Lifting the Lid: New accounting technology gets cold shoulder

Iria · Jan 22, 2006, 11:44 PM

SAN JOSE, Calif, Jan 20 (Reuters) - A revolutionary technology that could standardize the way corporate results are reported and speed up trading decisions is facing a big problem -- few people are interested.

The technology, known as XBRL or Extensible Business Reporting Language, has been around for about eight years and is touted as a development as important for financial reporting as the bar code was for retail pricing. It works by labeling financial information with computer-readable tags so regulators, investors, managers and other stakeholders can make apples-to-apples comparisons in financial statements.

XBRL has the support of about 400 organizations, including some of the biggest players on Wall Street and in Silicon Valley, as well as a ringing endorsement from U.S. Securities and Exchange Commission chairman Christopher Cox.

But despite five years of marketing, few companies are using the technology and investors are not exactly clamoring for it. Only about 200 people showed up at an XBRL convention this week in San Jose, where it was clear much of the investment community and corporate America are giving the technology the cold shoulder.
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Read More / Source: Reuters

Jan 22, 2006, 11:44 PM	#1
Iria DriverHeaven Extreme Member Join Date: Apr 2004 Posts: 7,275 Rep Power: 89	Lifting the Lid: New accounting technology gets cold shoulder SAN JOSE, Calif, Jan 20 (Reuters) - A revolutionary technology that could standardize the way corporate results are reported and speed up trading decisions is facing a big problem -- few people are interested. The technology, known as XBRL or Extensible Business Reporting Language, has been around for about eight years and is touted as a development as important for financial reporting as the bar code was for retail pricing. It works by labeling financial information with computer-readable tags so regulators, investors, managers and other stakeholders can make apples-to-apples comparisons in financial statements. XBRL has the support of about 400 organizations, including some of the biggest players on Wall Street and in Silicon Valley, as well as a ringing endorsement from U.S. Securities and Exchange Commission chairman Christopher Cox. But despite five years of marketing, few companies are using the technology and investors are not exactly clamoring for it. Only about 200 people showed up at an XBRL convention this week in San Jose, where it was clear much of the investment community and corporate America are giving the technology the cold shoulder. ____________ Read More / Source: Reuters