Sony has released a profits warning, citing, amongst other factors, falling DVD Recorder prices. The electronics giant reports that DVD Recorder prices are falling at 40% per year.
Sony Executive Deputy President, Katsumi Ihara told a news conference "Product prices have dropped more sharply than we anticipated and we have been unable to make up for that with cost cuts."
Sony has a reputation for building quality recorders, but they are consistently priced higher than major rivals and are a lot more expensive that the budget recorders flooding the market. Sony has also backed the Blu-Ray next-gen optical disc format which is currently locked in battle with HD-DVD to gain market share.
