NEW YORK, July 27 /PRNewswire/ -- CD
Radio, the satellite- to-car radio broadcaster, and Matsushita,
the world's largest consumer electronics company and maker of
Panasonic products, today announced an agreement for the design
and development of CD Radio receivers.
Under terms of the agreement,
Matsushita Communication Industrial Corporation of U.S.A. (MCUSA)
will design and develop CD Radio receivers for installation by
automotive manufacturers and for sale to consumers in the mobile
electronics aftermarket. Panasonic's automotive customers include
DaimlerChrysler, Toyota, Honda, Nissan, General Motors,
Mitsubishi, and Subaru.
"CD Radio is one of the most
exciting new products in the recent history of consumer
electronics," said Toshiyuki Imazu, President of MCUSA.
"Consumers will have unprecedented choice, commercial-free
music, digital quality sound, and seamless coast- to-coast
coverage. We are excited to partner with CD Radio in bringing this
revolutionary new service to U.S. consumers."
"Panasonic is one of the
largest U.S. manufacturers of aftermarket and original equipment
car audio and information systems, and is one of the best- known
electronics innovators in the world," said David Margolese, CD
Radio's chairman and chief executive. "They are an ideal
partner for CD Radio and we're extremely pleased to be working
with them to make CD Radio receivers available to consumers across
the U.S."
CD Radio is building a digital
satellite radio system that will broadcast up to 100 channels of
music and other programming to motorists throughout the United
States. The company plans to offer 50 channels of commercial-free
music and up to 50 channels of news, sports and entertainment
programming for a monthly subscription fee of $9.95. CD Radio
recently announced an exclusive agreement with Ford Motor Company
to install CD Radio receivers in Ford vehicles as early as first
quarter 2001. CD Radio has also announced numerous content
agreements, including agreements with National Public Radio,
Bloomberg and SpeedVision, as well as manufacturing agreements
with Alpine, Delphi Delco Electronics Systems and Recoton.
Commercial operations are scheduled to commence at the end of the
fourth quarter of 2000.
Any statements that express, or
involve discussions as to, expectations, beliefs, plans,
objectives, assumptions, future events or performance are not
historical facts and may be forward-looking and, accordingly, such
statements involve estimates, assumptions and uncertainties which
could cause actual results to differ materially from those
expressed in the forward-looking statements. Accordingly, any such
statements are qualified in their entirety by reference to the
factors discussed in CD Radio's Annual Report on Form 10-K for the
year ended December 31, 1998. Among the key factors that have a
direct bearing on CD Radio's results of operations are the
potential risk of delay in implementing CD Radio's business plan;
increased costs of construction and launch of necessary
satellites; dependence on satellite construction and launch
contractors; dependence on Lucent Technologies; risk of launch
failure; unproven market and unproven applications of existing
technology; unavailability of CD Radio receivers; and CD Radio's
need for additional financing.
SOURCE: CD Radio |