X-bit labs

Top Optical Media Makers Solidify Positions Amid Smaller Makers Lagging.

Category: Storage

by Anton Shilov

[ 09/08/2004 | 11:43 AM ]

The industry trend that crowd out smaller and less technologically-developed makers of computer-related devices is likely to strongly influence the market of DVD media, as numerous second-tier makers of bulk DVD discs can only now certify their new media products with makers of burners.

The gap between product introductions between first-tier and second-tier makers of media have existed throughout the history, however, if years ago it was about a quarter, now it stretched to about half a year, according to a report from DigiTimes, due to increasing complexity of fabrication processes.

Second-tier makers lagged first-tier makers by one to two quarters in production of CD-R, CD-RW and 4x DVD+R/-R discs, the local makers pointed out. However, for 8x DVD+R discs, the three first-tier makers – CMC Magnetics, Ritek and Prodisc Technology – passed Philips verification in March of this year, while second-tier makers including Infomedia, GigaStorage, Lead Data and Optodisc Technology only recently obtained Philips certification.

The lag of second-tier vendors is expected to be even greater with 16x DVD±R as well as DVD+R DL discs. Currently only CMC and Ritek can supply this type of media. The web-site notes that as a result of increasing technological barriers the gap in time to-market for DVD media is projected to continue widening in future.

Top-tier makers of media benefit from rapid increase in supply of high-speed DVD burners. For instance, 16x DVD±R recorders are now available from ASUS, Gigabyte, MSI, Philips, Pioneer, Sony and some other makers. Weak competition from second-tier makers also positively influences retail pricing of media from leading manufacturers allowing them to sell discs at higher costs.

It is yet to be seen whether second-tier makers will jump on the emerging BluRay media next year on time, or will continue to increase the lag with market leaders.