Potential price hike seen for CD-R media

Ritek and CMC the two major CD-R manufacturers in Taiwan, have come under the eye of the patent holders for CD-R technology -- Philips Electronics, Sony and Taiyo Yuden. An increase in royalty enforcement and a decrease in the number of smaller competitors has changed the way the disc makers sell to the disc middlemen like Maxell or Memorex.

Last year, manufacturers could sell excess inventory on the spot market -- whatever the CD-Rs could sell for at that particular moment -- often dramatically below production costs, lowering overall prices at the end of the chain, said Brad Yeager, a Memorex spokesman. Today, disc makers are more reluctant to churn out CD-Rs without a sales contract in hand, because a royalty must be paid on every disc sold, he said.

As a result, Memorex's per-disc cost has increased more than 30 per cent over prices at the end of 2000. Memorex announced an increase in costs to retailers beginning 1 June, but wouldn't say how much prices will go up. Consumers should expect to see a price increase, but Yeager noted that the increase will not likely be severe.

Other disc sellers echoed the sentiment.

"From what I've been able to determine -- the higher prices are only applicable to Ritek," said Andy Marken, a Verbatim spokesman. Competitive pressure from the remaining manufacturers will keep prices down, and consumers will not likely see any serious changes in costs, he said.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Kurt Hegetschweiler

Brother PocketJet PJ-773 A4 Portable Thermal Printer

It’s perfect for mobile workers. Just take it out — it’s small enough to sit anywhere — turn it on, load a sheet of paper, and start printing.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?