Ritek and CMC increase production of double layer DVD recordables

September 28, 2005

Digitimes reports that both Ritek and CMC Magnetics are going to increase
the production of double layer DVD recordables. Ritek will expand its production
from three million to five million discs, CMC will increase the production to
two million discs where it is currently producing one million. The increase of
production should be start at the end of this year and comes due to growing
global demand of these discs.

In
addition to Ritek and CMC, Prodisc Technology and Optodisc Technology are
currently the only other makers of DVD DL discs in Taiwan, with both
producing in small volumes. Many second-tier and small Taiwanese makers of
optical discs have focused on production of 8x and 16x single-sided
single-layer DVD+D/-R discs and are unable to compete in the DL segment do
to a lack of technology and capital, both Ritek and CMC pointed out.
Consequently, their DVD DL discs are for a segmented market with higher
prices, the two companies noted.