DVD disc prices set to jump 10%

Leading manufacturers of optical discs in Taiwan plan to raise quotations for DVD+R/-R discs by an average of 10% next quarter, though any increase in their gross margins will be countered by the increasing cost of optical-grade polycarbonate (PC) to US$ 3.5 per kilogram (kg), according to sources at the makers.

Leading manufacturers of optical discs in Taiwan plan to raise quotations for DVD+R/-R discs by an average of 10% next quarter, though any increase in their gross margins will be countered by the increasing cost of optical-grade polycarbonate (PC) to US$ 3.5 per kilogram (kg), according to sources at the makers.

After hovering for several months at a record-high price of US$ 3.5/kg, the price of optical-grade PC dropped to US$ 3.2-3.3/kg in April of this year. However, the price has recently pushed back up to US$ 3.5/kg, as Benzene, an important material for PC production, has seen its price jump on rising oil prices, the sources explained.

In related news, optical-disc makers CMC Magnetics, Prodisc Technology, Gigastorage and Lead Data all recently stated that they will not deal out any dividends for their 2004 operation.

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