Asia Optical expects to ship one million 12x optical zoom digital cameras in 2008, fast growth of camera phones to continue
Asia Optical, one of the top-four Taiwan-based ODM/OEM digital camera and CCM (compact camera module) makers, expects to start shipments of 12x optical zoom digital cameras with 10-megapixels or above in March 2008. Shipment volumes for the year are expected to achieve one million units, company chairman Robert Lai recently disclosed to Digitimes.
With the global sales volume of digital cameras in 2008 to increase by about 10% from 2007, mainly due to fast growing markets in India, China, etc., mid-range and high-end models will be focused toward higher resolutions – 10-megapixels or more, as well as the addition of more functions such as face recognition, anti-shake, ultra-wide angle and slim form factors, according to Lai.
Retail prices for entry-level digital cameras – 7-megapixel and 3x optical zoom lens – will drop to around US$99 in March-April 2008, pushing ODM/OEM prices down to US$50-60. Such ODM/OEM prices are intolerable to self-producing Japan-based vendors and therefore they will be forced to release more orders to Taiwan-based makers who can still support small ODM/OEM margins of US$2-3 on prices up to US$55, Lai said.
Viewing that 35% of digital cameras sold in the global market currently are entry-level models, Asia Optical has shifted its development focus to mid-range and high-end models to avoid low-price competition. Asia Optical is developing or will develop 10 models on an ODM/OEM basis this year, with eight models to be 10-megapixel or higher and 4-12x zoom lens models, Lai revealed.
Regarding the CCM market, camera phones accounted for over 70% of all handsets sold globally in 2007 and this proportion is expected to exceed 80% in 2008, Lai noted.
2- and 3-megapixel phone cameras will grow faster than others in terms of volume in 2008. 3-megapixel and especially 5-megapixel phone cameras will be increasingly equipped with auto-focus (AF) function, Lai predicted.
Wafer level lenses (which will enable the cost-effective production of 3-4,000 optical lenses from a single wafer) are expected to bring increasing price pressure upon makers of VGA phone camera lenses. Wafer-level lenses may completely replace VGA lenses in 2010, but will be unable to substitute relatively high-resolution – 1.3 megapixels or above – versions. Asia Optical is evaluating the feasibility of introducing wafer level lenses, Lai said.
Currently, zoom camera lenses cost at least US$20, much higher than an average of US$3 for non-zoom alternatives, Lai noted. However, despite the high cost, phone cameras with zoom functionality are worthy of pursuing if they can take up a 5% share of all handsets sold around the world. Asia Optical has been developing zoom lenses for phone cameras with thickness of less than 10mm. The company is optimistic about the market potential of zoom camera phones and will initially begin shipments in small volumes in the fourth quarter of 2008, Lai revealed.
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With the global sales volume of digital cameras in 2008 to increase by about 10% from 2007, mainly due to fast growing markets in India, China, etc., mid-range and high-end models will be focused toward higher resolutions – 10-megapixels or more, as well as the addition of more functions such as face recognition, anti-shake, ultra-wide angle and slim form factors, according to Lai.
Retail prices for entry-level digital cameras – 7-megapixel and 3x optical zoom lens – will drop to around US$99 in March-April 2008, pushing ODM/OEM prices down to US$50-60. Such ODM/OEM prices are intolerable to self-producing Japan-based vendors and therefore they will be forced to release more orders to Taiwan-based makers who can still support small ODM/OEM margins of US$2-3 on prices up to US$55, Lai said.
Viewing that 35% of digital cameras sold in the global market currently are entry-level models, Asia Optical has shifted its development focus to mid-range and high-end models to avoid low-price competition. Asia Optical is developing or will develop 10 models on an ODM/OEM basis this year, with eight models to be 10-megapixel or higher and 4-12x zoom lens models, Lai revealed.
Regarding the CCM market, camera phones accounted for over 70% of all handsets sold globally in 2007 and this proportion is expected to exceed 80% in 2008, Lai noted.
2- and 3-megapixel phone cameras will grow faster than others in terms of volume in 2008. 3-megapixel and especially 5-megapixel phone cameras will be increasingly equipped with auto-focus (AF) function, Lai predicted.
Wafer level lenses (which will enable the cost-effective production of 3-4,000 optical lenses from a single wafer) are expected to bring increasing price pressure upon makers of VGA phone camera lenses. Wafer-level lenses may completely replace VGA lenses in 2010, but will be unable to substitute relatively high-resolution – 1.3 megapixels or above – versions. Asia Optical is evaluating the feasibility of introducing wafer level lenses, Lai said.
Currently, zoom camera lenses cost at least US$20, much higher than an average of US$3 for non-zoom alternatives, Lai noted. However, despite the high cost, phone cameras with zoom functionality are worthy of pursuing if they can take up a 5% share of all handsets sold around the world. Asia Optical has been developing zoom lenses for phone cameras with thickness of less than 10mm. The company is optimistic about the market potential of zoom camera phones and will initially begin shipments in small volumes in the fourth quarter of 2008, Lai revealed.
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