Despite an expected short life cycle, Lite-On IT will offer 12x DVD Dual burners later this month because the new 12x models can command higher OEM prices, according to the company"s Optical Disc Drive Business general manager Michael Gong. Lite-On IT plans to start volume production of 16x DVD Dual burners in the third quarter of this year, making 12x transitional model between 8x and 16x with an estimated life cycle of just one quarter, Gong indicated. However, 12x models will have a higher gross margin because their OEM prices of US$129-139 (depending on order volume) per burner are higher than the US$90-95 for 8x models, Gong pointed out.
In addition to 12x DVD Dual, Lite-On IT plans to offer 8x DVD+RW DL (dual-layer) in mid-April at the earliest, with the timing hinging on the availability of compatible double-layer DVD discs, Gong noted. Lite-On IT has begun production of DVD+R DL burners, with the compatible double-layer DVD+Rs imported from Mitsubishi at a price of 5,000 yen per disc, according to Gong. Mitsubishi is currently the world"s only producer of double-layer DVD+R discs, and Taiwanese makers are only expected to start making such discs at the end of this quarter, Gong added.