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Fuji Seeks License for Kodak Technology

<i> Associated Press</i>

Fuji Photo Film Co. has applied for a license to use rival Eastman Kodak Co.'s Photo CD technology in Japanese photo labs, Kodak officials said.

Spokesman Paul Allen said Kodak plans to issue Fuji a license for the technology, which allows the transfer of pictures from film to compact discs.

Fuji would pay royalties to Kodak and NV Philips, which together developed the Photo CD system.

Kodak plans to start selling the system next summer, said Stephen S. Stepnes, general manager of Kodak’s Worldwide Electronic Imaging Systems.

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Stepnes said other photographic companies are also interested in using Kodak’s technology.

Once film images have been transferred to CDs they can be displayed on a television screen or manipulated on a computer.

Stepnes said no company has put forward a competitive alternative to the system.

Fuji’s license application is a sign that the Photo CD system is being accepted by the industry, said Peter Enderlin, an analyst with Smith Barney, Harris Upham & Co. in New York.

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