Major optical-disc makers look to stop CD-R and DVD disc price war

December 1, 2004

GristyMcFisty used our news submit to tell us that Digitimes reports that the largest three (Ritek, CMC, Prodisc) CD/DVD
media manufacturers will no longer participate in on going price wars. These
price wars have lowered prices of CD and DVD recordables dramatically the last
few months and are lowering profits for all involved parties.

The
three companies agreed they would not participate in the optical-disc
price wars brought on by price-cutting on the part of competitors in China
and the expanding production capacity of some Taiwan makers, second-tier
Taiwan makers of optical discs stated.

Since the top-three Taiwan companies in total supply 60% of
the world's production capacity for CD-R and DVD+R/-R discs, their ability
to avoid cutting prices is expected to stop or at least slow any further
fall in the OEM prices for optical discs, the second-tier makers
indicated