Set top DVD recorder prices fall to record lows in Taiwan

October 27, 2004

Again,
more news from DigiTimes. Lackluster sales in
Taiwan are being blamed for retail prices dropping to record low levels on
set top DVD recorders. The decreases were offered initially by second tier
Taiwan manufacturers, who reportedly cut prices over 14 percent. Some locally
made entry-level models are now selling for NT$5,990 (US$177).

Leading local brands are also cutting prices, with Sampo now
offering its entry-level models for NT$6,500 (US$192), down from NT$8,990
(US$266).

Japanese brands, including Pioneer, JVC and Panasonic, have
cut their prices from NT$26,900-29,900 (US$795-883) to NT$19,900 (US$588)
for DVD recorders and from NT$40,000-50,000 (US$1,182-1,477) to
NT$30,000-36,900 (US$886-1,090) for models equipped with a built-in 80GB
or 120GB hard disk drive.

If sales of DVD recorders do not pick up after the latest
round of price cuts, the sources expect entry-level prices to drop to as
low as NT$5,000 (US$148) by the end of the
year.

This
is rather strange as I was under the impression that DVD recorders were selling
like crazy and overtaking the venerable DVD player. I guess the Taiwan market is
not representative of the whole picture. As I take this story to indicate
that this is a local phenomenon. Maybe I am missing something
here.

Source: DigiTimes