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October 17, 1995

3DO EXPANDING INTO SOFTWARE AND INTERNET

By CBR Staff Writer

Games machine designer 3DO Co plans to expand its business beyond the dedicated games market to games publishing and software development for the personal computer market. It said its diversification strategy included developing games that can be played on the Internet and producing MPEG and graphics boards based around its M2 processor. The Redwood, California-based company said the strategy was intended to reduce company risks, improve cash flow, and lessen its dependence on a sole market or development partner. 3DO has licensed Interactive Multiplayer design to the Panasonic Corp division of Matsushita Electric Industrial Co, and LG Group Ltd’s Goldstar subsidiary. Despite the fact partnership deals have been slower than anticipated, the company said it would continue to develop consumer systems based around its 64-bit M2 processors. It said partnerships to develop 64-bit applications based around M2 would be announced in the next couple of months. The company is also working on 10 64-bit M2 titles which are scheduled for release ready next year.

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