Electronista: The supply of Blu-ray discs may be drastically inadequate for the actual demand this year, say analysts from Screen Digest. The group says that in 2008, it expects companies to want as many as 43 million discs — three times last year’s amount — for purposes such as movies and data storage. It believes, however, that production capacity will only be able to reach 60 to 70 percent of that, at least until later in the year. Sony’s DADC division is spending money on extra capacity, and hopes to produce 38 million discs per month by October.
The surge in demand is being attributed to the premature death of HD DVD, the only major competitor for Blu-ray. With just a single format to consider, electronics companies may now be feeling secure in supporting HD optical technology. Until supply matches demand, however, the public may continue paying high prices for Blu-ray discs.