Very lately Sony understood that this is digital world and need to close CD manufacturing to survive the current competetion.

About 300 employees will be laid off once the 50-year-old Sony DADC plant in Pitman, N.J., is closed. Sony said it plans to shift CD-making operations to a facility in Indiana. The company moved DVD manufacturing from the plant about a year ago.
 



Lisa Gephardt, a Sony spokeswoman said in a statement: "In light of the current economic environment and challenges facing the physical media industry, Sony DADC is taking additional steps to reduce cost from our supply chain network in order to remain competitive."

Who couldn't see these kinds of closures coming? The music CD has become nearly extinct. The emergence of digital music and music players, as well as the rise of illegal file sharing, helped to hasten the demise of the CD as the main music distribution format.

According to Nielsen SoundScan, U.S. music sales fell 2.4 percent last year and digital track sales grew only 1 percent to 1.17 billion. But CD sales fared far worse. When it came to albums, sales of both newer CDs and catalog titles dropped by 16 percent and 23 percent respectively--these two categories also saw double-digit losses the previous year, according to the Los Angeles Times.