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Wednesday, July 11, 2001
Sony to Begin European DVD Production

Sony will become the latest Japanese electronics manufacturer to try to capitalize on the growing popularity of digital versatile disk (DVD) players in Europe by opening a production line in Hungary.

Sony said the plant will begin operation on Wednesday as part of an already existing audio-equipment plant, and it will target monthly output of 50,000 units. "We are aiming for about a 25 percent share in the global DVD market," said a Sony spokesman. The global DVD market is expected to grow by 65 percent to 28 million units in 2001/02, industry sources say.

In June, Victor Co of Japan (JVC), a rival audio and video equipment maker, said it had started production of DVD players in Europe. JVC, owned 52.4 percent by Matsushita Electric Industrial Co. Ltd., plans to produce 250,000 DVD players in the year to March 2002 at JVC Video Manufacturing Europe GmbH in Berlin for sale in Europe. JVC intends to sell 500,000 DVD players in 2001/02 in Europe, a company spokesman said. The company sold just under 200,000 units in Europe in 2000/01.

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