Quanta Storage, the largest maker of slim-type optical disc drives (ODDs) in Taiwan, has reportedly secured the licensed use of slim-type DVD burner patents from Sony and thereby is expected to become an OEM maker of such products for Sony NEC Optiarc.
Quanta Storage originally used slim-type ODD patents from Philips, but the
licensing contract expired in mid-October of this year and Quanta Storage
did not renew the contract with Philips BenQ Digital Storage (PBDS), a
joint venture of Philips and BenQ, which is in charge of licensing
Philips' ODD patents in Taiwan, Digitimes.com reports citing industry
sources in Taiwan.
Sony NEC Optiarc is ambitious to become the world's largest ODD supplier
by the end of 2007, but the production capacity from NEC's original ODD
business unit is insufficient to attain this goal, according to Sony
Taiwan. Quanta Storage will most likely become a large OEM maker of
slim-type DVD burners for Sony NEC Optiarc mainly due to the licensed use
of Sony patents. In addition, Quanta Storage may become a candidate OEM
maker of the Blu-ray Disc drives used in the Sony PlayStation 3, according
Lite-On IT, currently an OEM maker of half-height (H/H) and slim-type ODDs
for Sony, may lose some or all of Sony's OEM orders for slim-type DVD
burners which may go to Quanta Storage, the sources said.