Sony & Universal to cease CD production in favor of Hybrid SACD?

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Sony & Universal to cease CD production in favor of Hybrid SACD?
By Peter van Willenswaard

May 27, 2002 — Things seemed to be going well for SACD at the 112th AES Convention, held May 10-13 in Munich. The official news, announced at a Sony-Philips press conference, was that one million consumer SACD players have been sold so far. One large Dutch audio retailer even reported to me that they now sold more SACD players than CD players. The prognosis for SACD is total worldwide sales of 6 million players (in whatever form) in 2003 and 13 million in 2004.
As for making the discs, Sony has three pressing plants (in Japan, the US, and Europe), but as yet no facility for making hybrid SACD/CD discs. Sonopress (Germany), which can press hybrids, plans to double its capacity by June, and will start a second production line in September.
Now the unofficial news. I attended the AES Convention with a colleague, Hans Beekhuyzen. We ran into someone close to the SACD fire, who told us that in three months the situation would be totally different—one of the main record companies had decided to stop CD production and switch to SACD/CD hybrids for all new titles. As Sony cannot as yet produce hybrids, we concluded that the label in question had to be Universal. I contacted a source close to Philips, who, when asked, confirmed our conclusion. We then confronted Sony and Philips press people with our information. This stirred a few nerves and inspired evasive answers, but no hard denials. Hans was then contacted by a Universal spokesman, who calmly denied everything.
A few days after the Convention, we contacted someone from the record industry, who finally told us the whole story. He confirmed Universal's switch, but added that Sony Music will soon open a hybrid SACD pressing plant somewhere in the US, which will allow SACD prices to fall to around $23 or even below.
All of this finally explains the official announcement about Sonopress not only doubling its capacity but also launching that second production line. It also suggests that the record companies have decided that the CD copy-protection schemes tried out in the last few years are lost causes, and are turning to the well-protected SACD.

Lord Custos X, Friday, 31 May 2002 00:00 (twenty-three years ago)

Insert new "Oh, Jeez, not ANOTHER format I'll have to buy Loveless" Answers here.

Lord Custos X, Friday, 31 May 2002 00:00 (twenty-three years ago)

Regular cd's are already way overpriced. At $23 a pop, I'll never buy new music again. I'm already hitting the used bins as often as possible, and that generates no monetary cut for the artist, anyway. I may as well just start downloading everything while I have the opportunity.

paul, Friday, 31 May 2002 00:00 (twenty-three years ago)

The Vinyl Anachronist was right -- Vinyl will outlast CDs! Amazing.

Mark, Friday, 31 May 2002 00:00 (twenty-three years ago)

This may be a good opportunity to mention the fact that CD's are cheaper to produce than cassettes, yet the majors get away with charging more for them. Presumably once the SACD pressing plants gear up to full production, SACDs will be no more costly to produce than regular CDs, yet does anyone doubt that the majors intend to charge a premium for them?

o. nate, Friday, 31 May 2002 00:00 (twenty-three years ago)

No doubt in my mind at all. I worked one summer in a RCA/BMG cd pressing facility, and during our orientation they told us that each cd costs $0.26 to produce. That INCLUDES labor, artwork, packaging, and all the other related necessities. I wanted to vomit. Even with all the other things (recording, royalties, promotion, videos, etc.), no cd should ever break the $10 barrier.

paul, Friday, 31 May 2002 00:00 (twenty-three years ago)

each cd costs $0.26 to produce

Hm, and I currently buy blanks at $0.50 -- so they're still overcharging even there! ;-)

Ned Raggett, Friday, 31 May 2002 00:00 (twenty-three years ago)

I won't pay $23.00 for a new release. Seriously; I just won't do it. I'm sure most people will bite the bullet and just give in, and I suppose there will be some releases I'll just have to have, but in general the number of CDs I'll buy will go way, way down. This price is just out of control.

Sean, Friday, 31 May 2002 00:00 (twenty-three years ago)

These glowing prognoses for SACD are all pretty surprising to me. I haven't been monitoring this very closely, but I got the distinct impression that it had completely failed to take off (in the UK at least).

Clearly the initial niche market was audiophile (a nice little marketing campaign in which Sony rubbished the PCM-digital format they helped develop 25 years ago, gave some very misleading information about what DSD actually was, which they later contradicted). Whereas CD (leaving aside debates about sound quality, sabotage of the vinyl market, etc) at least offered something new to yr regular record-buyer (random access, portability, convenience), I'm not sure SACD does. It's multi-channel capable but I don't know how many titles are anything other than stereo. "Where are the pictures?".

From what I know of the medium, to take full advantage of the 1- bit/2.8MHz format, stuff has to be recorded in DSD (Direct Stream Digital - high-speed delta-sigma without the filtering). How many studios are geared up for this? Is there even editing hardware available that will work with DSD? Sony have been a bit sketchy on this (and on how multi-track DSD recording actually works). Sony have also (as indicated in the original article) not produced a single hybrid disc themselves.

I guess this all means the format war is underway (the DVD-A consortium bods will have nothing to do with SACD and vice versa, even though [I *think*] SACDs are physically DVDs with a different data organisation). Affordable 'universal' players on the market just now seem to play CD/DVD-*Video*/SACD -or- CD/DVD-A (could be out- of-date on this).

Michael Jones, Friday, 31 May 2002 00:00 (twenty-three years ago)

I almost bought a SACD while I was in Sydney a few weeks back.

Misha Mengelberg's Four in One. Released on the 'Songlines' label, I listened to the cd in the store, and the quality was quite amazing, but the price tag $40 AUS ($20 US) was a little too much, so I want for a Ground Zero album that was supringly just as expensive $38 Aus instead, well the Ground Zero is much more rarer.

Geoffrey Balasoglou, Friday, 31 May 2002 00:00 (twenty-three years ago)

Misha Mengelberg's Four in One. Released on the 'Songlines' label, I listened to the cd in the store, and the quality was quite amazing

A hybrid disc? Were you listening to the CD layer or did the store have the capability to play the other layer? I've still never heard one...

Live recordings direct to 2-channel DSD seem to be the ones getting the rave notices. The editing and processing involved in making a contemporary pop record seems beyond the DSD system at the mo'.

Michael Jones, Saturday, 1 June 2002 00:00 (twenty-three years ago)

It was one of the SACD playable on normal players.

Geoffrey Balasoglou, Saturday, 1 June 2002 00:00 (twenty-three years ago)

i guess it's kind of sad that the past decade or more has seen everyone recording their albums on crap 44.1KHz digital equipment, eh?

i think the labels' interest in the format is, as always, to shuffle us onto a new format where copy-control will be designed right into the format - yay!

$23 per cd, where the hell are you people shopping?! new zealand?!

your null fame, Saturday, 1 June 2002 00:00 (twenty-three years ago)

These glowing prognoses for SACD are all pretty surprising to me. I haven't been monitoring this very closely, but I got the distinct impression that it had completely failed to take off (in the UK at least).
Good point. My local record store has 2, count 'em, 2 SACDs in the whole store.

Lord Custos X, Saturday, 1 June 2002 00:00 (twenty-three years ago)

Good thing most of the music I listen to these days isn't put out by Sony & Universal.

They can keep wishing that the lid never came off, but it is done. People are going to be able to copy music at will.

I'm sure those new players have a digital output, so all one has to do is route that to a soundcard or recorder with a digital input, and volia, copy is made.

I think this is just a major karmic payback to the major labels for screwing music fans and artists since the dawn of their biz.

earlnash, Sunday, 2 June 2002 00:00 (twenty-three years ago)

Is this perhaps a neat sidestep by Sony/Universal - Philips (not Sony's corporate chums anymore?) threaten to refuse to licence the 'Compact Disc' logo on CDs copy-protected in such a way that normal playback is hampered, so Sony/Universal *replace* the CD with a different disc format which won't play on CD-ROM drives. Yes, there's a CD layer, but it's not really a compact disc - it's a two- layer DVD.

As far as I know, the digital outputs on SACD players give you a 16/44.1k signal from the CD layer (if present), but access to the raw DSD datastream is not possible. The S/P-DIF output will no doubt be SCMS-protected (=you can make a digital copy, but you can't make a digital copy of that copy). I don't think the industry is terribly bothered about real-time dubbing to CD-R (which SCMS allows but restricts proliferation), but super-fast ripping/burning in PCs/Macs (and distribution as MP3) is the target.

The main feature of SACD copy-protection is Pit Signal Processing - a kind of physical watermark which apparently doesn't survive even bit- perfect copying. Allegedly, the reconstruction of this 'key' would be pretty labour-intensive even on a fast computer *and* it's different for each title (so no global cracking like with DVD-A's scheme). The descrambling algorithm is in the player hardware. Oh, and there's a visual hologram watermark on SACDs too (like banknotes).

Somehow I doubt Sony's motivation in pushing SACD is to bring the joy of 120dB dynamic range and 100kHz bandwidth to the regular punter.

Michael Jones, Sunday, 2 June 2002 00:00 (twenty-three years ago)

Not to mention that hearing the difference between 96 dB and 120 dB response would mean listening to music at jet-engine-from-ten-feet volumes. 20 dB noise floor + 96 dB = 116 dB. 20 + 120 = 140 dB.

Siegbran Hetteson, Sunday, 2 June 2002 00:00 (twenty-three years ago)

Not to mention that hearing the difference between 96 dB and 120 dB response would mean listening to music at jet-engine-from-ten-feet volumes. 20 dB noise floor + 96 dB = 116 dB. 20 + 120 = 140 dB.

I'd agree with that, especially as we can now approach 20-bit resolution in the areas in which the ear is most sensitive with regular CD dithered and noise-shaped from high-res masters.

What interests me though is the near-Damascene conversion to shiny 5" discs from hardcore vinyl audiophiles who've taken the plunge with SACD. One could speculate all day about the reasons for this, but the lack of aggressive filtering could at least be something to do with it (or just the fact that most 'pure DSD' discs are straight to stereo live recordings, no doubt engineered with great skill, which would probably sound great on CD).

Some folks have speculated that the Fourier/Nyquist model for sampling musical signals is inadequate - that certain transients inherent in live music are aperiodic in nature and just having a sample rate that's at least twice the highest frequency is not good enough.

Back to Brazil-Turkey...

Michael Jones, Monday, 3 June 2002 00:00 (twenty-three years ago)

i wuv it when guys talk hot like this

mark s, Monday, 3 June 2002 00:00 (twenty-three years ago)

To hear hootttt quantum mechanical chat, Press 31...now.
To hear lonely sluts debate Chaos Theory while wrestling in a pool of mineral oil, Press 32...now.
To hear Stephen Hawking read excerpts from "Lady Chatterleys Event Horizon", Press 33...now.
To hear a lesbian orgy of saucy audio engineer porn queens compare and contrast different types of audio equipment...while soaping each other up in a prison shower, press 34...now.

*BEEEP* *BIIIP*

Lord Custos X, Monday, 3 June 2002 00:00 (twenty-three years ago)


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