Monday, August 9, 2004
DVD Player Manufacturers Only Making $1 Per Unit
Posted by Jason Dunn in "NEWS" @ 04:00 PM
"Commoditization is hitting China's DVD player manufacturers hard, according to researcher iSuppli. Between January and May, the average selling price of a DVD player exported out of the Guangdong province came to $40.80, leaving just about $1 in profit margins for the manufacturers. The province accounts for 84.2 percent of China's exports of DVD players and exported 34.5 million of the players during the January to May period."
Ouch - rough business to be in! This news doesn't surprise me all that much though, because I'm constantly amazed at how inexpensive DVD players have become. At places such as Costco, I've seen DVD players for less than $50 CND - it costs more to get a VCR today than a DVD player! And the $50 DVD players are surprisingly capable as well, offering DVD/VCD/MP3 playback, JPEG display and other features that are now standard. I wonder what other consumer electronics products are next? Here's hoping it's plasma or DLP TV's. :lol:
Ouch - rough business to be in! This news doesn't surprise me all that much though, because I'm constantly amazed at how inexpensive DVD players have become. At places such as Costco, I've seen DVD players for less than $50 CND - it costs more to get a VCR today than a DVD player! And the $50 DVD players are surprisingly capable as well, offering DVD/VCD/MP3 playback, JPEG display and other features that are now standard. I wonder what other consumer electronics products are next? Here's hoping it's plasma or DLP TV's. :lol:
