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 : Energy Conversion Devices -- Ignore unavailable to you. Want to Upgrade?

To: Allen Bucholski who wrote (2214)	9/2/1998 8:39:00 AM
From: Ray	Respond to of 8393

From the link provided by Allen, <When all is said and done, it's expected that replicators will pay as much as 25 cents per DVD in various royalty fees - a pretty stiff surcharge, considering DVD -5 replication rates have already drifted into the $1.50 range.> This is BS. Surcharges that apply uniformly throughout an industry do not change anyone's competitive position within that industry, being the same burden to all. No different than a tax. This is not to say that the members of that industry will not try to illegally evade the surcharge. However, the main problem with the "replicators" is that the value they add is so small. It is a "commodity" activity that invites hordes of competitors. Considering the $20 to $50 (?) I must pay for DVD discs, I think I get a lot for the 25 cents paid as royalties for the technology - it seems very small in comparison to the services provided by the "replicators" and others in the chain of activities providing me with these discs.