DAT recorders could bring new life to CE - digital audio tapes; consumer electronics - column

Discount Store News, August 21, 1989 by Peter Hisey

DAT Recorders Could Bring New Life to CE

Although retailer reaction to the news that digital audiotape recorders will reach their shelves by next spring was less than overwhelmingly enthusiastic, other industry observers said that this product has immense potential. Once a few million of the recorders reach American homes, ancillary services will become financially viable--and sales of recorders, blank tapes and music and information services could explode.

The DAT recorder is light years ahead of today's analog cassette deck. Sure, sound quality is better--much better. But more important, the decks accept digital data, not sound waves. And that has enormous implications.

Picture this. The Who, in one of the most publicized concerts of the last 10 years, play the full score of "Tommy," their rock opera, at Radio City Music Hall. Tickets sell for hundreds of dollars, and sell out within an hour. A person not lucky enough to have hundreds of disposable dollars on hand, or the spare time to wait in line for 24 hours, is just not going to see this show, no matter how rabid a fan that person may be.

Worse, there is probably not sufficient demand worldwide to justify releasing a double LP or CD of the event.

However, with DAT technology, all is not lost. By simply calling an 900 number through a modem, the consumer will be able to download a perfect digital recording of the show, as little as two hours after The Who leave the stage. A modest (or immodest) charge will be added to his phone bill, and nearly instantly, he'll have the next best thing to an orchestra ticket.

Or, imagine for a moment the plight of a classical music buff who lives in, say, Taos, New Mexico. Through a simple subscription plan, he would have the capability to capture on tape the entire season at Lincoln Center. Or an opera performance from Vienna. Or Naples. And it would all be in perfect digital sound.

These are just a couple of possible scenarios for possible uses of DAT technology. Eventually, consumers may be able to call a clearinghouse, listen to a full menu of hundreds of offerings, then choose their favorites and download them.

More important, this could meaningfully expand the music (and, hence, blank tape and recorder) market, drawing more listeners into the "heavy user" category.

Peter Brennan, vice president of a 900 service provider, Telephone Entertainment Network, was excited about the potential. "We're already fully digital," he said, "and this is an area with a lot of possibilities." Some stumbling blocks exist, of course, particularly some sort of decoding device that will allow "burst" transmission (so phone lines won't be tied up for 90 or more minutes), but Brennan added that prices for 900 service are plunging today, making the concept of electronic distribution of music, at least for certain niches, "very feasible."

It may not be the next VCR, but for electronics retailers starved for something new, DAT offers intriguing possibilities.