The rubberized TF-DVD560 3.5in portable DVD player from Hong Kong-based Coby has buit-in 8-bit SEGA games.

Makers buck industry woes with thinner, more energy-efficient offerings. 7in units are still the popular choice.

Portable DVD player manufacturers in mainland China and Hong Kong are still keeping the line strong despite a dip in global shipments in 2007. To keep up with the market needs and demands, several development projects have been undertaken with new models sporting enhanced features.

Mainland China makers position their portable DVD player line as an alternative to portable media players (PMPs) and laptop PCs. The line is being marketed as superior to PMPs because it can support more file formats and has a larger screen. The mainstream portable DVD player has a 7in screen; PMPs usually have 2.5in to 4in screens. A lower price point and longer battery life are two of the highlighted features of the line vis-á-vis laptop PCs.

In Hong Kong, about 24.6 million DVD players— including portable and set-top box (STB) types—are expected to be shipped in 2007. This figure is 29 percent lower than the 34.6 million units exported in 2006, a dip mainly attributed to market saturation for STB DVD players and the limited output of portable DVD players caused by a shortage in LCD panels.

	The PDVB-700 portable DVD player from mainland China maker Shenzhen Firstop supports DVD, VCD, MP3 player, CD, SVCD amd MPEG-4 formats.

Mainland makers’ efforts are focused on reducing the thickness of portable DVD players while keeping the line’s reliability and stability. The manufacturers have successfully reduced player thickness from 50mm to 34mm and 37mm. Some models are even slimmer than 30mm. Power consumption has also been reduced.

Other main features include compatibility with more file formats. Support for USB 1.1 and 2.0 has also been added. A built-in Li-ion battery can supply power for up to 4hrs. The screen size varies from 3.6in to 10.4in, but models with 7in screens remain mainstream. Three-in-one card readers and DVB-T are usually optional add-ons.

Tak Champ International Ltd’s PD-1508 is an 8.5in portable DVD player with a 16:9 TFT screen and a USB slot. The model is compatible with DVD, DVD±R/RW, MP3, VCD, CD, HDCD CD-R/RW, MPEG-4, DivX and JPEG playback with a resolution of 480 TV lines. It boasts a TV I/O port and a telescopic antenna. It has built-in stereo speakers and headphone output.

The PDVB-700 portable DVD player from Shenzhen Firstop Technology Co. Ltd supports DVD, VCD, MP3, CD, SVCD and MPEG-4 formats. It has USB slots, a built-in DVB-T receiver and speakers, and ships with a remote control.

Xoro Electronic (Shenzhen) Ltd’s HSD2000 is a 7in portable DVD player with a card reader, USB slot and games. It can play DivX, DVD, VCD, SVCD, DVCD, MP3, CD, CD-R, DVD-R and DVD+RW formats. The model also has a 33-key remote control.

	Mainland China's Tak Champ has released the PD-1508, an 8.5in portable player with DVD, DVD+/-RR/RW, MP3, VCD, CD, HDCD CD-R/RW, MPEG-4, DivX and JPEG playback.

Coby International Ltd has developed a portable DVD player that doubles as a handheld gaming device. The TF-DVD560 has a 3.5in TFT color screen, internal stereo speakers and built-in 8-bit SEGA games, including Astro Warrior, Sonic Blast and Sonic Triple Trouble. It has a rubberized trim to endure heavy use by children and comes with digital and analog A/V outputs for seamless connection to a home theater system. Two headphone jacks for private listening are available.

Simon Trading Co. Ltd’s SDV485-B 8.5in portable DVD player with DVB-T tuner offers infrared (IR) and FM transmitters as optional add-ons for private listening with an IR headphone and for sound broadcast from in-vehicle speakers, respectively.

Welton Electronics Ltd promotes the personalization of DVD entertainment. Its Argo Cinema series comprises a wearable private viewer with 0.9MP resolution and a portable DVD player. The combination gives the experience of watching a 48in screen from 6ft away with Dolby surround sound. The viewer connects to the DVD player using an integrated A/V plug. It is also compatible with TVs, PCs, media players, iPod video players, handheld gaming devices and 3G phones. The latest version, the Argo Cinema 2, supports 3D field sequential DVD titles.

Acknowledging the millions of consumers who download movies online, many suppliers from the special administrative region have embedded a DivX codec in their latest models. One such product is Coby’s TF-DVD7377, which supports DivX playback on its 7in swivel widescreen. A similar offering from Simon Trading is the SDV1102, a 10.2in all-in-one tablet DVD player with TV tuner.

Accessories have received much attention from suppliers as well, knowing that consumers will be using their portable DVD players while on the road. Coby’s TF-DVD7060 7in portable DVD player is bundled with a headrest-mounting bag, full-function remote control and two wireless stereo headphones for the user on the go. It also comes with a Li-ion rechargeable battery, A/V cable, AC adapter and DC car adapter.

Simon Trading has climbed aboard the accessories bandwagon with its SDV485-B. The portable device, which has a DVB-T tuner, is bundled with an AC adapter, A/V cable, car power cable, earphones, digital TV antenna, remote control, headrest mount, battery pack, soft carrying bag and accessory bag.

Welton’s Argo Cinema series ships with a detachable, rechargeable Li-ion battery pack that supplies power to both the private viewer and DVD player. An eyeshade is available to block out external lighting. An AC adapter, A/V cables, iPod cable, S-Video adapter cable, VGA cable, stereo earphones, controller unit and bag are also included.

With the increasing popularity of digital photo frames and portable storage devices, more portable DVD players from Hong Kong are being outfitted with USB and memory card slots. Coby’s TF-DVD7377 has slots for USB flash drives and MMC/SD cards. Simon Trading’s SDV485-B includes a USB 1.1 port and reader for MMC, SD, MS and MS Pro cards.

By the end of 2008, Welton aims to release its next-generation Argo Cinema with SD/USB connection and built-in digital TV tuner.

Some new releases are installed with features intended to widen their market and application. For instance, a number of Simon Trading’s models have connectors at the back so that no unsightly cables are visible from the front. This makes the devices suitable for advertisement displays and other commercial applications.

One of Welton’s marketing campaigns is to promote its Argo Cinema series to dentists. The device is deemed suitable to distract patients from prolonged, painful dental procedures. Other educational and scientific applications are also being explored.

	From mainland China's Xoro, the HD2000 is a 7in portable DVD player with a 3-in-1 card reader, USB slot and game function.

Makers from mainland China and Hong Kong have suffered from the low supply of LCD panels. The price of LCD panels has been on the rise since the end of 2006, some by as much as $20. Since the screen takes about 80 percent of the total cost of portable DVD player production, suppliers are seriously considering adjusting their FOB prices.

Mainland China manufacturers are concentrating more on midrange and high-end products. The popular models with 7in screens are usually quoted at about $70. The price of 8in models is $100 while 10in models or larger are usually quoted at $140. Add-on functions such as a DVB-T and TV tuner add $15 to $20 to the final FOB price.

Mainland makers forecast that the price of portable DVD players will either stabilize or experience a 5 to 10 percent increase in the next six months. Key materials and components such as disc loaders, DVD solutions, decoder chips and ICs are in stable supply.

In Hong Kong, Welton’s Argo Cinema is priced at about $320 for a 1,000-unit order and $360 for a minimum order of 24 units. A sample unit is available for $420. Suppliers find intense competition a big deterrent to raising prices, but many have been forced to do so because of the tight supply of small LCD panels, especially for the 7in display. The cost of 7in LCD panels has risen by more than $10 since the start of 2007. Despite promises from panel makers to ramp up output, there is no certainty that supply will improve in H1 2008. Still, most suppliers hope to lower prices by about 5 percent next year to stay viable.

	Hong Kong maker Coby's TF-DVD7377 is a widesccreen 7in portable DVD player with DivX playback.

Interviewed makers face fierce competition from their rivals, making it impossible for small-scale manufacturers to survive the market. Most of the major makers offer other consumer electronic products and are capable of rendering a wide range of ODM and OEM services. Some also promote their own brands.

There are about 100 portable DVD player makers in mainland China. The leading companies in the industry are BBK, Wanlida and Shinco. The main sourcing hubs are Guangdong and Jiangsu provinces.

Most makers comply with international quality guidelines such as RoHS, CE, FCC and UL. For intellectual property rights, makers have to pay more than $2 licensing fee for each DVD player they produce.

Xoro has a factory in Shenzhen with 700 staff. The company can handle all manufacturing processes in-house, including mold making, PCB assembly, SMT, cabling, QC, final assembly and packaging. It currently produces 15 portable DVD player models. It can release three or four new models a year. All Xoro portable DVD players are exported, with Europe the biggest market at 70 percent of total overseas sales. Xoro’s capacity is 150,000 units per month, and the actual output monthly is 100,000 units. The company uses chipsets from MTK, DVD solutions from Sanyo and LCD panels from AUO. Ten percent of its sales revenue is invested in R&D efforts.

Shenzhen Firstop started producing portable DVD players in 2003. The line now accounts for 20 percent of its total sales. The company can release two new models every year. Shenzhen Firstop sources its DVD solutions from Sanyo. The LCD panels come from Sharp, Panasonic, Hitachi and LG.Philips. The company has a production capacity of 20,000 portable DVD players monthly. It handles all manufacturing processes except mold making and plastic injection, and has more than 100 staff and three SMTs. Its key export market is Western Europe. The maker uses 10 percent of its annual sales revenue on R&D.

Portable DVD players account for 25 percent of Tak Champ’s total sales revenue. The company can release two new models each year. It exports all portable DVD players to overseas markets such as the Netherlands, Belgium, Spain and France. Tak Champ sources its DVD solutions from Mitsumi, chipsets from Sunplus and LCD panels from AUO. The company has 700 staff and 10 SMTs. It can handle all manufacturing processes in-house. The company has a capacity of 400,000 units per month and the output is currently 30,000 units monthly. Tak Champ earmarks 10 percent of its annual sales revenue for R&D.

There are about 20 makers of portable DVD players in Hong Kong. Coby, Simon Trading, Skyworth, Star Light, Ngai Lik and Samwin are among the most prominent names.

Simon Trading is one of the first suppliers of tablet portable DVD players in Hong Kong. It operates a factory in Jiangmen, Guangdong, where it runs four production lines with a capacity of 100,000 portable DVD players per month. It maintains R&D centers in Taipei and Guangzhou, and maintains long-term, close relationships with major technology firms Philips, Hitachi, Sanyo, Sunplus, Sony, Broadcom and Dolby Labs. Its biggest clients include Audi, BMW, Carrefour and Thomson. The company has expanded its product range in the past two years, releasing home theater systems, karaoke microphones and digital photo frames.

Simon Trading’s LCD requirements are supplied by AUO and its ICs are sourced from Sunplus. Laser pickup and loading mechanisms are all Japan brands.

Coby’s three factories in mainland China churn out CD players, telephones, LCD TVs, MP3 players, PMPs, digital photo frames, and earphones and other accessories. It can produce 120,000 portable DVD players a month. Aside from developing the Coby brand in the United States where it has a heavy sales presence, Coby cooperates with OEM brands such as Marquant. The company uses CheerTek solutions and AUO panels.

Welton is an experienced OEM provider of A/V products, mainly hi-fi 2.1ch and 5.1ch audio systems. It has worked with major international brands such as Denon, Hitachi, Pure and Soundcraft. Its factory in Shenzhen is equipped with plastic-injection molding and automatic insertion facilities, enabling the company to produce up to 30,000 sets of the Argo Cinema per month. Welton uses Kopin solutions for its private viewers.