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Thursday, February 03, 2005 1:39:38 PM
As I understand it, the media that we produce needs little, if any machining, unlike our competitors. While I gather that machining does diminish the quality of the media, it's unclear whether you can see it, at least if you're at a proper viewing distance. If it's like a flaw in a fabric that can only be seen with magnification, it might diminish the price the tailor will pay for the fabric, but I doubt if it will diminish the price of the suit.
Manufacturers may be willing to pay slightly more for CTKH media, or they may want more of it, but unless CTKH can supply all the media that they can possibly conceive of using, they won't want to limit their supplier to CTKH. From what I gather, companies like Sony, Toshiba, etc. like to have multiple suppliers of practically every component that goes into their devices that they don't manufacture in house. The media we supply may, or may not go directly to them, but regardless, you can bet they have multiple sources for getting it.
The good news is that as long as our quality remains good and our prices competitive, we can get all the business we can handle. That's a nice position to be in.
Gary
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