Expect DVD Chip Price Wars

prostoalex writes "With more companies developing the chips for DVD players the price wars might ensue. According to this DigiTimes report, 'Boosted by rising shipments, the higher price of DVD player single-chips is likely to push up the average chip price to US$9.56 in the fourth quarter from US$8.58 in the first half. However, the increasing number of chip suppliers also implies that a new price war may soon develop'. The predictions of DVD chips sales slowing down add to the expectations for price wars."

Comments

Re:Please don't call them chips

[Qrlx]

Seriously, I've given up grammer trolling, but...

Fry's. Not fries. as in Fry's Electroncis.

Don't feel bad, I ordered an old Compaq VRM from the U.K. because even after shipping it was like $30 cheaper than I could find in the U.S. I got this great email from the firm saying that "the goods have been shipped" and I was envisioning a little heroin bonus in the package.

Do the more expensive chips have more features?

[Dr. Spork]

You know, not all DVD chips are born equal. For example, some chips coming on the market, like the one from Sigma Designs, can decode MPEG-4 streams as well as MPEG-2. In my book that is a HUGE difference in usability, because it means you can play Xvid, Divx 4+ and new Quicktimes right in your living room.

And what about chips that support DVD-Audio? Jesus, how long has that format been just around the corner? As for me, I'm not buying a DVD standalone until it can play MPEG-4 and doesn't cost me much. If the established chip manufacturers are raising prices, maybe this will open a window for Sigma to get their better chips into consumer players. Hate them if you like for falsely taking credit for Xvid (I accepted their appology), but you still have to admit that MPEG-4 in the living room would rule! It's worth waiting for, in my opinion.