iPod nano sets off price war in Korea

The U.S. isn’t the only place where the iPod nano is shaking up the market for flash-based audio players. In Korea, the home market of many leading audio-player manufacturers, the introduction of the nano has set off a price war. With the 2GB nano priced at W230,000 (about $220), companies like Cowon have been forced to slash prices by as much as 30%. But not all Korean companies are willing to cede the homefront. Samsung has kept the price of its 2GB flash player at W380,000 (about $365) — though the company has reduced the cost of a 4GB hard-disc player to W360,000 ($346). Sony, as a foreign brand with less to lose, has also cut prices, reducing the price of the 20GB Network Walkman by 30% (of course, at this point, Sony needs to do anything it can to goose its sales, so it might have done this even without the nano).