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October 20, 1995

NEC EXTENDS ITS VIDEOLOGIC AGREEMENT TO NEW LINE

By CBR Staff Writer

NEC Corp, which has a small minority stake in the King’s Langley, Hertfordshire company, has extended its agreement with VideoLogic Group Plc to cover a joint development and licensing deal on a new new range of multimedia chips for personal computers. Under the terms of the new agreement, VideoLogic will license to NEC new technology it has been developing since last year and NEC will work out how best to fabricate the resulting chips. NEC will also market the new products, which are designed to go into both personal computers and digital television sets. They are due to be available worldwide by early 1997. In a trading statement, VideoLogic also warned that profitability in its existing business had been affected by tight margins but that sales prospects for its existing product agreement with NEC on three-dimensional games parts looked promising.

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