MP3 Players

The growing worldwide popularity of MP3 players is driving suppliers in mainland China and Taiwan to boost production dramatically.
By the end of 2005, the region's manufacturers will ship over 53 million units, more than twice their 2004 output. Most of this increase will be for flash players.

With profiles of 63 suppliers, this report will help you identify the producers that best meet your needs — and best help you maintain a competitive edge.

Plus, you will get a comprehensive industry overview, a gallery of 240+ export models and more — all designed to help you source more effectively than ever before.

What you'll get

In-depth profiles of 25 major suppliers with critical details on production capacities, export markets, quality standards and new products. Based on personal factory visits and interviews with senior managers, this information is available nowhere else

Brief profile tables of 38 additional producers, with key information such as manufacturing processes, sales/export capabilities and R&D plans

A product gallery of 244 of the most popular export MP3 players with key specifications and full-color pictures

The results of Global Sources' latest supplier survey, forecasting production trends for 2005 and beyond

This report covers: 128MB flash, 256MB flash, HDD and variable memory MP3 players

How you'll benefit

Identify different manufacturers' technology partners and see how those partnerships impact product quality

Narrow down your supplier choices with a clear understanding of the specific buyer profiles and export markets served by leading MP3 player manufacturers

Stay ahead of your competition by being among the first to know which makers are rolling out cutting-edge and feature-rich models for the coming year

Benefit from quick-to-use summary listings covering all featured suppliers, with easy-to-compare statistics, as well as verified contact details

Executive summary

The global MP3 player industry achieved more than 100 percent growth from 2003 to 2004, producing an estimated 35 million units in 2004, in both flash memory and hard disk drive (HDD) types.

Mainland China produced around 10million units in 2004 and is projected to have a 30-million unit output in 2005.Taiwan produced 14.75 million MP3players in 2004 and expects an output of23.5 million units in 2005.

This report covers 63 companies:38 from mainland China, 15 from Taiwan, nine from South Korea and one from Hong Kong. Roughly 12 percent of the 500-odd makers in the four regions.

Analyses presented in this report are based on information provided by the respondent companies. Among the findings are:

Production centers
Guangdong province, specifically the city of Shenzhen, is the manufacturing hub of MP3 players makers from mainland China, Hong Kong and Taiwan. Eighty-one percent of surveyed mainland Chinabased companies have production facilities in Guangdong.

For Taiwan-based respondent companies, 48 percent have factories in Guangdong, while 24percent maintain production facilities in Taipei.

Suwon, in Gyeonggi province, is the main production hub for makers based in South Korea.

Manufacturing capability
The average MP3 players monthly output of makers interviewed are2.8 million units in mainland China and Hong Kong, 308,000 units in Taiwan and 148,000 units in South Korea. Around 3.1 million units of flash MP3 players and over 172,000units of HDD MP3 players are produced by these makers monthly.

Most mainland China, Hong Kong, South Korea makers have been in the manufacturing business for around six to 10 years. More than half of Taiwan makers have over10 years of manufacturing experience.

Component sourcing
Main components used in MP3 players — such as ICs, flash memory cards, HDDs, LCDs and PCB cards — are mainly sourced from mainland China, and South Korea. Makers forecast a decrease in the prices of main components in the second half of 2005.

Mainland China is the primary source of raw materials such as plastic, aluminum and acrylic. More than 50 percent of the surveyed companies expect prices of raw materials to increase by at least 10 percent in the coming months.

Exports
In 2004, mainland China exported six million units of MP3 players while Taiwan exported 11.1 million units.

Among the surveyed makers, those in mainland China and Hong Kong exported more than US$422 million worth of MP3 players in 2004.Exports from those in South Korea amounted to US$113 million, and thosein Taiwan reached over US$48 million.

Taiwan's export of MP3 players accounted for over 80 percent of its sales revenue in 2004. In mainland China and Hong Kong, it accounted for 20 to 80 percent, and in South Korea, it accounted for 50 percent to 80 percent.

Industry overview

The global MP3 player industry experienced a 118 percent growth from 2003 to 2004. The Market Intelligence Center (MIC) in Taiwan conservatively estimates that 35 million units of MP3 players (HDD and flash) were produced in 2004. The MIC study elaborates that in 2004, the global production of HDD MP3 players grew by 292 percent; while that of flash MP3 players grew by 85 percent.

Though the MIC report says that the fast-paced MP3 player growth will slow down in 2005, it still forecasted a 61 percent growth for the industry. The volume of HDD MP3 players produced is projected to grow by 76 percent, while the volume of flash MP3 players is set to grow by 55 percent.

According to Global Sources' research, there are around 200 companies making MP3 players in mainland China. The mainland's estimated output in 2004 is 10 million units, six million of which were exported. In 2005, mainland China is projected to produce 30 million units of MP3 players, 25 million of which are for export. In Hong Kong, meanwhile, there are around 140 MP3 player makers.

In Taiwan, there are 80 flash MP3 player makers and five HDD MP3 player makers according to MIC. In 2004, Taiwan makers produced 14.75 million units of MP3 players, 11.1 million of which were exported. In 2005, Taiwan is projected to make 23.5million units of MP3 players; with 17.6million units for export. For 2006,MIC forecasts that Taiwan will have an output of 30.5 million MP3 player units; with 23 million units for export.

In South Korea, there are between 50 and 100 MP3 player makers.

Sixty-three MP3 player makers
This report provides an overview of the manufacturing and export capabilities of MP3 player makers in mainland China, Hong Kong, Taiwan and South Korea.

A total of 63 companies were interviewed for this report: 38 from mainland China, 15 from Taiwan, nine from South Korea and one from Hong Kong.

For 25 of these respondent companies, Global Sources researchers developed in-depth profiles by conducting face-to-face interviews with the company's key officials, touring their factories and observing manufacturing processes firsthand.

The 38 other featured MP3 player manufacturers provided Global Sources with key information on their current production capacity, export and price trends as well as their production, export and price projections for the rest of 2005 and beyond.

In this report, Global Sources analyzes data based on the information provided by respondent makers.

Guangdong is MP3 player center
For the mainland China and Hong Kong makers in this report, Guangdong province is the center of MP3 player manufacturing, hosting 81 percent of the respondent companies' production facilities.

Guangdong province, especially in Shenzhen, is a major electronics manufacturing hub in mainland China. In the last 20 years, it has developed mature supporting industries that complement electronics industries.

This ensures the availability of such services as mold design and mold making, plastic injection and SMT. IC solution providers are also on hand.

Samples of supplier profile

ADLO Electronic Technology Co. Ltd
ADLO Electronic Technology Co. Ltd was established in 1994 as a privately owned company, with 60 percent of its capital coming from mainland China investors and 40 percent from Hong Kong investors.

The company, which produces MP3players, is part of the bigger Guangdong ADLO Group and is headquartered in ADLO Industrial Park, where its manufacturing facilities are also located.

The ADLO Group, founded in1981, is also engaged in the production and distribution of plastic, fashion, metal and chemical products.

The group is reputed to be one of the largest manufacturers of language repeaters in mainland China, and the largest production base for motorcycle carriers and helmets in Southeast Asia.

In 2004, ADLO's total sales of all products stood at $22 million.

This year, it hopes to post total sales of $33 million. It also expects its exports to grow from $11.66 million in 2004 to $17.49 million in 2005.

The domestic market receives 47percent of ADLO's products, while 53percent are shipped out to overseas markets via Shunde. ADLO's export markets include Oceania, which get 15 percent, North America, another 15 percent, and Western and Eastern Europe, which share the remaining 70 percent. To further promote its products, ADLO takes part in major trade shows, such as the HK Electronics Fair and IFA.

Manufacturing capability
ADLO has a total workforce of 560 employees, 430 of which are directly involved in production.

Of the company's 10,000sqm of factory space, 3,000sqm are allotted specifically for MP3 playerproduction.

ADLO's monthly capacity, in-house and outsourced, is 60,000 units, while its average monthly production for2004 was 58,000 units, with a total of 700,000 units for the whole year.

The company has two production lines with an estimated $5 million worth of machines and equipment.

Of all the processes for MP3 production, ADLO only outsources SMT and a portion of cosmetic designing.

The company's mold-making process is done in-house by a subsidiary company of the ADLO Group.

The mold-tooling factory is equipped with three EDM machines, two CNC machining centers, some milling machines, drill presses and grinding machines.

Plastic-injection molding is also done by a subsidiary company using 23 sets of Zheng Xiong-brand plastic injection machines with a production capacity from 80 tons to 800 tons. This process includes painting and silk printing procedures.

Mainboard assembly and insertion, meanwhile, is done with two manual insertion lines manned by 35 workers and one hot air reflow soldering machine per line, where workers carryout supplemental insertion and soldering after the outsourced SMT process.

The rest, including PCB subassembly, burning of the drive program, QC, and R&D, are likewise done in-house.

Sample of product gallery

MP3 Players (128MB) Baitu Model name: HY737 FOB price (US$): 31 Product approval: CE Dimension (mm): 80 x 27 x 25 Audio formats: MP3, WMA Embedded memory: 128MB RAM Removable memory: CF, SM, MMC, Memory Stick Power source: 1xAAA/5V DC input Inputs / Output: Composite video Other features: FM tuner, LED

And more... To see the full Executive Summary order now .

Global Sources Industry-specific China Sourcing Reports

All this column of information contained in China Sourcing Reports is the result of original, independent and impartial research conducted by Global Sources analysts.

If you'd like to order the China Sourcing Reports, please go to Global Sources website - http://www.globalsources.com, or click here. It is simply and convenient.