NYNEX, Philips plan 'screen phone' systemIn another step...

COMPUTER NOTES

January 25, 1993

NYNEX, Philips plan 'screen phone' system

In another step aimed at making telephones operate more like computers, NYNEX Corp. and a unit of Philips Electronics NV said last week that they will develop a screen telephone system that will make it easier to bank and shop from home.

Users will be able to see text on a screen while simultaneously hearing directions from their bank, a catalog shopping service or other information services, such as electronic white pages.

Software giants ruled industry in 1992

The world's biggest software companies gobbled up almost three-fourths of the market during 1992, in a trend toward industry consolidation that is likely to continue.

The top five manufacturers accounted for almost 74 percent of all personal computer software revenues in 1992 -- up from 60 percent the year before, according to figures released last week by Dataquest, a high-tech consulting firm in San Jose, Calif.

By far, the biggest single share of the market -- 44 percent -- went to 1Seattle-based Microsoft Corp., maker of the DOS and Windows operating systems and other programs.

"This [consolidation] has been going on for a while, because the barriers to entry into the software business have gotten very high," said Bruce Lupatkin, a software analyst with Hambrecht & Quist in San Francisco.

Overall, software sales grew by 30 percent last year -- from $5.9 billion in 1991 to $7.6 billion in 1992, according to Dataquest.

Much of that growth was linked to the continuing switch to the Windows operating system by users of IBM-style personal computers. Consumers bought $2.9 billion worth of programs designed to run on Windows, a huge increase over the previous year's total of $849 million.

Sales of Macintosh programs also rose, from $608 million in 1991 to $932 million in 1992.

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