[vorbis] Re: OGG portable (iRiver iHP-120)

[Kyle Rose]

Ralph Giles <giles at xiph.org> writes:

>> How musch of that huge price tag is MP3 royalties? With an ogg encoder
>> instead of Mp3, I imagine the gaget could be alot cheaper ( and higher
>> quality!)
>
> According to http://www.mp3licensing.com/royalty/ it's US$2.50-$5.00 per 
> unit. Or 6 to 12 thousandths of the $400 retail price.

Or, about 1%.

Doesn't seem like much now, but I suspect these devices will get much
cheaper over time, so that 1% will eventually become 5% or 10%.  That
cuts a great deal into one's profit margin.

Cheers,
Kyle
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