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Thursday, July 24, 2003
CMC targets to lead in worldwide recordable DVD disc market

CMC Magnetics expects to challenge for the lead among worldwide recordable blank DVD disc makers by year-end, according to DigiTimes.

CMC plans to expand its monthly blank recordable DVD disc capacity to 16 million units in July and 30 million units by year-end, Wong said. The new plan is much more aggressive than the company’s original plan. Earlier, the company said it would expand monthly capacity to about 10 million units in the fourth quarter from six million in the second quarter.

Despite the skyrocketing capacity, prices for DVD discs from first-tier manufacturers should be maintained at around US$1.20 through the rest of the year, compared to US$0.40-0.80 for discs from second-tier providers, Wong projected. The first-tier manufacturers can command higher prices mainly due to their higher product quality, endorsed by approvals from major international brands.

Taiwan-based Ritek, the current leader among recordable DVD disc manufacturers, said it would expand its monthly recordable DVD disc capacity to 20 million units by year-end, as previously scheduled.

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