CMC chairman: Blu-ray yet to be mainstream

The time for Blu-ray to gain mass penetration is yet to be seen as high royalty fees and equipment costs mean Taiwan disc makers are conservative over their deployment in the next-generation optical disc standard, said CMC Magnetics chairman Robert Wong.

Although recent sales of Blu-ray optical drives in North America have been stimulated by cut-throat pricing indicating that the Blu-ray market should deliver substantial business potential, Wong commented that experience should still prompt Taiwan optical disc makers to be conservative over their deployment. The rapid expansion of CD-R and DVD+R/-R disc production in the past, which eventually led to a drastic average selling price (ASP) drop, will likely scare off Taiwan optical disc makers, Wong said.

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