HD-DVD / Blu-ray merge: Not going to happen

Ron-P

http://www.audioholics.com/news/editorials/HDDVDBlurayoneformats.php

Matsushita (aka Panasonic in the US) is flat out removing any hope (as if there was any) of the Blur-ray and HD DVD formats coming together, saying: "The market will decide."

In comments to Reuters, Kazuhiro Tsuga, an executive at Japan's Matsushita, has stated next-generation Blur-ray and HD DVD formats will never merge. "We are not talking and will not talk," he said. "The market will decide the winner."

Matsushita, for those who don't understand the importance and scope of this statement, is the world's largest manufacturer of consumer electronics. They are also a staunch (read: exclusive) supporter of Blu-ray Disc technology. Since the start of this "war of the formats", speculation has arisen as to whether the two sides can get together and come up with a united HD format. The answer (as if it wasn't obvious) is a resounding "No." HD-DVD, the competing format, championed by such companies as Toshiba and Microsoft, has released its first player (Toshiba's HD-A1) for $499. The challenge is expected to come in the form of the Playstation 3 console from Sony which will purportedly contain a BD drive.

Tsuga speculated that, while Toshiba is the first to market with HD DVD systems, the company would not be able to sustain selling HD DVD players at prices as low as $499. He estimated Toshiba is taking a loss on each unit sold. In addition, these introductory players are producing 1080i (not 1080p) output and, while stunning, are not utilizing the full potential of the 1080p-encoded high definition software. Couple this with a delay of HDMI 1.3 due to apparent DRM issues (leading to analogue output only of the newest high resolution 7.1 surround formats) and you've got a weak start at best for the HD formats. HD DVD is arriving with a bit of a whimper, instead of the bang the format could have had in the consumer electronics world.

Enthusiasts are rejoicing while most consumers are scratching their heads and ignorant of what exactly the fuss is all about.

Matsushita's Panasonic-branded Blu-ray DVD players are likely to hit the U.S. market mid-year at prices in excess of $1,000. "It's now a test of physical strength," he said, indicating Matsushita was working hard to lower production costs and see a per-unit profit on Blu-ray player sales from the start.

Schris22

Interesting. I think it's better this way anyway. Just let the market decide.


Keep enjoying your HD-DVD Ron P

Chris

venomclan

"while Toshiba is the first to market with HD DVD systems, the company would not be able to sustain selling HD DVD players at prices as low as $499."

So does this mean that they will be raising the price? Isn't that the opposite of what should happen?

If no affordable universal machine can be made within 1 year of both units hitting the street, they are both doomed. Perhaps a slow death, but doomed either way.
Venom

Ron-P

So does this mean that they will be raising the price? Isn't that the opposite of what should happen?

I highly doubt it. They may take a loss up front but they way these players are flying off the shelfs, it that keeps up, they'll go from red to black in no time.

A universal player could happen but the way I read into this, it doesn't look good. This is more about these two getting together to combine efforts and develop one format.

But, if they cannot do that, I highly doubt they each give up licensing to a mutual manufacturer to develop a universal player.

jeffwalter

I will wait out the HD battle. It really stinks that there will be 2 standards out there.

Lsi9

No one will win the battle, and both formats will eventually be compromised into a universal player...really the market for HD discs is not there, for the average joe Dvd is good enough, he won't run out to buy a new player when he wont even have a new hdtv to play it on. I know the tide is turning but I think it hasn't turned yet... In 2009 when there will only be Hd broadcasting will it be the turning point. By then who knows what else will pop up.
The SACD and Dvd-A is a very similiar study into how 2 new competing technologies fare. It is astoundingly similiar in nature to what we got going on with these new formats.

BIZILL

they had best combine technologies. i really don't want to shell out the dough for two separate players. they will inevitably cancel each other out and thus become obsolete. they had better look into conglomeration.