decade ago, the Amiga, with its fat keyboard
- and no stand-alone hard drive, was considered a product ahead of its time.
- Back when PCs could only beep and screens were monochrome, Amiga
- was dazzling users with sound and video cards, sharp color screens and
- plug-and-play technology.
-
- If a PC was a sober number-cruncher, then the Amiga, originally conceived
- as a game-playing machine, was the vibrant animation designer. And it was
- cheap, to boot. A few million computers were sold during the late 1980s
- and early 1990s, and the computer became a cult item. Fan magazines
- proliferate in seemingly every language. User groups kept meeting even
- when most had relegated the computer to the scrap heap.
-
- Recently, 70,000 fans swarmed into Cologne for a three-day Amiga trade
- show and clamored for autographs on T-shirts and entrance tickets. Grateful
- letters still arrive daily at Amiga Technologies GmbH headquarters thanking
- company officials for bringing the computer back from the dead.
-
- Steve Pond, a computer network designer in a London suburb, boasts that
- he can simultaneously format two disks, print from his screen and go on-line
- on his nine-year-old Amiga 2000. "If you spend any amount of time working
- on an Amiga, when you switch to a PC or a Macintosh, everything feels so
- slow." He says he wants to hold out for a PowerAmiga but admits that "at
- the moment, I'm teetering. I do need a new computer."
-
- Persuading the rest of the computing world to switch systems won't be easy.
- Escom's financial woes are likely to spill over to the Amiga division, which
- lost about five million marks last year and was being held to a bare-bones
- advertising budget. Even Mr. Schmitt admits that he can't be as
- free-spending as he might have liked. The Escom group must be more
- conservative in developing new products; in fact, it's hoping Motorola will
- pick up some of the tab for developing the PowerAmiga.
-
- "We must avoid at all costs making any risky maneuvers," says Mr. Schmitt,
- Escom's chairman.
-
- One glaring weakness is the absence of Amiga software in computer stores.
- At one of Escom's Frankfurt stores, colorful Amiga boxes are stacked up by
- the cash register and one is set up for demonstrations. But prospective
- buyers won't find boxes of software to go along with it.
-
- "I can get what I need for it," Ms. DeVelder says. She relies on mail-order
- firms for most programs and says her software collection already fills two
- 75-disk wooden boxes, a 50 and 100-disk box and several 30-disk boxes
- in addition to the "various piles of disks scattered about" her office.
-
- "I consider myself extremely blessed that I stumbled across Amiga when I
- did," she adds. "I'm just wondering whether Amiga Technologies can really
- (bring back the brand)."
-