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January 09, 1998 - Image 114

Resource type:
Text
Publication:
The Detroit Jewish News, 1998-01-09

Disclaimer: Computer generated plain text may have errors. Read more about this.

Business

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1998

114

*Annual percentage yield when compounded quarterly. Rate is accurate as of
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discovered that for years TV producers
have been waiting for such a system,
but no one could make it happen. The
market is huge and people all over the
world are spending billions of dollars
on it annually. It has enormous busi-
ness potential.
"Secondly, BVR's simulator tech-
nology fits this technology like a
glove. While BVR uses simulated bat-
tlefields, we do sets; when they use
throttles, we use camera movements.
It's basically the same. We had all the
components we needed for this appli-
cation and hundreds of man years had
already been incorporated into the
technology." The company was
founded in May 1994, initially with a
staff of just two. Because the core
technology already existed, develop-
ment progressed quickly. Less than a
year later, RT-Set took the technology
to the international National Ameri-
can Broadcasting show in Las Vegas.
It caused a sensation. "We came to
the show from nowhere and gave such
an impressive presentation that people
couldn't believe we were such a young
company. Overnight we were all over
the magazines," says Nachshon.
As a result of this success, an agree-
ment was signed in 1996 with Chy-
ron, a U.S. company based in Long
Island which sells broadcasting equip-
ment to TV stations worldwide. The
two companies carried out a share
swap worth $6 million. It was an
important strategic move.
Not only did Chyron introduce
RT-Set to its dealers worldwide, but it
also provided the Israeli start-up with
invaluable knowledge of the world TV
and broadcasting market.
Two more private investments fol-
lowed from the Challenge Fund,
which also has a strategic role, and the
German-based Star Fund. Together
they invested $5 million.
A rough breakdown of ownership
today shows that BVR owns nearly 60
percent of RT-Set, Chyron nearly 20
percent, Challenge 10 percent and
Star 10 percent. Employees also hold
some shares.
As a result of these investments,
RT-Set has built up a workforce of 23.
It has a wholly-owned subsidiary in
the U.S. through which it markets its
system, and dealers in Korea,
Malaysia, Taiwan, Australia, South
America, Singapore and Mexico.
RT-Set's plan is to sell not just its
product, but also its services. Cus-
tomers will buy the software and hard-
ware. RT-Set will install it, train staff,

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