"There's a couple of things we are very cautious about. One, there is not the same master application out for DVDs today than there was for CDs. Because if you look at CDs, the major drive on the adoption of CD burners was really the capability to burn music. That master application you really don't have with DVD today. Also, what concerned us in the last 18 months is the whole confusion which was out there in the market between different formats." Consumers seem to have settled on drives that are capable of burning DVD R discs that can be used in any standard DVD player. What Iomega is doing, says Heid, is avoiding some of the risks... .
" And the decision pretty much is, when is it the right time to go into the market or not. And we are definitely evaluating it and think in the long run it's going to be a good solution." There are risks to waiting as well. But Iomega wasn't the first to offer CD recordable drives either... ..but quickly became a leader in external drive sales. Bloomberg Boot Camp, I'm Fred Fishkin.