A cheap DVD has become one of the important factors to underpin demand for DVDs among consumers. Indeed, in the United States, some DVDs are selling at less than US$100.
On the other hand, there is a downturn in the price for software products for DVDs. Both positive factors are expected to boost demand for DVDs in 2002.
However, there is a question on whether the current strong demand would last until 2003 and onward. Given that the VTR market had peaked at 60 million units and that it will be hard for the DVD price continue declining at as rapid a pace as it is, it is likely that the growth for DVDs will slow down.