Lite-On IT has reportedly obtained OEM orders for half-height (H/H) DVD burners from NEC through its strategic-alliance partner Sony. If true, Lite-On IT may become the largest global maker of H/H DVD burners next year.

The sources pointed out that shipments for the OEM order are to begin in April 2006. Viewing that OEM prices for H/H 16x DVD burners have dropped to as low as US$35-40, NEC is under increasing pressure from competition and must turn to OEM production sooner or later, the sources indicated.

Taiwan Securities Investment Advisory, quoting a forecast by Japan-based Techno Systems Research (TSR), indicated that HLDS will ship 19.72 million H/H DVD burners this year, followed by NEC with 10.87 million, and Lite-On IT with 10.45 million units. If NEC releases all of its OEM orders to Lite-On IT, the latter would have a larger shipment volume than HLDS.

Source: DigiTimes