DVD recorders are emerging as chief among three major digital products, including flat-screen televisions and digital cameras.
Consumers have focused on DVD recorders because of their appliances with other home user devices and gadgets, such as a digital cameras.
According to the Japan Electronics and Information Technology Industries Association, global demand for DVD recorders is
forecast to rise 150% year on year to 9 million units in 2004, and further expand 75% to 15.8 million units in 2005,
probably surpassing the expected sales of videocassette recorders.
Increasing output of DVD recorders has tightened the supply of parts for the digital product. Fuji Electric Device
Technology Co Ltd, one of the suppliers, increased output of hard disks by 30% by resuming operations of a clean room at
its Yamanashi Prefecture factory, which had been suspended due to weak demand for PCs.
Sony Corp has released a digital camcorder which uses a DVD as a recording medium because more and more consumers have
begun to edit images using a DVD recorder. The entry of Sony, which holds a 40% share of the world camcorder market, is
likely to help to ignite the popularity of DVD camcorders around the globe.