Related link: http://www.sonicblue.com/company/press.asp?ID=589
In an earlier article, I gave SONICblue until May 3 to turn it around to avoid bankruptcy. Well, as it turns out, my prediction was a bit off. (I never claimed it was scientific.) SONICblue filed for bankruptcy protection Friday. This won’t affect the ReplayTV service for now. If anything, it probably makes it easier to keep it running, since SONICblue doesn’t have to pay some of their other bills.
As part of the announcement, they said that ReplayTV is being sold to D&M Holdings, the parent company of Denon and Marantz, for $40 million. I’m interested to see what the new parent company does. Is it going to keep the same basic business structure, will it change slightly, or will it change radically? The answer may depend on whether the ReplayTV business was profitable as a standalone concern, which isn’t apparent from the SONICblue financial reports.