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Technology Stocks : WDC/Sandisk Corporation
WDC 159.73-3.8%9:52 AM EST

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To: Howard R. Hansen who wrote (27895)4/14/2005 3:49:29 PM
From: slacker711  Read Replies (2) of 60323
 
"It's a good problem to have, but we don't want to have people frustrated."

Too late....every PSP forum that I have visited has a thread talking about the fact that the 1GB Memory Stick is impossible to find. They will have zero problem selling 2GB Sticks once they hit the market.

The strategy has worked, Day said, with 20 percent to 30 percent of PSP buyers also grabbing a SanDisk card. But the company underestimated how storage-hungry those customers would be, leading to almost instant sell-outs of the highest-capacity cards, 512MB and 1GB.

"We weren't sure how popular video was going to be as a feature," Day said, noting the complex process required to convert video clips into a format the PSP can use.


Are the usage patterns really that different in Japan than in the US? Forget the video, I would think that many of the owners would be looking to put quite a bit of music on the card. Very few people are going to carry around a PSP, a cellphone and an iPod.

Oh well, it is a nice problem to have. Does anybody know the details of the arrangement with Sony? Why is a 1GB Memory Stick so much more expensive than any other format? How much could Sony be possibly be getting in royalties....

BTW, Samsung's earnings are tonight. So anybody who wants to, you have fifteen minutes to place your bets <g>.

Slacker
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