Tuesday, May 18, 2004
Royal Philips Electronics and the manufacturers in Taiwan have been discussing the possibility of changing royalty fees for licensing patents, which Philips owns for the production of CD-R discs.
Taiwanese makers stated that a final decision is not expected until June 30 or shortly thereafter. Current charges of U.S.$0.045 for each CD-R disc and U.S.$0.06 for each DVD+R disc on the Taiwanese licensees. Though the prices for OEM CD-Rs have lowered in the area of U.S.$0.15 to $0.2 for each disc, the fees have increased by 22.5% to 30% of sales.
Along with lower priced CD-Rs, Taiwanese manufacturers are influenced to believe that Philips may lower their fees. A U.S. International Trade Commission judgment in March found two Taiwanese disc producers innocent of a patent infringement as accused by Philips. Other defendants Philips had claimed of wrongdoing were Sony, Taiyo Yunden and other Japanese companies who offered lower fees to the Taiwanese manufacturers.
By: DocMemory
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