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Friday, January 10, 2003
Taiwan optical disc makers post rising December revenues


Three leading Taiwan-based optical discs makers posted growing monthly sales in December, thanks to the continuing US$0.01 monthly rise in CD-R disc prices. Full-year revenues, on the other hand, declined year-on-year, hurt by falling prices during most of the year amid global oversupply from Taiwanese, South Korean and Indian companies.

Ritek said the price fall should be soothed this year. The company estimates worldwide CD-R disc demand will reach nine billion units this year, on supply of seven billion units. The shortage may further drive price hikes.

Looking ahead, DVD+R discs will be the major battleground this year. At present, Ritek is the dominant supplier, holding a 78% market share in the third quarter of last year, according to Fujiwara FRLQ Report, a research firm. Ritek said its monthly output of more than 10 million DVD+R discs is barely fulfilling demand.


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