Infodisc received certification from Warner Advanced Media Operations (WAMO) for its 13.2GB (DVD-14) and 17GB (DVD-18) digital video discs and began volume production in the third quarter. Monthly capacity is currently at 600,000 units.
After the installation of six to eight new production lines by year-end, monthly capacity should rise to two million units. Shi Wang-ping, assistant director of production management at Infodisc, said the company has already secured an order for one million high-density DVD discs.
Shi said the technical threshold for the DVD-14 and DVD-18 standards is very high. WAMO transferred most of the key technology, while the Material Research Lab of the Industrial Technology Research Institute (ITRI) supplied the needed silver alloy. Infodisc claims production yield for both DVD-14 and DVD-18 discs is already up to 80%. It is still striving for a yield of 90% or higher. The quoted price for one DVD-14/DVD-18 disc is US$2, offering a gross profit margin of as much as 50%.