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

[Paul E]

>You should take about microeconomics, too ;-) I guess most of the
>manufacturers are paying similar licenses (which could go from $0 to
>$bignum). The fact is that everybody _has_ to support mp3. So every
>single competitor will have the same added cost. It's a non issue. the
>only differencing factor would be:
>a) If there's a marked difference so it creates a cartel of
>manufacturers. Which I don't think is really happening. But it could
>only be fought by the FTC (yep, sure they will :-/)
>b) By the MPEGLA that has to determine the price elasticity of the mp3
>device market. If they go too high on the royalties they are impeding
>the growth of the market. If they go too low they won't reap all the
>profit they could. But then again, it's a non issue for the
>manufacturers.
>  
>
It's funny you mention Econ, because that was last semester's classes.  
Anyway, you do have a point as far as the manufacturer goes.  But 
personally I wouldn't care to be paying $20 ($5x2x2, keystone twice) 
more for mp3 support when I don't use it.  It actually could be more if 
the licensee was the creator of the chip that supports the mp3 
playback.  It would then get increased 3 times, chip maker->mp3 player 
manufacturer->store->end user.  That $5 getting multiplied a few times 
can make a difference.  Anyway, I'm sure *most* people want mp3 support 
as they don't know anything else exists, so it is probably a prerequisite.

Paul

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