Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : C-Cube -- Ignore unavailable to you. Want to Upgrade?

To: Cameron Lang who wrote (45687)	10/2/1999 9:16:00 PM
From: John Rieman	Respond to of 50808

CD-VCD to reach 5-6M units near term. That's a lot of codecs......................... globalsources.com Cover story: Video CD players DVD looms large to threaten SVCD in mainland If the accelerated rate of development that has characterized VCD production in mainland China continues, DVD may become a competitive issue sooner than within the three years that many predict. An estimated 60 of the mainland's VCD producers have already released sample DVD players, and some have begun batch production. Several large foreign VCD makers have reportedly also set up joint ventures here to manufacture DVD players ? in some cases to offset their losses in the VCD market. Sales of DVD players are projected to reach 800,000 units by yearend, equivalent to about 6 percent of the market for VCD players. That's a good start, but there are still obstacles to the growth of DVD. Zhuhai Chuangqi Electronics Co. Ltd has developed its first DVD players, but has not yet moved to batch production, marketing manager Feng Yu said. "DVD players can't seriously challenge SVCD production yet ? SVCD's prices are much too good," Feng said. Most other suppliers agree that its higher prices mean DVD will be unable to establish a large market presence for at least the next six months. But the industry has been developing at an extremely rapid pace since early this year, and the number of VCD production lines being converted ready for DVD is a very clear statement of intent. Deflecting the threat Recording capability, MP3 support and Internet connectivity are the three features most frequently touted as the best ways to stimulate buyer interest in the twilight years of VCD. Several leading SVCD suppliers are known to be investing in R&D for recordable VCDs, with media reports suggesting at least six will have released prototype CD-VCRs by October. Xiamen Solid Electronics leads the pack, having already announced its first model, which uses a CD-R or CD-RW disc and MPEG-2 digital coding to record A/V signals. The potential near-term market for the product is estimated at 5 million to 6 million units. A more widely used ? and proven ? technology enables MP3 support. Panyu Vtrek Electronics Co. Ltd is building the feature into its next SVCD players, and Shenzhen Super Industrial has incorporated it into its latest player. The combination of an MPEG-2-equipped SVCD and MP3 produces what makers have already identified as a highly marketable games platform and educational multimedia product. "This has really brought a new selling point to the VCD industry," said Tian, the general manager of Shenzhen Super Industrial. VCD-ROM software is available for children and adults alike, teaching subjects such as English and mathematics, and skills training, including music lessons and home crafts. Interactive reference works, including encyclopedias, are also available.