In North America Video CDs were unable to gain acceptance as a mainstream format in
North America, chiefly because the established VHS format was less expensive, offered comparable video quality, and could be recorded over. However, DVD burners and
DVD-Video recorders were available by that time, and equipment and media costs for making DVD-Video fell rapidly. DVD-Video, with its longer run time and much higher quality, quickly overshadowed VCD in areas that could afford it. In addition many early DVD players could not read recordable (CD-R) media, and this limited the compatibility of home-made VCDs.
In Asia The VCD format was very popular throughout
Asia (except
Japan and
South Korea) in the late 1990s through the 2000s, with 8 million VCD players sold in China in 1997 alone, and more than half of all Chinese households owning at least one VCD player by 2005. However, popularity has declined over the years, as the number of
Hong Kong factories that produced VCDs dropped from 98 in 1999 to 26 in 2012. This popularity was due, in part, to most households not already owning
VCRs when VCDs were introduced, the low price of the players, their tolerance of high humidity (a notable problem for VHS tapes), easy storage and maintenance, and the lower-cost media. VCDs are often produced and sold in Asian countries and regions, such as
China,
Hong Kong,
Taiwan,
Singapore,
Malaysia,
Thailand,
Cambodia,
Laos,
Brunei,
Myanmar,
Indonesia,
Philippines,
Vietnam,
Bangladesh,
India,
Turkey,
Pakistan and
Afghanistan. In many Asian countries, major Hollywood studios (and Asian home video distributors) have licensed companies to officially produce and distribute the VCDs, such as Intercontinental Video Ltd. of Hong Kong, Sunny Video and Speedy Video in Malaysia, Vision Interprima Pictures in Indonesia, CVD International, APS Intermusic Co. Ltd and Pacific Marketing and Entertainment Group in Thailand, Excel Home Entertainment in India, Berjaya-HVN and InnoForm Media in both Malaysia and Singapore, Scorpio East Entertainment in Singapore, as well as
Viva Video, Magnavision Home Video, and C-Interactive Digital Entertainment in the Philippines. Legal Video CDs can often be found in established video stores and major book outlets in most Asian countries. They are typically packaged in jewel cases like commercial CDs, though higher-profile films may be released in
keep cases, differentiated by the VCD logo. In Asia, the use of VCDs as carriers for
karaoke music is very common. One channel would feature a mono track with music and singing, another channel a pure instrumental version for karaoke singing. Prior to this, karaoke music was carried on
LaserDiscs.
Worldwide trends VCD's growth had slowed in areas that could afford
DVD-Video, which offered most of the same advantages, as well as better picture quality (higher resolution with fewer digital compression artifacts) due to its larger storage capacity. However, VCD had simultaneously seen significant growth in emerging economies such as
India,
Indonesia and most countries in
Africa and
South America as a low-cost alternative to DVD. As of 2004, the worldwide popularity of VCD was increasing. ==Compared with VHS==