Magazine Article | March 1, 1999

Sorting Through CD/DVD Storage

A look at the upsides and downsides for VARs putting together CD and DVD removable storage solutions.

Business Solutions, March 1999
There's an upside and a downside for VARs putting together CD and DVD removable storage solutions. On the plus side, VARs have more choices than ever before. The choices include a variety of drives and media that can be combined to fashion tailored solutions for customers.

The confusion in the market is a direct result of the wide choices available to VARs. Consider the alphabet soup of drives and media involving CD and DVD. These include CD-ROM, CD-R, CD-RW, DVD-ROM, DVD-R, DVD-RAM, and +RW (formerly known as DVD+RW). For the record, CD-ROM is read only, CD-R is write-once, and CD-RW is rewritable. DVD-ROM is read-only, and DVD-R is write-once, and DVD-RAM and +RW are rewritable DVD products.

Sorting Through The Confusion
As you might guess, sorting through this confusion is key to providing effective solutions for customers. For VARs, putting together a successful optical storage solution depends upon four factors. These include cost, compatibility, capacity requirements, and the distribution needs of the end user.

Generally speaking, CD-based solutions provide less capacity and are less expensive than DVD-based solutions. CD-R is less expensive than CD-RW and is excellent for wide distribution. CD-RW is a bit more expensive, but it is rewritable, a feature that provides the user with greater flexibility.

DVD is more expensive than CD, but the cost is expected to drop rapidly. DVD-R is mostly a niche market composed mostly of video users who had immediate needs for high capacity removable-media storage. The manufacturers of DVD-RAM and +RW are currently fighting to establish an industry standard for rewritable DVD.

The Benefits of CD-Based Storage
I asked Cheryl Bianchi, category manager of the Storage Business Unit of Kodak's Digital & Applied Imaging Division, about the benefits of CD-based storage. She said, "CD, at 650 MBs, provides far more storage than other removable devices such as ZIP drives (at 250 MBs). There is also an installed base of approximately one billion CD-ROM drives, each of which can read CD-based media. So you have broad compatibility. And finally, the cost of CD storage is low, just pennies per megabyte."

Bianchi also pointed to the vast amount of software available to support CD-based storage. "The combination of inexpensive media, compatible drives in the field, and support software allows VARs to provide customers with a total solution for applications involving CD storage," she said.

The Future Of CD-Based Storage
What does the future hold for CD-based storage? Clearly, DVD-ROM drives are going to move into desktop PCs, replacing CD-ROM drives. However, the DVD-ROM drives will be able to read all CD formats. John O'Grady, worldwide sales manager for CD Storage at Kodak, believes CD-based storage will continue to provide value for customers into the year 2005. "It all comes down to compatibility," he said. "A lot of people are asking about DVD, and that's a solid concern. DVD-ROM drives are already moving into desktop PCs. However, these drives can read CDs. Therefore, customers who have storage needs of 650 MBs or less - and there are many - can continue to use CD-based solutions without fear of obsolescence."

Joe Pearce, president of CD CyClone Duplication Systems, sees a bright future for CD- and DVD-based storage. "CD-R drives have been coming down in price, and CD-RW media is falling into the $1 to $2 range." Don't look for CD-RW to move into PCs, however. Pearce believes that slot will be filled by DVD-ROM. "The external peripheral of choice will be CD-RW," he said.

"DVD is exciting because it will open up the market even further than CD, because all of the video people will move into the space. The market exploded from floppy duplication to CDR. This was mostly due to audio users. With DVD, video users are going to join the market. This should open up some new markets for VARs."

Mike Downing is a contributing editor to Business Solutions magazine. He is the editor of Mass Storage News, a newsletter covering trends and opportunities in the mass storage industry. He can be reached via e-mail at editor@corrypub.com.