Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP
Posting-Version: version B 2.10 5/3/83 based; site hound.UUCP
Path: utzoo!linus!decvax!bellcore!petrus!sabre!zeta!epsilon!gamma!ulysses!mhuxr!mhuxt!houxm!hound!rfg
From: rfg@hound.UUCP (R.GRANTGES)
Newsgroups: net.audio
Subject: Re: CD player prices are down, how about disks?
Message-ID: <1368@hound.UUCP>
Date: Mon, 23-Sep-85 13:53:26 EDT
Article-I.D.: hound.1368
Posted: Mon Sep 23 13:53:26 1985
Date-Received: Fri, 27-Sep-85 07:08:12 EDT
References: <124@ur-tut.UUCP>
Distribution: net
Organization: AT&T Bell Labs, Holmdel NJ
Lines: 29

[]
I, personally, am very pessimistic on disc prices. A year to a year and
a half ago, prices were coming down.  But two things have happened to
keep disc prices up for an indefinite period.  
1) The disc manufacturing caoacity has increased very slowly.  Plants are
allegedly very costly and they take a long costly time to work their
yields up. THere is one plant in the US which  have reached acceptable
yields by now. THere is a lot of talk about another, but so far (over a year
now) talk is about all there is.
2) Meanwhile, CDs have caught on much faster than anyone had predicted and
demand is said to exceed supply. Now that must be understood in the light
that outrageous prices are keeping that demand in check because there 
CDs in the stores - but never, it seems, the ones you want, just the same old
ones that aren't selling well.
So, if this keeps up, and you can see that from a mfrs point of view there is
every reason it should, demand will remain high, production low, prices
high and profits lucrative.
I assume, for want of better information, that the real reason for lack of
mfg plants is market control by phillips/sony who own  the patents
and (I think)  the stamping plants, and almost certainly  the 
mastering plants.
THere are allegedly rumors of newer digital processes that are going to either
replace the CD or make it much cheaper to mfr. I think thats malarkey.
Its "Why should I let anyone but me play?" at work - sez me.


-- 

"It's the thought, if any, that counts!"  Dick Grantges  hound!rfg