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News
iPod nano Forces MP3 Player Price Cuts in Taiwan
Wednesday, September 14th, 2005 at 3:00 PM - by Brad Cook
Vendors of flash-based MP3 players in Taiwan have been forced to cut their prices by 10-20% for 512MB models and 20-35% for 1GB versions in light of the iPod nano's release. While Apple's latest device isn't available yet in Asia, DigiTimes reports that vendors "have slashed prices to avoid stagnant sales or excess inventory due to the launch of the iPod nano."
Before the iPod nano was released, speculation ran rampant that Apple had secured very competitive prices for flash memory, which most industry watchers assumed would be used in an updated iPod mini. The iPod nano is aggressively priced compared to competing flash-based MP3 players, which has resulted in "heavy pressure on non-brand name MP3 players," according to the report.
DigiTimes is also reporting that competition in general throughout the MP3 player industry has forced approximately 200 MP3 player manufacturers in China to close their doors. Many of them were shipping products to the Taiwan market.
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