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Rio Brand Closes Doors

Castar writes "In a press release today, D&M Holdings announced the end of the Rio brand. Rio had a troubled history, but were responsible for the first mass-market MP3 players as well as more recent popular players such as the Rio Karma. This closing follows the sale of Rio's IP to Sigmatel, maker of chipsets for many audio players, including the iPod Shuffle." From the release: "The company's decision to exit the Rio business followed a determination that the mass-market portable digital audio player market was not a strong enough strategic fit with the company's core and profitable premium consumer electronics brands to warrant additional investment in the category. The original goal of strategic advantage with wholly-owned and branded portable client devices was reconsidered in the context of the costs required to effectively scale and compete in this sector, where competition has grown intense. D&M Holdings will now focus all its resources on the core Premium AV business and advanced content server products."

29 of 377 comments (clear)

  1. AKA by hexghost · · Score: 4, Funny

    We got pwn3d by the iPod.

    1. Re:AKA by larry+bagina · · Score: 3, Informative
      iPods on the other hand can't live without iTunes so I am not sure how much appeal they would have in places where you cannot subscribe to its on-line store.

      iTunes can live without iTMS (the iTunesMusicStore). In fact, iTunes predates iTMS and even the iPod.

      --
      Do you even lift?

      These aren't the 'roids you're looking for.

  2. One fan sorry to see them go by bigwavejas · · Score: 4, Insightful
    The company's decision to exit the Rio business followed a determination that the mass-market portable digital audio player market was not a strong enough strategic fit with the company's core and profitable premium consumer electronics brands to warrant additional investment in the category.

    Truth is, Apple simply crushed them with superior development, product and marketing. Apple also maintains a strong market share from the popularity of Podcasting (free advertising) and the Apple Music store. Not to mention a generation that embraces the Ipod and its culture, who can blame Rio for jumping ship?

    What they did offer was a nice alternative. I owned a Rio mp3 player and functionally it worked just fine, no qualms. In fact, I enjoyed having a unique player, rather than the trendy Ipod. The problem was Rio just didn't offer any compelling "stand-out" features and the pricing was on-par with Apple's Ipod selection (which gave buyers very little reason to migrate to a Rio player).

    --
    "Simplify, simplify, simplify!" Thoreau
    1. Re:One fan sorry to see them go by radish · · Score: 4, Informative

      The problem was Rio just didn't offer any compelling "stand-out" features
      They offered several features which were compelling to me (and not found in Apple products):

      Gapless playback
      FLAC support
      Vorbis support

      That's why I don't want an iPod at any price, and why I just ordered a spare Karma in case mine (now 18 months old) ever dies.

      --

      ---- Den ene knappen er powerknapp, den andre er Bender voice knapp "Bite My Shiny Metal Ass"

    2. Re:One fan sorry to see them go by PCM2 · · Score: 4, Insightful
      The problem was Rio just didn't offer any compelling "stand-out" features and the pricing was on-par with Apple's Ipod selection
      I think you've nailed it right there. We old geezers in the audience can remember the advent of another personal audio device, the Walkman. "Walkman" was a Sony brand name. For a while, most of the portable tape players sold were Sonys. But let's face it -- they were just tape players. Pretty soon people started using the word "Walkman" as a generic term to mean any kind of portable cassette player. A lot of other manufacturers were already producing cassette mechanisms and sticking them into a smaller form factor wasn't really rocket science.

      What's more, there just wasn't all that many ways a manufacturer could distinguish itself. It was hard to compete on long battery life when every device was expected to use AAs and you had those pesky DC motors to run. Sony got another run at it with "Mega Bass" but even that feature wasn't innovative enough for Sony to corner the market. Their "Sports" models were popular for a while, with the shiny yellow impact-proof plastics. Truthfully Sony probably remained a leader, if not the leader, throughout the whole Walkman phenomenon. But at the end of the day, if you were going to go out and buy a portable tape player today you probably wouldn't care if it was made by Sony or not, and you'd still probably call it a Walkman.

      But so now you have the MP3 player market and things aren't so simple. There are more formats to consider, more gizmos you can add on to take advantage of those little CPUs and big hard drives. I personally own an iRiver player, but I have to admit that Apple's iPod UI is way superior. Apple is pretty much kicking ass in this market, and it's doing it because it came up with a solid, innovative product to begin with and there hasn't been a single other feature anyone's come up with yet that can't be had from a stock iPod or a few add-on accessories.

      It's possible that other manufacturers could put together product lines that have most of the features and appeal of the iPod and force the prices in the market ever downward. At that point, maybe the term "iPod" would effectively become generic, as well. But right now Apple has a helluva lead and I haven't seen anything that I'd expect to give the iPod a serious run for its money.

      (Oh, the reasons I went with the iRiver were OGG support and the ability to record to either WAV or MP3, including optical line-in. But iRiver has disappointed me with some of its choices, particularly in the things it promised to deliver with firmware updates but never did, choosing instead to keep cooking up new product lines to try to catch up with Apple.)

      --
      Breakfast served all day!
    3. Re:One fan sorry to see them go by Castar · · Score: 4, Insightful

      The problem was Rio just didn't offer any compelling "stand-out" features and the pricing was on-par with Apple's Ipod selection (which gave buyers very little reason to migrate to a Rio player).

      The real problem is that they didn't advertise their compelling features. Marketing was Rio's gigantic failure. They had Ogg playback, Gapless (which no one has managed to even duplicate!), an ID3 database-based storage system, really long battery life, better EQ and sound quality, and a smaller form factor. (This is all on the Karma, BTW)

      Of course, they didn't TELL anyone about those features, so is it any wonder they failed?

      --
      I yearn for you tragically. A. T. Tappman, Chaplain, U.S. Army.
    4. Re:One fan sorry to see them go by Jeff+DeMaagd · · Score: 3, Interesting

      I would put my Karma up against any iPod, any day. The only thing the iPod had over the Karma was looks. ... The iPud wins on better marketing and sexier wrapping paper.

      The thing is, most of the iPod detractors don't seem to figure in the user interface. I've tried all the different devices at Best Buy and any other retailer that has them out to play with. I pretty much concluded that most, if not all of the competitors are quite a bit more clumsy in the UI department than they need to be. I realize that there is a matter of personal preferences here but the operation and button layout often didn't seem to be as intuitive as it should be.

      The above statements don't apply to shuffle though. My sister has one, and the slider switch is poorly thought out, and I do occasionally want to know what the song name is, etc.

    5. Re:One fan sorry to see them go by bartle · · Score: 3, Interesting

      I take issue with the "product" part of that sentence. I would put my Karma up against any iPod, any day. The only thing the iPod had over the Karma was looks. In every other way, the Karma is the superior product. Just like Windows, the iPud wins on better marketing and sexier wrapping paper. *sigh*

      I looked at a lot of options when I was trying to come up with a system to play mp3s in my car and I ended up with an iPod. The adapter I bought allows me to plug my iPod into the CD changer controls on my original head unit. I can easily skip around my playlist and the iPod turns off automatically when I put in a CD or switch to radio.

      The most valuable asset of the iPod is its interface... not just it's GUI but the little connector that you can plug all manner of things into. The superiority of the iPod is quickly coming from not just what it can do but also what it can be made to do.

    6. Re:One fan sorry to see them go by martinX · · Score: 3, Insightful

      No-one gives a shit about Ogg playback except for people here.

      Since the /.ers knew the rio had Ogg playback and were deeply grateful, they all bought one, right? They didn't? They bought an iPod?? Well, looks like no-one at all gives a shit about Ogg.

      As for the other features, well they were lost in a sea of also-rans. Sorry.

      --
      When they came for the communists, I said "He's next door. Take him away. Goddam commies."
  3. One of the coolest products... by JesseL · · Score: 4, Interesting

    ...to ever fail miserably was the Rio Car. An in-dash computer for playing music, running linux on an ARM processor, with a hard drive, and ethernet - too bad it cost something like $600.

    --
    "Prefiero morir de pie que vivir siempre arrodillado!"
    1. Re:One of the coolest products... by Klaruz · · Score: 3, Interesting

      It cost something like like $600 now... (well, i think they're like $400 or so now)

      They cost like $2000+ new and they were worth it. The iPod wasn't even a glimmer in steve's eye, and there's still NOTHING like it on the market yet. CDR mp3? ha! Plug in my ipod? bah. You can have my MkII carplayer when you pry it from my cold dead hands.

    2. Re:One of the coolest products... by dfghjk · · Score: 3, Informative

      of course that was done by another company that rio bought out. empegcar I believe. Why that type of product hasn't succeeded I don't understand. Why iPod integration in cars is so crappy I don't understand either. Why the Kenwood Music Keg is so bad is hard to believe yet it is. Why can't we enjoy superior sound and usability in the car at this point?

    3. Re:One of the coolest products... by Klaruz · · Score: 3, Informative

      True, I should have mentioned that, but I wanted a short post. The guys who built it are very smart, I can still find them on the empeg bbs. The thing has a community around it that rivals other fanatical communities of dead products like the amiga.

      I realize some day I'll have to retire mine, I still brainstorm about what the perfect mp3 player for the car would be like, and it always looks something like an empeg.

  4. Proof that first to market doesn't equal success by Infonaut · · Score: 4, Insightful
    One of the mantras I heard ad nauseum during the Dot Com era was that if you can get there first, you'll get mindshare, which will lead to marketshare, which will lead to market dominance. First-movers have been shot down enough times now that everyone should recognize that being first in a market is not enough, and it can actually be a hindrance.

    Your competitors get to watch what you're doing, learn from your mistakes, then jump in at the right time. I'm not saying that being first in a market is never a good strategy, but it's long past the time for the business development people out there to wake up and recognize that if you have a first to market strategy, you'd better have an excellent plan for capitalizing on the initial advantage.

    --
    Read the EFF's Fair Use FAQ
  5. Re:Why I didn't buy by pthisis · · Score: 4, Interesting

    I bought my riocar empeg because of easy expandability. It's just a StrongArm running Linux, and I still haven't used the 2nd laptop drive bay (I have a single 40GB drive in there now).

    --
    rage, rage against the dying of the light
  6. Marketing or lack of it by Jjeff1 · · Score: 4, Insightful

    I own an Empeg. It's now several years old, but at the time, was the best tech out there for putting MP3s into a car. In fact it's still nothing to shake a stick at.

    But the empeg folks sold their outfit to rio and started working there. That was pretty much the end of the empeg. It was never really marketed by Rio, and the price never came down much. Rio pretty much let it die. It should have been a really popular product.

  7. Things may have been different by amrust · · Score: 4, Funny

    if they could have just got that "Riocasting" thing off the ground.

    --
    VOTE!
  8. Re:Thanks a lot Apple by inkswamp · · Score: 4, Informative
    You just had to kill a good market with your trendy IPods.

    That's great. There WAS NO substantial market for this stuff before Apple came along and did it in a consumer-friendly way that made it easy for non-geeks to download and buy music. They practically created the market that you're accusing them of ruining. That makes sense. I guess.

    I'd rather use a player where I am not limited to closed formats like aac.

    Silly troll. I have 1000+ songs on my iPod and it has no AACs on it. I have all mp3s that I've ripped from my own CDs or bought from (gasp!) non-Apple music stores. Try knowing what you're talking about before posting. It makes these forums a little more useful.

    --
    --Rick "If it isn't broken, take it apart and find out why."
  9. Re:Thanks a lot Apple by wazzzup · · Score: 5, Informative

    AAC is open. It's owned by Dolby Labs and anybody can license it. It is as free for licensing as mp3 is. You do realize that mp3 also requires a license?

    You're probably thinking of iTunes music store songs which is AAC in a DRM wrapper. Would you hate mp3 and call it closed if Apple managed to put a DRM wrapper around the mp3 format? Do you rail against the umpteen million models of Windows Media players out there?

    The iPod also plays mp3's. So, unless you limit digital audio to a player that plays OGG and FLAC you present yourself as not really knowing what you're talking about.

  10. Theme song for Rio's Funeral by cryptochrome · · Score: 4, Funny

    It's name was Rio and it looked good in your hand
    Until the iPod made it seem totally bland
    The loss of profit was too much for it to stand
    Oh Rio, Rio Apple killed the Rio Brand

    --

    ---If you can't trust a nerd, who can you trust?

  11. Not Surprising by GarfBond · · Score: 3, Interesting

    Between Rio's flagship MP3 player (Karma) having major reliability issues (eg hard drive, scroll wheel) and absolutely zero marketing (Rio has never run tv commercials or anything of the sort) I'm not surprised this happened. I own a Rio and while I love it, it's easy to see that switching owners three times set it back considerably and strapped it for resources, at a time when Apple's outclassing them in every visible way *and* has a giant marketing budget for the iPod.

    Farewell Rio. You made some great products, you made some poor ones, but I do love my partially-working Karma :) Seeing as how Denon is retaining the brand rights, they could very well attempt a comeback in the next decade or so when the market's matured considerably.

  12. A little secret by Overly+Critical+Guy · · Score: 4, Insightful

    People don't care about Ogg Vorbis or FLAC. They just don't. In fact the only time I see the word "Ogg" even mentioned is on Slashdot. Ogg and FLAC playback, therefore, just aren't killer features in a player. Everybody uses MP3 (and AAC).

    iPod won because it was designed extremely simply with little fluff. While other tech devices have pointless buttons, seams, and lines all over them with long names like "SONY DIGITAL XD450c," iPod was always as simple as a CD player and looked nice. The clickwheel makes it fun to use. I don't know, it just seems really obvious to me why the iPod won and competitors failed. When I go to the local store and see the iPods next to all the bizarre-looking WMA competitors that scream "tech device designed by engineers!" instead of just "music player," there really is no comparison.

    As a sidenote, it's amusing how my Wal-mart puts the iPods at the bottom on the floor shelf and hangs all the crappy alternatives above it where people can reach. They have a WMA-based music service to sell, after all.

    --
    "Sufferin' succotash."
    1. Re:A little secret by Oliver+Defacszio · · Score: 5, Insightful
      This is a fantastic post, and it's the difference between Apple and everyone else. Apple will never, ever make the absolute best of anything, but the mix of technical competence and style is what has more than tripled Apple's stock since the introduction of the iPod.

      The overdesigned problem is everywhere. I have a 2004 model Clarion CD player in my car. It works well and sounds great, but it has a whirling animated chaser on the display that doesn't appear to do anything but scream "I am technologically impressive!" It looks like a "CD is playing" icon, but continues to spin as long as a CD is physically loaded, despite the current function of the player. Since most reasonable people have a CD loaded at virtually all times, even when listening to the radio or an auxiliary input, the chaser spins relentlessly, long into the night.

      A big deal? No. Gimmicky and pointless? Yes. That LCD space could have been used to allow longer song titles without scrolling or whatever, but, instead, the geek-factor again overwhelmed practicality. If Apple designed automotive products, I guarantee this wouldn't be the case.

      Nobody says that visual appeal has to equal brutal simplicity, but I don't need to be reminded that I am living in THE 21ST CENTURY! every time I pick up a technological device.

      --

      -
      Inventor of the term 'pardon my French'.
  13. Actually... by default+luser · · Score: 4, Interesting

    It's more like this:

    Diamond Multimedia was on the road to recovery. Despite falling sales of modems, and the video card market crash after 3dfx started making their own boards (which also claimed Jazz, Hercules, Orchid and Canopus's US market, just to name a few), DMM had made smart moves into selling motherboards and, of course, the Rio.

    Then Diamond made the boneheaded decision to purchase S3. It was like they had done a complete 180...S3 was in serious trouble, and Diamond was in no position to bail them out.

    The Rio's successor was more of the same: just more built-in memory, no new features. As a result, they lost momentuum.

    Eventually, Diamond faltered under the wave of crap. S3 was sold off to VIA, and the audio division of Diamond became SonicBlue. Then ReplayTV sucked, and SonicBlue missed the boat on small hard drive mp3 players.

    So, you see the lovely lack of foundation SonicBlue has been trying to stand on. I wonder what they're going to dop now that they sell virtually nothing. Maybe sell off the name to some other company.

    Indicentally, I've noticed that the Diamond name has been revived recently, not a bad move for a distributer wanting to open a new market in the US.

    --

    Man is the animal that laughs.
    And occasionally whores for Karma.

  14. Re:Disposable computing. by RzUpAnmsCwrds · · Score: 4, Informative

    Average desktop is ~100W (Higher under load, lower at idle). That works out to 2.4KWh/day, it takes about 0.81 lbs of coal to generate a KWh of electricity (1), so a computer requires about 1.94lbs of coal to run for a day.

    "Two Circus tents" is a complete bullshit metric, and, regardless, 1.94lbs of coal @ 1.55g/cm^3 (2) equals about 568cm^3 of coal.

    In a whole year, a computer requires about 20 cubic meters of coal. That's a lot of coal, but it's still orders of magnitude less than "two circus tents".

    Oh, and, by the way - optical mice are far from "useless", and at http://www.ncgreenpower.org/elements/pdfs/Calculat or%20Methodology.pdf

    2: http://www.mcelwee.net/html/densities_of_various_m aterials.html

  15. Rio Karma: Yet to be surpassed by BlastM · · Score: 5, Informative

    In fact right now I'm listening to some FLAC-encoded music on my Rio Karma through my stereo.

    The Karma is a technical masterpiece. Any audiophile or Linux geek who doesn't own or yearn for a Karma is quite crazy.

    Reviewers and market analysts unvariably bestow the title of "iPod Killer" on a new DAP based on one or two big features. Maybe it's size, or maybe it's Ogg Vorbis playback that makes a player an iPod killer. In my opinion iPod Killer isn't a feature but an overall package. The iPod is exceptional in no particular area (except perhaps design). It is so successful because it is a solid overall package that performs everything at an acceptable level.

    The Rio Karma was the one player that, from a technical standpoint, I believed could be the iPod killer. (Of course, the marketing strength of Apple prevailed, which says a lot about the market). But technically the Karma defeated the iPod on all fronts. Ogg Vorbis and FLAC playback were the big ones, but it's the little things that really make you appreciate it as a player.

    Gapless: My Karma is getting long in the tooth, but there's nothing out there, even today, that comes close to the Karma technically. I couldn't ever go back to a player that doesn't have gapless playback (i.e. automatic elimination of the gap between subsequent MP3 files (inherrent to the MP3 format), and playing gapless Vorbis and FLAC files back gaplessly). None of the HDD players do this (if you know of one that does, please let me know! I want one!)

    97dB S:N RCA Line Out: The RCA ports on the dock provided an amazing sound on high-end equipment via the true line out. Using a 3.5mm->RCA adapter in the headphone port just isn't the same.

    100Mbps Ethernet port: Not having USB2.0 at the time I, and many others bought the Rio Karma, the ethernet port on the dock was a great way for not only uploading files quickly, but uploading them from a distance, e.g. with your Karma sitting in it's dock on the stereo or hooked up to your car stereo in the garage (using a laptop with wifi to bridge the connection).

    Java app: The Java app made uploading and managing music on Linux and MacOSX as well as Windows easy. A lot easier to download a Java app from the built-in web server than to pull out the install CD, run the install, reboot for every computer you want to upload files from (assuming it runs Windows).

    Embedded Web Server: OK this one isn't really crucial to the player (it's really cool to show off) but it sure is convenient for downloading the Java app to control the unit. The web server had a lot of unrealised potential (e.g. adding a web interface to control the player) but the Rio developers never added that, and now they never will.

    The Dock: The little marvel of a dock, included with all Karma's sold, was cool in its own right. Aesthetically it fits in with most stereo equipment better than the iPod and its dock. Not only does it have a 100Mb ethernet port, stereo RCA outputs, USB2.0 and power port, but it glows blue and flashes in time to the music!

    So to say the Karma was ahead of its time is not entirely accurate. The Karma's time never arrived.

  16. Re:Proof that first to market doesn't equal succes by nvrrobx · · Score: 3, Interesting

    But they weren't first to market with a portable mp3 player!

    There was a product called the Mp3Man put out by a South Korean company named Saehan. I worked for the US distributor of said product. I still have it in a box somewhere.

  17. Re:Disposable computing. by Kphrak · · Score: 4, Insightful

    The average computer uses as much as two circus tents worth of coal to run on any given day.

    Umm, any hard data (from an impartial site, please) for this? I'm guessing you pulled this out of your ass.

    Reason why I don't believe it is that my building has thousands of computers, usually running all the time. One circus tent, according to De Boers (warning: large PDF), is 44x44x12 meters, or somewhat less than 23,232 cubic meters Your quote means that every day a computer uses about 46,464 cubic meters of coal every day.

    To keep things in perspective, the United States produced about 2936986.3 tons of coal per day in 2003. Let's say that coal is about 52 pounds per cubic foot on average. That means we produced an average of 112,961,000 cubic feet of coal, or 3,196,796.29 cubic meters, per day. (2936986 * 2000 / 360 /52 * .0283), tons/year->lbs/year->lbs/day->ft^3/day->m^3/day)

    If my math is correct (and I did do this in kind of a hurry, so be kind), your statement would mean that only 68 computers (3196796.29 / 46464) running all year long would exhaust the yearly coal production of the United States.

    --

    There's no sig like this sig anywhere near this sig, so this must be the sig.
  18. Bough an iPod for the UI, not the looks. by SuperKendall · · Score: 3, Interesting

    I don't give a damn how a player looks.

    I bought an iPod for the UI, period. It could have looked like a spike-filled frozen turkey turning moldy and I still would have bought it.

    I actually feel embarassed I own something that looks "trendy" as you say, but I'll suffer for well-designed UI any day.

    Having briefly used a Karma I actually cannot fully understand what part of uisng that device you consider superiour to the iPod. I do of course only use my device to play music and perhaps there's some additional feature you make use of I would have no use for.

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley