CMC and Ritek enjoy high margins for camcorder-use DVD discs
CMC Magnetics and Ritek are the two biggest (only few producers are able to make such discs) producers of 8cm DVD discs for use in DVD camcorders and global demand is quickly growing, according to the two companies. A single-sided single-layer 8cm DVD+R/-R disc only has a capacity of 1.64GB, Ritek noted. However 8cm DVD discs can sell for as much as five times the price as standard DVD discs.
Sony, Hitachi and Canon, JVC and Panasonic (Matsushita Electric Industrial) have launched or will soon launch DVD camcorder models. According to Japan-based consulting firm Fujiwara-Rothchild, global demand for 8cm DVD+R/-R discs will increase from 1.2 million discs in 2004 to 2.5 million this year and further to 4.0 million in 2006.
Ritek introduced their 8cm 4X DVD-R and 2X DVD-RW discs in CeBIT 2005 (image below), branded under the Traxdata name.
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Why do they use 8cm DVD+R/-R in camcorder? Well it’s very cheap solution. The DVD format is very popular and all tools for editing MPEG-2, already exist. So why not?
Source: DigiTimes
