- Taiwanese optical disk drive industry volume growth was extremely pronounced in the fourth quarter of 2003, with shipments growing 27.1% year on year to reach approximately 27 million units in the fourth quarter of 2003. ASP (Average Selling Price) increased from US$34.1 in the third quarter of 2003 to US$35.3 in the fourth quarter, while shipment value grew 30.1% year on year to reach US$964 million.
During the fourth quarter of 2003 shipment value growth outpaced that of shipment volume for the first time since the second quarter of 2002, displaying a shift in Taiwanese product mix toward higher-end models. Share of high unit price DVD recorder drives increased, while share of lower unit price DVD-ROM and CD-ROM fell.
Share of DVD recorder drive shipments grew from 4.1% in the third quarter of 2003 to 9.2% in the fourth quarter as a result of Taiwanese makers closing the lag behind leading Japanese makers on drive write speeds to between one and two months. Furthermore, with intense price competitiveness and steady shipments from optical pickup head suppliers, DVD recorder drive shipments grew 126% sequentially in the fourth quarter of 2003. DVD recorder drive ASP was three times higher than the Taiwanese optical disk drive industry average, hence yielding the rapid gains in shipment value.
Historically, the onset of the seasonal downturn in the optical disk drive does not occur until March. Combined with continuing new rollouts such as 12x write speed models and dual layer DVD recorder drives, as well as a flood of orders from OEM (Original Equipment Manufacturer) customers, DVD recorder drive shipment share will continue to climb. The outlook for the first quarter of 2004 is hence optimistic, and Taiwanese optical disk drive shipment volume is anticipated to reach close to 28 million units.