Taiwans increased production means lower cost DVD recorders

Here's some good news coming soon for consumers,
especially those busy digging tape out of their VCR machine. Taiwan is
increasing production on DVD set top recorders, while at the same
time rapidly falling prices are enticing many to make the
switch.
 This is creating a bit of a flywheel effect. The Market
Intelligence Center in Taiwan is predicting big price reductions as volumes are
way up.


The
average selling price of a basic DVD recorder in Taiwan is now around US$
180 -- still much pricier than a non-recordable DVD player at US$ 30, but
down from US $360 in mid-2003, according to Taiwan's Market Intelligence
Center (MIC).

U.S. prices start at around US$ 200 online,
while a Lite-On recorder in the UK retails at a pricier 150 pounds (US$
279).

"You had to pay more than US$ 1,000 for a DVD
recorder when it was first launched in Japan a couple years ago. Check the
price tag now and you will know why it's becoming popular," said Arthur
Lai, a technology analyst at MIC, a state-funded industry think-tank.

Lai expects prices could fall to US$ 100 in
the first half of next year.

Global shipments are estimated to climb to
47.4 million units in 2008 from 12.3 million units in 2004. Taiwan's
market share will double to 20 percent this year, overtaking 11 percent
for all of Europe, estimated MIC.

Lite-On IT, Mustek and smaller rivals like
Sampo Corp., Protop Innotech Inc. and Ya Hsin Industrial Co. are expected
to churn out a combined 3 million DVD recorders in 2004, versus 742,000 in
2003, MIC said.


Looks as though the DVD is about to give
the video tape recorders the old heave ho. So far, I still have a VCR for
recording television setting atop my trusty Pioneer DV-440 for playing back DVD
movies. But, at 100 dollars for a set top DVD recorder, those days are
about over.

Source: Reuters UK

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