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Price war could break format war deadlock

Manufacturers of high-definition DVD players are slashing prices in an urgent pre-Christmas attempt to break the deadlock between two rival formats. The price falls could accelerate an end to the damaging format war.

The cost of key manufacturing components for the Sony-supported Blu-ray players and Toshiba's rival HD-DVD hardware will fall below $150 early in 2008, analysts at Understanding & Solutions, an entertainment consultancy, forecast on Wednesday.

The stakes extend beyond disc sales and could determine whether Microsoft, Apple or Sony ultimately take control of video distribution into the digital living rooms in the future.

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bombzombie3504d ago

This article is useless. It states nothing new and doesn't advance the ball. If it had said, there will be $150 Blu-rays...okay or $59 HD-DVD players...okay...but the idea that the further the format war lingers on the more people will get used to digital downloads is just plain common-sense.

Otherwise, this article says nothing. Somebody give me bubbles for stating the obvious and saving you precious time to play games. Thanks.

Guwapo773504d ago

Bubbled as requested sir.

pwnsause3504d ago

just the fact that hd-dvd players went down to 100 dollars and yet blu-ray still defeats it just tells me that price isnt even a factor. In my opinion the factor that can decide the format war are Consoles. Please dont question me as to why I say this all you have to look at is the PS3. Were already seeing what the PS3 is doing to the Format War. It is the Tojan Horse for Blu-ray, and theres a 80% chance that a company like WB is going BD exclusive cause of the BD disc sales.

theox2g73504d ago (Edited 3504d ago )

just that bluray has a 10:1 hardware advantage and yet can only pull a 4/5:1 software advantage is also pathetic in terms of attach rates, this means hd dvd has more than twice an attach rate considering it's dead in japan and several parts of EU, maybe because ps3 is a gaming machine first, the $100-$200 hd dvd players shouldn't significantly favor hd dvd software sales because the demographic/average joes who buy those cheap a5s players are less than likely to afford $25-$30 discs, so they would rather stick with renting or standard dvds, on the other hand, people who can afford 1080p tvs and ps3s/expensive standalone bluray units are in a better financial position to afford $25 discs to push disc/sofware sales even further and raise the attach rates and ratios
I hope u get my drift here,

plus bluray has more industry support, 1080p at entry level, Disney movies, Sony pictures, more hardware manufacturer support, higher disc storage, more space on store shelves, more reach in other countries such as Australia, more BOGO sales and giveways with purchases, demographic with stronger purchasing power, more advertisement and word of mouth and a cooler interface, uncompressed audio, i could go on and on, so much more, even the name bluray sounds so much cooler like the futuristic disc format with the slogan beyond high definition whiles the hd dvd name sounds more like a mere upgrade of dvd with a high definition bonus, i even recall a best buy representative telling me that an upscaled dvd in 1080p will look better than an hd dvd movie on a sub 1080i hd dvd player,
hmm with all these advantages, shouldn't hd dvd be dead by now? or at least shouldn't disc sales be way higher in favor of bluray considering the only hd dvd exclusives worth getting this holiday are bourne and transformers versus like 8 wonderful bluray exclusives? plus the only advantage hd dvd had over bluray in features is going to be taken away with the new bluray profile which will totally screw first time adopters in the a5s and force them to get newer players to enjoy those features meaning more hardware units sold,

Bluray is winning clearly but attach rates aren't too impressive compared to hd dvd and regular dvd, hd dvd is lagging behind with a 10th of bluray's install base, weaker marketing, inferior entry level players, less shelf space, smaller disc storage and a fraction of exclusive movies and yet the software sales margin doesn't reflect these disadvantages that well, attach rates should rather be higher for bluray considering all its advantages over hd dvd not the other way around as half the attach rate of hd dvd,
it's still pretty obvious bluray would kill it, but bluray needs more support from its fans especially ps3 owners to pull way higher attach rates if it expects to even make a scratch in the dvd marketshare, also it's very good for sony that the ps3 is selling like hot cakes now so the hardware advantage over hd dvd can even widen further cos if hd dvd catches up with hardware in the slightest or even tries to break half of bluray's install base, sony might be in very big trouble with those low attach rates but that is very very very unlikely cos the ps3 will continue to sell like crazy with its 2008 game lineup, that is unless something outrageous happens like china deciding to support hd dvd with their heavy population

XxZxX3504d ago

I dont realize that's a deadlock going on in format war. All I see is one-sided pummeling.

aiphanes3504d ago (Edited 3504d ago )

HD-DVD players with 1080p support Toshiba HD-A30 are at $229...check pricegrabber.com

HD-DVD players with only 1080i support Toshiba HD-A2 are at $199...check pricegrabber.com

There are no $99 HD-DVD players to be found anywhere right now...that was a 1 day walmart sale.

The bluray players have dropped to $270 from Sony and Samsung...and they are 1080p and HDMI 1.3a....so HD-DVD standalone players are not that much cheaper than the bluray players...

Now the PS3 40GB is at $399...but you can get it at $299 if you use the Sony Card...so even the PS3 which is a profile 1.1 BD player is only $100 more than the cheapest HD-DVD 1080i only player.

This is why bluray is killing HD-DVD...there are over 7 million PS3 players out there...by next christmas there will be over 14 million PS3s out there and the standalone bluray players will be less than $150...there are more manufactures of standalone bluray players...there are only Toshiba in standalone HD-DVD players..

DARKKNIGHT3504d ago

i was gonna buy the 100 dollar hddvd player, but after comparing movie catalogs and brands i went with bluray. Plus i loved my ps1 and ps2, so naturally I was getting a ps3.

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