TOKYO Toshiba Corp. will set up a joint-venture company with a Tokyo-based publisher to produce and sell digital content. A mainstay of the venture will be packaged software based on SmartMedia, a Toshiba-developed flash card the size of a postage stamp. While SmartMedia has been widely accepted as a recording medium for digital still cameras, it has not yet found other strong applications.
Kadokawa Shoten Publishing Co. Ltd., which has advanced from print publishing into other forms of media production, will work with Toshiba to launch Toskadomain Co. Ltd. at the end of this month. The venture will be evenly owned by the partners, and will be capitalized with about $3 million. Then one month later, all major commercial TV broadcasters in Tokyo will join the company as investors, adding a total of $700,000 to the capitalization.
Toskadomain will have two major businesses the production of TV programs; and the production of packaged software. The company plans to distribute its digital content using Toshiba's SmartMedia technology.
"Toskadomain will be the first company to release SmartMedia-based packaged software," said Taizo Nishimuro, president of Toshiba. "It will carry the content of books and magazines so that people can enjoy [them] by just listening. The details such as the form of packaging and capacity is still to be hammered out."
Toshiba hopes to establish SmartMedia as a de facto standard for packaged software. "We have started moving slowly but steady," said Nishimuro.