Ritek: prices of optical discs may bottom out in November

October 2, 2004

More optical media related news today as GristyMcFisty reports us that according to Gordon Yeh, CEO of Ritek, the well known Taiwanese optical media manufacturer, the price of optical discs is likely to bottom out in November due to decreasing competition.

Mr. Yeh said that competition will decrease as a result of a short supply of polycarbonate, the main 'ingredient' for optical media. Because of the short supply small manufacturers of media are forced to reduce or even temporarily stop production next month:

As a result, competition will relax, and prices may rise since the small makers are the main contributors to declining prices, Yeh pointed out. However, the price level will not rebound significantly until the first quarter of 2005, Yeh added.

In addition, the technology of optical discs is moving towards higher storage densities, Yeh stated. He predicted that global demand for DVD+R/-R discs will grow to 3.5-4.5 billion discs in 2005.