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Politics : Formerly About Applied Materials
AMAT 317.97-2.8%Jan 20 3:59 PM EST
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To: StanX Long who wrote (63555)5/9/2002 2:02:39 AM
From: StanX Long  Read Replies (1) of 70976
 
Toshiba Cries Foul on Threat by Chinese DVD Players (Update1)
By Alan Patterson

quote.bloomberg.com

Shanghai, May 9 (Bloomberg) -- Wang Kun charges the equivalent of $35 to swap a factory-made chip in a Sony Corp. DVD player with one that can play disks meant to be shown only in North America or Europe.

From his shack on Nanjing Road, Shanghai's main shopping street, Wang is unapologetic about his role in helping scupper industry efforts to constrain piracy by restricting where and when DVDs can be played. ``Consumers in the information age want choices,'' he said.

Analysts say that kind of attitude isn't limited to freelance repairmen like Wang. It may lie behind the refusal of most Chinese makers of DVD players to pay royalties to Sony and Toshiba Corp. on patented technology. It also helps explain why Chinese companies are gaining on rivals in what El Segundo, California- based industry consultant iSuppli Corp. calls the fastest-growing consumer electronics market.

``Japanese companies' big fear is when the Chinese will take over the business,'' said Jay Srivatsa, an analyst at iSuppli who expects global sales of DVD players to quadruple by 2006 to $14 billion.
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