Price wars on hard-drive-based music player market

It looks like the price war for digital music players is coming to a full swing. For those that watched the prices for 20 GB music players, it’s worth noting that using a variety of coupons one could recently get a decent Dell DJ 20 GB for $196 with shipping. The regular price for the DJ was $249.

I am on a mailing list for a Taiwanese manufacturer, since not so long ago I wanted to get a bit into the flash memory market, after selling dozens of them on Amazon. The OEM price for a 20 GB MP3 player was just slashed to $180 in quantities above 100, and for smaller-volume wholesale buyers it’s at $190. With the expenses to ship it out of Taiwan and retail margin I’d expect the Taiwanese products to start selling for $230-250, which is right where Dell is right now.

Posted Monday, January 10th, 2005 under Entertainment, Gadgets.

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