Why are some of the brand name DVD players (like Sony and Panasonic) unable to play MP3 DVDs?
Simple: they don’t build MP3 decoders and the disk file handlers into the players to reduce costs or because the player is a higher-quality unit. People who spend money for high-end DVD players are not likely to play MP3s, since the audio quality takes a real hit during the compression process. Some 90% of the data is thrown away at 128kbps. Such consumers would rather have high-quality CD playback, which most DVD players can’t manage, as well as SACD and DVD-A compatibility, missing from the vast majority of DVD players.