Don't Cry For Blu-Ray DVD, Sir Howie...

howard_stringer_small.jpgFor a long time Sony's Sir Howard Stringer was depressed over the Blu-ray vs HD-DVD format war. Then he was happy when he won. Now he might frown again. Because Wal-Mart is scaling back its sale of low-cost DVDs and predictions are that consumers will buy fewer DVDs of TV shows. So Wall Street forecasts that DVD spending may decline 4%-5% this year after dropping 2% last year. According to Pali Capital analyst Richard Greenfield, "Unfortunately the key Hollywood studios waited (or rather fought) far too long to unify behind one next generation DVD format (Blu-ray has now won) leading to even greater catalog DVD declines in 2008.''

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6 Comments »

  1. Until Blu Ray players are priced just above quality DVD players, they really won’t catch on. But like most new toys, the prices should start to come down in the future. But will technology have jumped past the DVD format altogether by then? Blu Ray could be have a very short stay in the marketplace.

    Comment by pb — March 11, 2008 @ 6:24 pm

  2. Wal-Mart is cutting DVD pricing because we are in a depression or close to one. Also, low priced DVD’s are most likely the $1 DVD’s that you can find just about anywhere including near the Wal-Mart checkouts. These are the DVDs that feature content in the Public Domain and any responsible retailer wouldn’t be caught selling these DVDs which are somewhat junk due to low quality picture.

    In any case, pb is right because Blu-Ray may get passed by. Right now somewhere around the world, someone is just discovering the next great video technology. In addition, DVD Recorders are falling in price quicker than Blu-Ray and it will soon be easier to record anything on DVD using a DVD-RAM drive like you used to do so with a VCR. No wonder why Wal-Mart is broadcasting sales decreases for TV on DVD. It would be much cheaper to just rent a DVD or record from the DVD Recorder brought from Wal-Mart.

    Comment by Jessy S. — March 12, 2008 @ 1:00 am

  3. who wants DVDs when you can download? the problem is the studios are behaving like the music business did in 2000 when they were preoccupied by the next big thing in physical discs (DVD Audio v SACD anyone?) and what won was digital downloads. the same thing is happening in hollywood. It’s no irony that most studios have now hired ex-music people to run their digital distribution arms. all this dragging of heels is going to result in one winner - free illegal movies on the internet.

    Comment by solowon — March 12, 2008 @ 1:30 am

  4. I’ve heard it said that Internet downloads are likely to replace DVD sales but we could just as easily see memory cards replacing them as well. People do like to have some sort of physical material.

    Many current DVD players have support for some sort of memory card, although that’s mostly for pictures. A memory card today can hold as much as a DVD does, so it’s not unreasonable. And a memory card can’t get scratched, even though it is vulnerable in other ways. However, a memory card does have portablility that DVDs don’t. And since memory cards are smaller and lighter, packing and shipping is cheaper.

    Comment by writerpatrick — March 12, 2008 @ 5:25 am

  5. Writerpatrick is half right. Memory cards are going to be the next big medium after DVDs. It is just that the technology has to be further developed. While people may want digital downloads, they are just fine for music because most files can go from about 1/2 of a MB to about 3 MB’s tops. Meanwhile, high quality video downloads can start at about 50 MB’s for maybe about a 6-8 minute clip which is about how long almost everybody in free TV goes before a commerical break. I have an about mid-grade quality version of the South Park episode “Trapped in the Closet” on my hard drive and that is 53.5 MB. That could equal 1.6 GBs for any 90 minute movie. Personally, Wal-Mart may just be scared or they know Apple might have a 90 GB Video iPod in the pipeline.

    Comment by Jessy S. — March 12, 2008 @ 7:59 pm

  6. well guys, u forget that Blu-ray is high definition. so it must go ahead!

    Comment by francesco — March 13, 2008 @ 2:27 am

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