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Tuesday, December 14, 2004
CMC and Ritek expect strong 16x DVD disc demand in 1Q 2005

According to DigiTimes, CMC Magnetics expects 16x DVD+R/-R discs to account for 50% of its DVD disc shipments in the first quarter of next year, while Ritek estimates its figure will be 30%

CMC and Ritek currently focus their production on DVD+R/-R 8x discs, which should account for 80%-90% of their DVD disc shipments this quarter, with the proportion of 16x discs standing at 10%-20%. Both companies anticipate significant demand for 16x DVD+R/-R discs next quarter, on increasing sales of 16x DVD burners, and are gearing up to increase output of 16x discs, Wong and Yeh indicated.

Thanks to improving yield rates for 16x DVD+R/-R disc production, the gap in OEM price between 16x and 8x discs will also decrease, and 16x will gradually replace 8x as the mainstream DVD disc technology, Wong pointed out.

In contrast to CMC and Ritek, second-tier makers are only currently shifting their production from 4x DVD+R/-R discs to 8x discs.

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