According to DigiTimes, Taiwan's pre-recorded disc makers are facing increased competition from China. By quoting significatly lower prices, manufacturers from China have been able to land OEM orders from some of Hollywood's top movie studios.
China-based manufacturers of pre-recorded optical discs have landed OEM orders from the top eight Hollywood movie studios to make DVD movie discs, representing a growing threat to leading makers in Taiwan such as U-Tech Media and Infodisc Technology, according to industry sources.
Chinese makers used to produce pirated audio/video CD and DVD discs, with production capacities much smaller than and technologically inferior to Taiwanese disc makers, the sources pointed out. But Chinese makers have significantly improved their competitiveness through investments by Japanese makers of pre-recorded discs or through joint ventures with such makers.
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