This IDC study provides our assessment of the market for portable audio-focused hardware with compressed codec support. The study incorporates current data and 2006-2010 forecasts for MP3 player and portable media player (PMP) unit shipments and value sales.

"The China PMP market is somewhat a mess, one in which there are too many local midsize and small manufacturers squeezing their way in over the high market margins. Competition will be fierce, with a main focus on price for now," says Bryan Yuan, senior analyst, Cross-Product Team, IDC China. "Some vendors will be swept out when the PMP industry standard is set up at the end of 2006. There are other things vendors can focus on other than price competition."