Boulder, Colorado-based Exabyte Corp says it is was disappointed with sharply reduced second quarter profits but is escalating efforts to reduce costs and optimise revenue: the company reported a profit of $0.08 a share in the period compared with a year earlier profit of $0.54 a share; to cut costs it plans to move its 4mm tape production to Malaysia later this year through its partner, Solectron Inc; Exabyte said costs were affected by new technologies it has acquired in the past nine months, adding that there are significant research and development activities in both the 4mm and quarter inch tape areas; in the period, research and development expenses rose to $8.1m from $5.4m in the prior year; beginning this month it is bringing all full height 8mm drive production back to the US from Japan – it has a significant Japanese content in its 8mm drives and the weaker dollar relative to the yen had hurt margins.
