Blockbuster goes Blu-ray, HD DVD=beta?,

I taught Toshiba people in an executive program about a month ago. They worried about HD DVD losing grounds to Blu-ray. I live in Asia and increase in sales of high resolution formats has been even slower than that of US market.

The real battle ground is in the US and what is happening in Asia and Europe won't decide the eventual winner.

Although I think HD DVD is better executed technology at the moment (by small margin), my prediction is that Blu-ray will eventually win the battle.

The prediction is based on the fact that major electronics companies such as Sony, Panasonic, Samsung, and Pioneer are backing Blu-ray. This gives huge advantage in displays at electronics stores such as Best Buy. Also, Blu-ray has more exclusive titles than HD DVD.

HD DVD's advantage is low production cost of hardware and software. This advantage is reflected in low cost of HD DVD players. If Blu-ray camp reduces the cost of Blu-ray players in line with HD DVD players, this advantage will go away. I am a little surprised that Sony and other companies have not done this so far.

I admit to being startled that Hitachi is launching the first two Blu-ray camcorders this fall. I remember when Sony was the king of the camcorder, and I'm surprised that they weren't first to market with a Blu-ray Handycam.

08-08-07: Leedistad
I admit to being startled that Hitachi is launching the first two Blu-ray camcorders this fall. I remember when Sony was the king of the camcorder, and I'm surprised that they weren't first to market with a Blu-ray Handycam.

Maybe, with the crash'n'burn of Beta in the marketplace, Sony finally realized that they'll do better in the long run if they're less greedy with the hardware technology and license it to multiple vendors to establish Blu-ray as the de facto standard. Whereas Sony didn't license Beta to anyone until it was too late, Blu-ray machines are made by Philips, Samsung, Pioneer, Hitachi, Panasonic, LG, Sharp, Lite-On, and Mitsubishi.

To my knowledge, Toshiba's the only one making home theater standalone HD DVD players, though there are different vendors for HD DVD drives for computers and X-boxes, and I suppose you could give a half-manufacturing credit to LG as well.

Sony finally realizes that they want as many Blu-ray machines out there as possible, regardless of manufacture, because they hold the rights to a huge market share of the software--everything from Sony Pictures, Columbia (and Tri-Star), most of MGM, and a lot of United Artists.

I think you're right, Johnnyb53. It just strikes me as odd that Sony would not extend themselves to be first to market with a Blu-ray camcorder. You could argue that they're letting Hitachi test the waters of the market, but there's something to be said for the bragging rights that come from debuting an industry "first" and the Sony of old would have gone after that.

I had some bloggery about this, as you can imagine

As it stands, I don't have a clear picture of which way the wind is blowing, but my sense is that the teeter totter is tipping in Blu-ray's favor overall. But who knows?

Well a few comments. Asia and Europe are very important. If you all have followed the news lately, Blu ray is under investigation by a European Commission regarding their marketing techniques( ie bribery; pressure tactics) as European movie studios are adopting HD_DVD over Blu Ray for Hi Def movies due to more than one factor. The rest of the world just doesnt through money and influence around like SOny and it is causing very strong resentment.

The reason why Sony doesnt reduce pricing further is they can't do so very easily, as they lose money as it is every time a PS3 is sold. Huge losses that, frankly, are not sustainable.

As far as Walmart and Sams--yes they carry both for now--but HD-DVD has been licensed to Chinese manufacturers and 199 players for HD-DVD will arrive in time for Christmas it seems. Becuase of the mounting losses for Blu Ray and Sony- HD-DVD only needs a stalemate to win, not a victory.

As Hi Def DVD adoption rate increases ( its miniscule now) eventually everyone is gonna have to make movies in both formats in the US as far as Major Studios. Right now, Standard Def DVDs still rule, ad they are quite acceptable to most folks ( me included, although the 1080P stuff is quite incredible if you have the FP, display and player).

It is gonna be a long one, but since HD_DVD can sell players and Titles at lower pricepoints without sustaining the same level losses as Blu Ray, they should win out.

Also, Blu Ray machines need a lot of memory to do those interactive features as well as an ethernet connection. The players dont have it right now, Tosh stuff does, and as those differences come to mean something, it will only widen the gap in offereings or price or both.