Audio devices making noise in PC markets

Electronic News, Sept 12, 1994 by Reinhardt Krause

NEW YORK -- The audio chip market is undergoing a big transition as more FM synthesis-based technology moves to PC motherboards and notebook computers and more add-in card makers eye enhanced-quality, wave table-based solutions for higher-margin products.

Yamaha, the dominant supplier of FM-synthesis chips for "Soundblaster-compatible" products, is facing a number of challenges to its estimated 90 percent market share--from digital signal processor-based platforms as well as small companies such as mixed-signal device vendor ESS Technology, Inc.

Newer sound synthesis technologies--such as "wave guide" techniques now being licensed by Stanford University--are also being evaluated by Yamaha, Crystal Semiconductor, Integrated Circuit Systems and other vendors. Meanwhile, Creative Technologies--whose board-level Soundblaster products have been the dominant platform for PC game software, is upgrading its technology offerings through its acquisition of E-mu Systems Inc., Scotts Valley, Calif.

The movement of FM-syn-thesis quality audio to PC motherboards and notebook computers is expected to pick up steam later this year and next year as vendors such as Opti and Zilog target the market with new single chip devices integrating codec and controller technologies. Sound cards typically use a mixed-signal codec, synthesizer chip and controller.

Opti's 82C930 will be announced in mid-October. Crystal, which has been the dominant player in the 16-bit mixed-signal codec market, is also readying a more integrated solution on the heels of introducing its first wave table synthesizer device last year.

ESS is about to sample its next-generation product, the 1688, which goes a step further by offering capability similar to Yamaha's OPL-3 FM-synthesis device. The 1688 is said to be Sound-blaster-Pro compatible; the company's earlier products included the ES1488 and ES688.

Despite industry rumors circulating that Yamaha is threatening to sue ESS over possible patent infringement, ESS said it is confident of its legal position and will introduce the 1688. Albert Mak, VP of marketing at ESS, said "We have OEMs that agree with our position and will ship products with our chip."

Yamaha told Electronic News it has asked ESS for samples of the 1688 to determine if they infringe any patents. Tim Lavelle, Yamaha multimedia product manager, said "We haven't seen them yet but we're suspicious. Until that doubt is removed people may not want to use their product. They are not offering indemnification as far as we know."

Related to the 1688 introduction is that Yamaha's hold on a key patent on FM synthesis--originally licensed from Stanford--expired in April, 1994. Yamaha still holds a large patent portfolio, however, and DSP vendors such as Analog Devices also are offering FM synthesis emulation on their platforms.

At stake is a growing audio content in PCs. Among PC vendors, Packard Bell is said to be shipping between 30 to 50 percent of systems with on-board sound and will move to 70 to 80 percent next year, industry sources said. Compaq has already tinkered with audio capabilities on some models for a few years, while Dell and AST are considering more audio capabilities. Intel's motherboard operation in Hillsboro, Ore. is also ready to take the plunge, according to OEM sources.

At ESS, the company is said to have customer relationships with IBM, Dell, Compaq and several Asian notebook computer makers. Yamaha said it is in discussions with a number of companies for putting a low-voltage version, the OLP-3LS, in a SOIC package, on desktop motherboards and notebook computers.

For now, FM sythesis capabilities are expected to move first to motherboards, according to several IC makers, addin board makers and PC vendors. PC makers--at a cost of $20 or so--are anxious to tap a large library of game sound effects available on FM synthesis, which is lower quality than wave table synthesis but sufficient for natural sounds. Yamaha's 16-bit OPL-3 device provides stereo audio capability, unlike the 8-bit OPL-2 which has been phased out.

Wave table synthesis, which involves embedding sound samples into ROM, targets new games such as Doom and higher-level instrumental capabilities. Because of concern over silicon real estate and cost, wave table-based solutions are not expected to migrate to the motherboard for another year or so. Among the IC vendors active in wave table are ICS, Crystal, Sierra Semiconductor and Opti.

While ICS' Turtle Beach subsidiary has been in the vanguard of vendors offering wave table-based add-in cards, it is expected to soon have much more company. But because wave table solutions are not compatible with DOS-based games, vendors are still hedging their bets. Diamond Multimedia Systems (formerly Diamond Computer), which has been marketing a wave table-based card, has rolled out a base-line product built around Yamaha's OPL-3 (EN, Sept. 5).

Wave table-only based cards, from the likes of Turtle Beach and Diamond, have until recently been priced at around $300--at least double FM synthesis-based offerings. As a result, the market penetration of wave table-based products stands at about 3-5 percent currently.