Sensormatic Electronics, a leading manufacturer of electronic anti-theft technology for the music business, says it will be able to meet the demand for tags so the industry can implement source-tagging by next March. Speaking Friday during the NARM Fall Conference 1999 at the Coronado Island Marriott in San Diego, Sensormatic executive Dan Cunneen told retailers that it is investing in new equipment to increase tag capacity based on record companies' manufacturing projections.

Earlier during the conference, NARM told its members that lack of tags is delaying the source-tagging process but that the situation should be rectified by January. Cunneen says projections are based on fractional tagging--one out of three--of audio CDs and 100% tagging of DVD Video (which has a high theft rate) and the new DVD Audio product coming this fall.

WEA and Sony are the only companies to announce that they are source-tagging CDs. The other