Format wars redux: Blu-ray disc vs. HD-DVD

[dkennedy]

Format wars redux: Blu-ray disc vs. HD-DVD

Opinion by Melissa J. Perenson

FEBRUARY 20, 2005 - SAN FRANCISCO - We've been down this road before. In fact, I can clearly see the ruts left behind by the wagon wheels that have already taken this path, long before Blu-ray Disc and HD-DVD ever existed. (HD stands for both High Definition and High Density.) Format wars are nothing new; but this time, the stakes are sky-high on all sides -- for Hollywood, for hardware manufacturers, and especially for consumers, who are facing a quandary akin to the Betamax-VHS battle.

Why should we care about this latest format war? Simply put, the outcome will determine the way we get high-definition entertainment content. Since Blu-ray Disc and HD-DVD are disparate and incompatible optical disc formats, the outcome will also determine what we buy to replace our living-room DVD player.

The way things are going, though, later this year two competing types of player, based on two different formats, could replace the DVD player. If HD-DVD sticks to its stated timeline, we should be seeing the first HD-DVD players by this fall. Note I say should; external factors could conspire to throw off that ambitious timeline. The estimated ship time for the first Blu-ray products is a bit further out -- end of this year, or beginning of next.

Much ado about something

At the Consumer Electronics Show in January, backers of the two formats trotted out the presentations and the proverbial dog-and-pony shows, each trying to one-up the other with product and alliance announcements. In HD-DVD's corner is the DVD Forum, the industry association that created the DVD format, and Toshiba Corp. and NEC Corp.; the Blu-ray Disc Association includes almost every major consumer electronics company, except Toshiba and NEC, which are backing HD-DVD.

But slick prototypes and familiar rhetoric aside, most media attention focused on two big-ticket content announcements -- and the fine print contained therein.

In a glossy presentation at a ritzy Bellagio nightclub, the HD-DVD camp announced support by three studios -- Paramount Pictures, Universal Pictures, and Warner Bros. Producing more than 50 movies in HD-DVD, as Warner Bros. intends to across all of its units (including HBO Home Video and New Line Cinema) is no small commitment. Nonetheless, I noticed that while some of the nearly 100 titles announced were very high-profile (including Warner's The Matrix and Harry Potter series) and Universal's The Bourne Supremacy), others were less impressive (Universal's Van Helsingand Waterworld, Warner's Catwoman and Gothika). The movie industry certainly made a flourish with these announcements, but they lacked sufficient meat to convince me that HD-DVD is Hollywood's sole path of the future.

Even more notable was the lack of any announcement regarding New Line Cinema's crown jewels, The Lord of the Rings trilogy. Had the company committed to releasing Lord of the Rings in HD-DVD, I might have felt this was more than just a toe in the water for the studios.

As it was, I found the announcements vague and noncommittal. After all, per the fine print, none of the Hollywood studios is pledging to release films in HD-DVD only. It's entirely plausible we'll see content in two disc formats -- on similar-looking media. At least with Beta vs. VHS, you could easily tell which tape cartridge was which (big and bulky=VHS); imagine moseying up to the store shelf to choose between similarly designed, same-sized packages for The Lord of the Rings: The Fellowship of the Ring. I can hear the internal dialogue now: "Is this movie in HD-DVD? Or Blu-ray? And which one do I need?"

Meanwhile, the Blu-ray Disc Association wasn't silent. Although no movies were announced, Disney reiterated its support for Blu-ray. And with the announcement of gaming giant Electronic Arts' commitment to Blu-Ray, the association cemented that format's future as the disc of choice for console games. Factor in Sony's backing of Blu-ray and the company's announced plans to support Blu-ray in its future PlayStation gaming consoles -- and suddenly Blu-ray looks like it has the gaming market niche sealed up. No matter which way Hollywood goes, Blu-ray will exist, in this scenario.

Microsoft has already thrown its weight behind HD-DVD for the next-generation Xbox. However, recent rumors on the Web suggest that Microsoft will support only standard DVD in the Xbox 2. If true, that would certainly tip the scales in Blu-ray's favor as the next-gen platform for gaming.

More alike than not

I'll save a recitation of the detailed disc size, layer thickness, and dyes for another time. Physically, both Blu-ray and HD-DVD media are dye-based optical discs, similar in size to today's DVDs. Both formats pack more data on the disc by relying on a blue-laser diode instead of the red laser used in current DVD technology. The blue laser has a shorter wavelength, which allows it to read more data packed into a given space.

Although neither Blu-ray Discs nor HD-DVD media will work on existing DVD players, both formats incorporate laser designs that make them backward compatible, so devices based on them will play back current DVDs and audio CDs. And both formats will use the same video compression schemes: MPEG-2, H.264, and VC-1. This development evens the playing field with respect to the video codec, at least.

While both formats will continue to support existing audio formats, advanced audio codecs are still being nailed down, as is the copy-protection scheme.

So which format has the advantage? As its name implies, HD-DVD is more closely related to its predecessor -- but only in that the disc's physical structure is virtually identical to that of current DVD media. Proponents of the HD-DVD format point to that trait as an asset that makes ramping up production more seamless than doing so with Blu-ray Discs.

By contrast, Blu-ray requires an entirely different manufacturing and replication process, one that will require some infrastructure investment upfront for manufacturers. Surely this will make a difference -- but only in the early days. I've yet to hear anything that makes me think HD-DVD holds an insurmountable advantage. The question is, how long will it take for the technologies needed to produce Blu-ray Discs to ramp up and get the manufacturing costs down? Because the transition to HD-DVD involves less upfront expense, that format has an early edge.

When it comes to capacity, though, the point advantage goes hands-down to Blu-ray. Never mind the various rewritable and recordable specs; read-only specs are the only ones that matter for prerecorded Hollywood content. A Blu-ray disc holds a whopping 25GB on a single-layer disc and 50GB on a dual-layer disc. By contrast, HD-DVD holds only 15GB on a single-layer disc and 30GB on a dual-layer disc.

And here's a reality check, folks: A standard 135-minute movie, encoded at 12 megabits per second, will require about 12GB to 13GB of storage, just for the video of the film alone. Factor in up to 5GB more for a high-end, DVD-Audio-level soundtrack, plus space for additional audio tracks (to support the requisite Dolby Digital and DTS), multiple language tracks and extras, and suddenly those 30GB dual-layer HD-DVD discs sound like they're going have a tough time handling all that content.

Before Hollywood commits to a format, it needs to remember that this next content-delivery format choice is for the long haul. What works in the context of today's standards for "roomy" won't necessarily work three years from now. And no one has ever regretted having too much storage.

So what's going to decide this race? If it's first to market, HD-DVD may cross the finish line first -- if the Advanced Access Content System copy protection scheme is finalized by March. That technology is holding up the finalization of read-only disc specs for both HD-DVD media and Blu-ray Discs. HD-DVD proponents have selected AACS for digital rights management; backers of the Blu-ray format are still finalizing their copy protection plans, but consider AACS as a front runner.

If AACS is delayed -- and several industry folks I've spoken with feel this is likely -- Toshiba and NEC may have a difficult time making their aggressive launch schedule. According to an NEC engineer, the company will need a minimum of three months after AACS copy protection is completed and the HD-DVD-ROM specification is finalized in order to get a HD-DVD drive into production. Consumer electronics products, such as the HD-DVD players that Toshiba will be selling, typically require even more time to market, to account for design, manufacture, and testing.

Even if AACS doesn't arrive on schedule, HD-DVD may still have a few months' lead on Blu-ray. Some Blu-ray Disc products may ship by the end of the year, but sources say it's looking more realistic for the beginning of 2006. And both formats could be delayed if the finalization of AACS drags on far beyond March.

In the contest of names, I have to say that it's a draw. HD-DVD is a marketer's dream: The format is blessed with a name that needs no introduction, given the hype over high-definition broadcast technologies and the off-the-meter popularity of DVD. But Blu-ray has a sea-breeze-like coolness factor. Together with Sony's pledge of PlayStation support, Blu-ray has a niche already carved out -- regardless of which camp, or camps, Hollywood chooses to back.

Regardless of which format wins, an even newer optical technology is already waiting in the wings, ready to douse cold water on the victory parade. Backers of the Holographic Versatile Disc announced this month that the format will support mammoth 200GB media when it launches in the fourth quarter of this year -- posing a direct challenge to blue-laser-based storage formats like Blu-ray and HD-DVD.

[dkennedy]

Count Apple in on Blu-ray

Posted Mar 10, 2005, 11:59 AM ET by Ryan Block

Leave it to Apple never to do anything half-assed—not only did they decide to get on the Blu-ray bandwagon and join the ranks of Blu-ray Association, but they found themselves immediately sitting down on the main board. Yet another fat nail in the coffin of HD-DVD; not too shabby for a company that only sells between 2 and 5% of computers, right? Still, we wonder how they’ll feel about now having to support Microsoft’s WMV HD (aka VC-1) codec in addition the standard MPEG-4 H.264. But it should all be worth it for them, to sit alongside such illustrious board member names as Dell (think they’ll shoot spitwads at each other?), HP, Hitachi, LG, Mitsubishi, Panasonic, Philips, Pioneer, Thomson (RCA), Fox, and Disney. Ahem. Welcome to the club.

[dkennedy]

DVDs to Remain Popular, HD DVD and Blu-Ray to Both Win, says In-Stat

In-Stat - March 22, 2005

More consumers want instant access to video on their TV sets, portable devices and cell phone handsets, but DVDs will continue to be a popular medium and will continue to experience substantial growth. New digital delivery services are not likely to supplant the DVD business, but rather bring digital entertainment to people by adding either convenience or accessibility that complements what the "Packaged Goods" can provide, reports In-Stat.

The worldwide value of all published DVD products is expected to grow with a Compound Annual Growth Rate of 18.2%, from about US$33 Billion during 2004, up to US$76.5 Billion by 2009, the high-tech market research firm says.

“In North America, HD DVD will jump start a round of growth for High Definition versions of Hollywood movies, as consumers begin replacing their libraries of old VHS tapes and DVDs,” says Gerry Kaufhold, In-Stat analyst. “HD DVDs will appear later this year, to take advantage of the growing installed base of HDTV sets in the US. However, we expect Blu-Ray products to take off in Asia in 2006, and in Europe and the ROW during 2007. Music videos, DualDisc products and locally produced DVDs will account for 20% of the market value by 2009."

In-Stat also found the following:

Point-of-Sale systems, like those from Rimage, will be connected to secure networks that are already in place to support digital signage applications. These kiosks will be used to "burn" DVD discs on command, making it possible for book stores, airport shops, coffee sellers, convenience markets and other retailers to sell DVDs without maintaining large inventories, while providing huge convenience to consumers.

Outside of North America, Blu-Ray discs will become the dominant High Definition format, because it is backed by the “who’s who” of international consumer electronics manufacturers, and ultimately provides more storage capacity and better features.

Professional quality DVD authoring packages are becoming widely available, which will increase the market for locally produced DVDs with all kinds of "content" from local movies, musical groups, churches, museums, businesses and regional video producers.

By 2009, nearly 55% of all TV households will be connected to at least one of the non-traditional network delivery systems such as Cable TV, Satellite networks, Digital Terrestrial TV or Broadband TV service.
The report, Worldwide Electronic Entertainment: Packaged Goods Value And Network-Connected Households, examines the worldwide market for consumer-oriented digital video entertainment. The report provides in-depth discussion and analysis of five trends that are shaping the DVD industry, and three trends that are shaping network-connected TV services. It contains forecasts for the regional and worldwide value of DVD markets broken out by Standard DVDs, Blu-Ray DVDs, HD DVDs and Music and Locally Produced DVDs. It also includes forecasts for the number of TV households in four regions that will be connected to traditional, over-the-air broadcast TV, Cable TV, pay-TV Satellite services, Digital Terrestrial TV and Broadband (IP-TV) video services.

[dkennedy]

Top Sony exec hints at Blu-ray, HD-DVD detente

By Paul Kallender, IDG News Service March 24, 2005

After more than a year of touting Blu-ray as the best technology to replace DVD for storing high-definition video and winning proponents including Apple, a top executive at Sony Corp., one of Blu-ray's major backers, has opened the door to the possibility of unifying the format with its arch rival, HD-DVD.

"Listening to the voice of the consumers, having two rival formats is disappointing and we haven't totally given up on the possibility of integration or compromise," Ryoji Chubachi, Sony's president-elect, said at a news conference Thursday in which he discussed the company's performance and future strategy.

The statement may surprise backers of the rival camps, who have assembled consortiums of major electronics companies, disc makers and Hollywood studios to promote the formats in a battle that echoes one fought a quarter of a century ago between Betamax and VHS.

HD-DVD backers, which include NEC Corp. and Toshiba Corp., say HD-DVDs can be produced for about the same price as DVDs and are backward-compatible with DVDs and CDs, making the format more convenient for both consumers and the industry. HD-DVD movie titles, PC drives and players are all due out by the end of the year.

Sony has steadfastly promoted Blu-ray as a technology that has greater capacity, saying this makes the format more useful because more content can be stored on a disc. The technology also has wider support in the technology industry, although release dates for movie titles have not yet been announced.

Chubachi's comments mark the second time that a Sony executive has signalled the possibility of a compromise between the two camps. In January, Ken Kutaragi, executive deputy president of Sony, said a format war was not in the public interest and that Sony had not ruled out the possibility of uniting the formats.

As Sony's future president, Chubachi's remarks Tuesday may carry more weight. Currently head of Sony's electronic components and manufacturing businesses, he will replace Kunitake Ando as Sony president on June 22 following the recent shake-up of Sony's top management. That shake-up saw Kutaragi step down from Sony's board, although he still heads its important gaming business.

Kutaragi also admitted in January that Sony, by supporting its proprietary audio encoding system and not the widely-supported MP3 format, had lost ground to competitors such as Apple Computer Inc. in the portable music player market, which Sony had once dominated with the Walkman.

While Sony's technological and engineering base is sound, the company must ensure that its products are aligned with the wants of consumers, Chubachi said on Tuesday. Sony's engineers have traditionally been regarded within the company as heroes and the creators of new markets, but recently their ideas have not always led to products that matched consumers' needs, he said.

[dkennedy]

Sony does not want a DVD Format War.

Ubergizmo news: April 13, 2005

Sony just announced that it is open to the idea of having a single standard for the next generation of DVD discs. At this moment, Sony and Toshiba have formed two camps with the Blu-Ray standard for Sony and HD-DVD for Toshiba. Both are backed by major partners.

It is only recently that Sony realized that its traditional approach of using only proprietary formats is an obsolete way of doing business. In the past, Sony has been very good at creating a "Sony economy" where consumers wanted everything Sony. However, this time has long gone. Now consumers are savvier and the competitive landscape has dramatically changed.

Sony does not have the technology lead that it used to and the last thing that it wants is to engage in a standard war that it might not win. It has hapenned before: remember the VHS versus Betamax battle? Sony lost, although Betamax was better. Ken Kutaragi, the "father of the playstation" might have won after all: he wanted Sony to be more open and this might just be happening.

[dkennedy]

Warner Bros., Microsoft Team on HD-DVD

Apr 18, 2005 — By Chris Marlowe

LOS ANGELES (Hollywood Reporter) - In one of the first major moves to bring high-definition discs to market, Warner Bros. Studios will collaborate with Microsoft Corp. on the retail release of HD movies and television programs.

The agreement is expected to be announced jointly on Monday (April 18) at the National Association of Broadcasters convention in Washington.

The studio will make its content available on HD-DVD discs using Windows Media Video 9, Microsoft's version of the VC-1 standard. Warner Home Video plans to begin issuing these products in the fourth quarter. The company has not disclosed specific information regarding which titles will be involved in the initiative.

"Warner Bros. has evaluated the video quality of VC-1 and found it to be outstanding, making it an ideal format for the delivery of high-definition content," said Chris Cookson, chief technology officer at Warner Bros. Entertainment. "By releasing a wide range of titles in VC-1, we are creating great new opportunities to bring high-definition video to consumers."

The Society of Motion Picture and Television Engineers said Thursday that VC-1 has met all requirements for Final Committee Draft status, a finding SMPTE engineering VP Peter Symes characterized as "a significant milestone."

VC-1 already has been selected as a mandatory codec (a method of coding and compressing data) in both HD-DVD and Blu-ray Disc, the two competing formats for next-generation high-definition DVDs.

"Warner Bros.' plan to use VC-1 for the release of HD-DVDs presents consumers with exciting new options for watching high-definition content," said Blair Westlake, corporate VP at Microsoft's Media/Entertainment & Technology Convergence Group. "As a technology provider, Microsoft is encouraged by the industry's efforts to deliver next-generation high-definition video experiences for consumers, and we see the Warner Bros. collaboration as a significant milestone."

Microsoft will show a live feed of VC-1 to a set-top box at NAB, marking the first time this application has been publicly demonstrated.

[dkennedy]

Sony, Toshiba seek unified Blu-Ray Disc and HD-DVD standard

www.chinaview.cn April 21, 2005

BEIJING, April 21 (Xinhuanet) -- Sony and Toshiba are discussing a new unified standard for next-generation DVDs, according to a Financial Times report on Thursday.

Executives from the two firms are stepping up negotiations on the possibility of merging Sony's Blu-ray disc technology with Toshiba's HD-DVD format, Financial Times said.

A solution to end the standoff between their competing products will come out as early as this month, said the Nihon Keizai business daily.

The two rivals have been making efforts to have their technological standards adopted by the industry.

[dkennedy]

DVD format talks lean to Sony technology

Tue May 10, 2005

TOKYO/SEATTLE (Reuters) - Talks between Japan's Sony Corp. and Toshiba Corp. to unify next-generation DVD formats are leaning toward a disc structure supported by Sony, a source close to the matter said on Tuesday.

Sony and Toshiba, heading rival groups, have waged a three-year war to have their new technology standards adopted by the industry and gain pole position in the multi-billion-dollar markets for DVD players, PC drives and optical discs.

But the companies said last month they were in talks to develop a common standard, in a move to avoid VHS/Betamax-like dual formats that could discourage consumers from shifting to advanced discs and stifle the industry's growth.

Sony's Blu-ray technology is backed by a group including Dell Inc., Samsung Electronics Co. Ltd., Philips Electronics NV and Matsunutsa Electric Industrial Co. Ltd., maker of Panasonic products.

The source said a unified format based on Blu-ray's disc structure was being discussed in the talks, held between Sony, Toshiba and Matsunutsa.

He added, however, it was unclear whether and when the two sides would reach a final agreement on a common format.

The Nihon Keizai newspaper said earlier that Sony and Toshiba were in final talks eyeing a new format based on Blu-ray's disc structure and Toshiba's software for efficient data transfer and copyright protection.

In Blu-ray, a layer to hold data is put on the surface of a substrate and covered by thin protective layers, while in HD DVD discs, which are supported by Toshiba, a memory layer is sandwiched between two substrates.

The two sides agree that it would be best for consumers to have a common format, but shifting to a rival standard could mean a delay in product development and the commercial launch, making unification difficult.

Toshiba, which supports HD DVD technology along with NEC Corp. and Sanyo Electric Co. Ltd., said in a statement nothing had been decided on the unified format.

At the core of both formats are blue lasers, which have a shorter wavelength than the red lasers used in current DVD equipment, allowing discs to store data at the higher densities needed for high-definition movies and television.

Member companies in the Blu-ray camp are set to meet in Tokyo next week to discuss technological and promotional matters.

Shares in Sony were down 0.74 percent at 4,000 yen in afternoon trade, while Toshiba fell 1.1 percent to 448 yen. Both underperformed the Tokyo stock market's electric machinery index, which was down 0.22 percent.

© Reuters 2005. All Rights Reserved.

[dkennedy]

Toshiba Unveils 45GB HD DVD-ROM Disc and Double-Sided Hybrid Disc; Further Expands Horizon of Future Digital Home Entertainment

May 10, 2005

Media-Tech Expo 2005

TOKYO & LAS VEGAS--(BUSINESS WIRE)--May 10, 2005--Toshiba Corporation today announced development of a triple-layer HD DVD-ROM (read-only) disc with a data capacity of 45 gigabytes, 50% more than the 30-gigabyte dual-layer HD DVD-ROM disc already announced and enough to record twelve hours of high-definition movies on a single disc. The new disc adds a high-end option to the previous HD DVD-ROM disc lineup that includes the 15GB (single-layer, single-sided) and 30GB (dual-layer, single-sided). These two discs are already approved and standardized at the DVD Forum.

Toshiba also announced a double-sided, dual-layer hybrid ROM disc comprised of dual-layer HD DVD-ROM side and dual-layer DVD-ROM side. The hybrid disc can store 30GB of high-definition content on the HD DVD-ROM side and 8.5GB of standard-definition content on the DVD-ROM dual layer side. More than 84 million DVD players and recorders were produced worldwide in 2004 alone. The standard definition content of the new hybrid discs can be replayed on these platforms, while their owners will also be able to enjoy high-definition content from the same source when they purchase HD DVD players in the future. The new disc further prepares the way for a smooth transition from DVD to HD DVD.

Details of these new discs will be presented at the May 11 HD DVD workshop at Media-Tech Expo 2005 in Las Vegas, U.S., the leading annual trade show for the optical disc manufacturing industry.

All these new versions of HD DVD-ROM discs share the same disc structure as previously announced HD DVD formats, and today's DVD format: two 0.6-mm thick discs bonded back-to-back, a time-tested physical structure with proven volume manufacturing capability at little cost increment.

Memory-Tech Corporation, Japan's largest independent disc replicator, has confirmed the new 45GB and hybrid discs can be produced on their existing manufacturing lines and equipment, which are tailored to produce HD DVD discs, with only minor additional investment and minimum additional production cost per disc.

Mr. Shiroharu Kawasaki, President and CEO, Memory-Tech, said: "These new HD DVD discs will surely be welcomed by content holders, including Hollywood studios and game developers, as further broadening the scope of future applications. We have already started verification for volume production of triple-layered discs, and we are confident of early verification as they are based on the 0.6mm disc structure and established production technologies. We at Memory-Tech are fully committed to flexibly meeting variety of user requirements."

NEC Corporation and SANYO Electric Co., Ltd., both strong supporters of the HD DVD format also welcomed this announcement. "We are excited by the new discs and the way they further extend the possibilities of the HD DVD format," said Mr. Hiroshi Gokan, Executive General Manager of Computers Storage Products Operations Unit at NEC. SANYO's Dr. Keiichi Yodoshi, Deputy General Manager of R&D Headquarters said, "The new discs demonstrate that 0.6mm discs can support diverse applications and achieve technical excellence, while fully securing firm backward compatibility."

Technical features

1) Triple-layer 45GB disc

The newly developed ROM disc has a single-sided, triple-layer structure (see attachment). Each layer stores 15 gigabytes of information. Triple-layer discs can be easily produced by back-to-back bonding of a 0.6mm-thick dual-layer disc and a single-layer 0.6mm disc.

In the process, a single-layer disc is first produced, using the same process as for HD DVD-ROM. Next, the second layer is formed on first layer using a one-time polycarbonate stamper, the same process used for the DVD-18 disc, the double-sided DVD disc that has dual-layers on both sides. Finally, the single-layer 0.6mm disc is bonded to the dual-layer disc, using standard technology.

2) Double-sided, Dual-layer Hybrid Disc

In December 2004, Toshiba and Memory-Tech announced development of a single-sided, dual-layer HD DVD-ROM/DVD-ROM hybrid disc. The DVD layer had a 4.7GB capacity, meeting the specification for current DVD discs, while the HD DVD layer had a 15GB capacity.

Now Toshiba has developed a double-sided, dual-layer HD DVD-ROM/DVD-ROM hybrid disc. Simply explained, the new hybrid disc bonds together a 0.6mm thick dual-layer HD DVD-ROM disc with 30GB capacity, and a 0.6-mm thick dual-layer DVD-ROM disc with an 8.5GB capacity (see attachment).

The dual-layer DVD-ROM disc structure is well established. The new disc has a structure as simple as that of current dual-layer DVD-ROM discs. Today, more than fifty percent of DVD-ROM discs on the market are dual-layer versions.

The new disc brings the clear benefit of satisfying consumers, retailers, disc producers and Hollywood studios. It allows consumers to view DVD content on standard DVD players and, after purchasing an HD DVD player, to enjoy high definition content on the HD DVD layer from the same disc. The new disc structure also increases options for content providers: they can provide the same content in two formats, or use the HD DVD layer for a feature movie and the DVD layer to store promotional videos or audio content, including the movie sound track. Retailers can also promote HD DVD hardware as well as maintaining standard DVD sales.

About HD DVD

HD DVD is the next generation DVD format being standardized at the DVD Forum, which represents over 230 consumer electronics, information technology, and content companies worldwide. HD DVD players and HD DVD video software are expected to come to market in late 2005, and will allow consumers to enjoy video content, including Hollywood movies, with crystal-clear, high-definition picture quality.

In November 2004, Paramount Home Entertainment, Universal Studios Home Entertainment, Warner Home Video, New Line Home Entertainment and HBO Home Video announced their official support of the HD DVD format.

With 0.6-millimeter thick discs bonded back-to-back, HD DVD discs adopt completely the same disc structure as current DVD discs. Because of that, disc manufacturers will be able to utilize their current disc manufacturing lines with only minimum upgrades.

Image data of the new discs are available in the web site of HD DVD Promotion Group (http://www.hddvdprg.com/press/index.html).

[dkennedy]

Warner Bros. Supports Toshiba HD DVD

Tuesday, May 10, 2005

Warner Home Video (WHV) today announced its support of the two new types of HD DVD pre-recorded discs developed by Toshiba

HD DVD, the next-generation DVD, previously has offered several types of discs: HD/DVD-9, a 15GB version (single-layer, single sided), a 30GB disc (double-layer, single-sided), and a hybrid (double-layer, single-sided) HD DVD 15GB on one layer, with 4.7GB standard definition on the other. These disc formats have been standardized by the DVD Forum.

In addition to these discs, Toshiba is announcing a triple-layer, high capacity 45GB disc, and a double-sided, double-layer hybrid disc that can store 30GB of high-definition content on one side, with a DVD 9 of standard-definition content on the other.

Warner Home Video welcomes the announcement of the new discs as they reinforce an ideal next-generation HD solution, offering a strong combination of superior performance, proven cost efficiency, large storage capacity and compatibility with current DVD.

"HD DVD now provides a superb range of real-world consumer solutions, allowing the accommodation of two generations of content -- standard definition and HD DVD -- on a single disc," said Marsha King, EVP & General Manager, Warner Home Video. "

"The new suite of discs further broadens the spectrum of HD DVD products, continuing to address the need for lower cost and maximum consumer benefits while delivering various levels of capacity for content owners."

Preliminary WHV consumer research shows that interest in the hybrid disc is very high, with 77% of consumers being very interested in purchasing the hybrid HD DVD products. Among consumers who do not yet own HDTV, but intend to purchase HDTV televisions in the next 12 months, this interest increases to 89%. This supports the belief that consumers are attracted to a product that is "future proof."

[dkennedy]

DVD storage is so over

Tuesday, May 10, 2005
By Molly Wood, senior editor, CNET.com

We don't ask much from our storage, really. All we want are hundreds of gigabytes of cheap, backward-compatible storage that will store all the high-definition video we can record, create, or steal.

So, it seems like the obvious answer to our burgeoning storage needs lies in next-generation DVDs--namely, our interests lie in the winner of the HD-DVD vs. Blu-ray war.

But the fact is, I've already lost interest in that war, and I think DVDs are a dead end as a storage format.

Storage is probably the biggest personal-technology hurdle we face--most of us wouldn't dream of buying a PC with less than a 100GB hard drive. External hard drives, network-attached storage, and even personal RAID arrays are as much a fixture in the modern home as a computer and a monitor.

And a whole lot of companies are hoping that megastorage DVDs will be the silver bullet to help solve some of those storage concerns. Plus, they're hoping to offer the killer device for storing HD video.

Blu-ray and HD-DVD, if you're not familiar with them, are competing technologies for creating high-capacity DVDs--from 50GB to 100GB, in the case of Blu-ray. Today's dual-layer DVDs, by comparison, max out at 9GB. Backers of each standard hope their discs will become the go-to solution for massive data storage and, more importantly, for recording high-definition video.

For a complete primer on HD-DVD vs. Blu-ray, read my colleague David Carnoy's excellent breakdown of the brewing standards fight. For now, though, just know that Blu-ray is backed by Sony, Panasonic, Samsung, Dell, HP, Philips, and Mitsubishi and offers much higher capacity, while HD-DVD takes a more evolutionary approach (meaning, hopefully, cheaper media, players, and recorders), and now enjoys more movie studio support than Blu-ray (other than, of course, Sony).

As it grew in intensity, the standards battle appeared to be reaching a stalemate--each format had a powerful coalition behind it, and each coalition made a strong case for its standard. Lately, though, the industry has developed fear of a big format war, and Sony has recently made overtures that suggest it's willing to find a compromise.

Unfortunately, not everyone is cooperating; Toshiba said yesterday that it does not intend to suggest any sort of unified format, and most experts think it'll be a year or longer before there's any actual movement--either toward picking a winner or starting work on an entirely new format that could take more years to develop.

So, here's the thing about that, Sony, Panasonic, Samsung, Dell, HP, Philips, Mitsubishi, Toshiba, NEC, Sanyo, Memory-Tech, Microsoft, and company. You're the only ones who still care about the outcome. You go ahead and have your little battle over who's going to make the most money off of next-generation DVDs. Me? I'll be looking for a real storage solution, and I bet I'm going to find one by the time you get it all worked out.

A third solution, please:

What these companies are arguing over is who will make the most money off of the new storage formats, and, of course, how they'll force consumers to come along with them--buying not only the new discs, but new players, new recorders, and whatever other new accessories come along with the new format.

Then there will be the royalty costs to recoup and the expensive DRM technologies that must be developed to keep you from pirating HD content--which, if you're honest with yourself, is the biggest reason you want all that mega-HD storage in the first place.

But if I'm honest with myself, I see right off the bat that a 100GB DVD (and that's assuming Blu-ray wins, since HD-DVD doesn't offer that kind of space) is just a drop in my storage bucket. Heck, I'm close to using up the space on my 160GB external hard drive, and that's not counting all the data, photos, and video I have on my 80GB internal drive and stored on my TiVo.

I don't need some midsize, expensive DVD; a brand-new recorder; a new DVD player; and a stack of discs. I need bigger, more portable hard drives (give me a 200GB hard drive in the form of an iPod, and you'll be thinking along my lines); big, big network-attached storage solutions; and cheap, high-bandwidth online storage.

And that's just the storage element--when it comes to home theater, I want to be rid of physical media. I want a DVR with a terabyte of storage so that I can record all the high-def video I want.

I want that DVR to be completely networked over my gigabit Ethernet connection so that I can download high-def video, transfer it to my DVR, watch it on my high-def TV, and completely cut out the DVD middleman.

In fact, if anything's going to kill Netflix, it won't be Blockbuster. It'll be video on demand. I heard a story just the other day about how movie studios are considering releasing movies in the theaters, on DVD, and on television all on the same day--now that's what I'm talking about.

I'll still buy movies, but I won't be buying DVDs. In the storage future of my imagination, DVDs are long gone--and the longer these companies keep fighting over profits, the more they assure their disc obsolescence.

[dkennedy]

Toshiba says unified DVD format difficult

May 16, 2005

TOKYO (Reuters) - A senior official at Toshiba Corp. said establishing a unified format for next-generation DVDs based on technology backed by Sony Corp. would be very difficult, the Nihon Keizai newspaper reported on Monday.

Sony and Toshiba, heading rival groups, have waged a three-year war to have their new technology standards adopted by the industry and gain pole position in the multi-billion-dollar markets for DVD players, PC drives and optical discs.

"(Unifying the formats based on Sony technology) would be extremely difficult at this stage," the newspaper quoted Yoshihide Fujii, Toshiba's top negotiator, as saying about ongoing talks between the two camps.

The comment follows a weekend of negotiations between officials at Toshiba, which backs a new DVD technology called HD-DVD, and officials from Sony and Matsunutsa Electric Industrial Co. , which support a rival technology known as Blu-ray.

A Toshiba spokeswoman said the company could not immediately verify Fujii's comments. She also said Toshiba planned to continue negotiating with the rival camp for a unified format.

Blu-ray technology is backed by several other high-tech companies including Dell Inc. , Samsung Electronics Co. Ltd. and Philips Electronics NV .

The negotiations have been leaning toward unifying the formats based on a disc structure supported by the Blu-ray camp, according to a source close to the matter.

In Blu-ray, a layer to hold data is put on the surface of a substrate and covered by thin protective layers, while in HD-DVD discs, a memory layer is sandwiched between two substrates.

The two sides agree that it would be best for consumers to have a common format, but shifting to a rival standard could mean a delay in product development and the commercial launch, making unification difficult.

At the core of both formats are blue lasers, which have a shorter wavelength than the red lasers used in current DVD equipment, allowing discs to store data at the higher densities needed for high-definition movies and television.

[dkennedy]

Sony, Toshiba presidents to meet on new DVD format

Tue May 17, 2005

By Kunihiko Kichise and Nathan Layne

TOKYO (Reuters) - The presidents of Japanese electronics giants Sony, Toshiba and Matsunutsa Electric Industrial Co. will meet to try to break a stalemate in talks over a unified format for next-generation DVD technology, a source close to the matter said on Tuesday.

Sony and Toshiba, leading rival camps, have waged a three-year battle to have their new technology standards adopted by the industry.

The winner will have pole position in the multi-billion-dollar markets for DVD players, PC drives and optical discs.

The high-level talks offer new hope for negotiations that appeared to have reached an impasse.

A senior Toshiba official was quoted by the Nihon Keizai Shimbun on Monday as saying one format based on Sony technology would be "extremely difficult".

Both sides still believe one standard is the best scenario, knowing that a prolonged format battle like the one between VHS and Betamax two decades ago would likely discourage consumers from shifting to advanced discs and stifle the industry's growth.

"We continue to believe in the merits of establishing one format but discussions up until now have not been able to produce an agreement," said the source, who spoke on condition of anonymity. "So the talks will be taken to a higher level."

The source said it had not been decided whether Toshiba would send its current president, Tadashi Okamura, or incoming president Atsutoshi Nishida.

Likewise, it is not clear whether Sony will be represented by Ryoji Chubachi, who is scheduled to become president in June, or current president Kunitake Ando.

Kunio Nakamura, president of Panasonic products maker Matsunutsa, will likely attend the talks, the source said.

"The exact timing and place of the meeting has not yet been decided. It will be held when a time that fits the schedules of all three company heads is found," the source said.

UNDER PRESSURE

Officials from Toshiba, which backs a new DVD technology called HD-DVD, and Sony and Matsunutsa, which support a rival standard known as Blu-ray, began meeting earlier this year to try and establish a format incorporating technology from both sides.

The negotiations have been leaning towards unifying the formats based on the Blu-ray disc structure.

But Toshiba continues to maintain that adopting the HD DVD structure would be more cost efficient because it is closer to the current DVD.

Toshiba has also been under pressure from parts makers and film studios in the HD DVD camp not to give in.

Just last week Toshiba announced that it had developed a triple-layer HD DVD disc with data capacity of 45 gigabytes, 50 percent more than a previously unveiled version and enough to hold 12 hours of high-definition movies.

Warner Home Video and Universal Studios Home Entertainment both issued statements endorsing Toshiba's new disc.

The announcements were seen as a move to help steer talks more in favour of the HD DVD side.

In addition to Sony and Matsunutsa, Blu-ray members also include computer giant Dell Inc. , Samsung Electronics Co. Ltd. and Philips Electronics NV.

HD DVD technology is also backed by NEC Corp. , Sanyo Electric Co. Ltd. and several other firms.

In Blu-ray, a layer to hold data is put on the surface of a substrate and covered by thin protective layers. In HD-DVD discs, a memory layer is sandwiched between two substrates.

At the core of both formats are blue lasers, which have a shorter wavelength than the red lasers used in current DVD equipment, allowing discs to store data at the higher densities needed for high-definition movies and television.

The outcome of the meeting between the presidents of Sony, Toshiba and Matsunutsa could have a significant impact on future product launches.

A move towards unification could actually lead to a delay in the introduction of next-generation devices.

Toshiba has already unveiled plans to launch HD DVD players in the last quarter of 2005 while Sony announced plans this week to introduce its new PlayStation video game console in the spring of 2006 equipped with a Blu-ray disc drive.

Shares of Sony ended Tuesday down 0.76 percent at 3,930 yen, Matsunutsa rose 0.57 percent to 1,589 yen and Toshiba fell 1.13 percent to 437 yen.

The Nikkei average dropped 1.11 percent.

© Reuters 2005. All Rights Reserved.

[dkennedy]

Matsunutsa insists Toshiba yield on DVD format

Thursday, May 19, 2005

By Nathan Layne

TOKYO (Reuters) - The president of Matsunutsa Electric Industrial Co. Ltd. said on Thursday it is up to Toshiba Corp. to yield its position in talks on a unified format for next-generation DVD technology, making clear that Matsunutsa and its partner Sony Corp. won't budge.

The comments by Kunio Nakamura are the latest sign that negotiations between officials from Toshiba, which backs a new DVD technology called HD-DVD, and Sony and Matsunutsa, supporters of a rival format known as Blu-ray, have hit a snag.

The two sides began meeting earlier this year, aiming to avoid a prolonged battle over the format that could discourage consumers from shifting to advanced discs and stifle the industry's growth.

But both camps are also loath to establish a format based on the other group's disc structure as they have spent years and enormous amounts of money to develop their respective standards in the hope the industry would adopt them.

At stake is pole position in the multibillion dollar markets for DVD players, PC drives and optical discs.

"The talks continue, they have not collapsed," Nakamura told a group of reporters at a get-together of industry executives in Tokyo. "But Matsunutsa and Sony have not changed their stance. We are waiting for Toshiba's decision."

Both camps have waged aggressive public relations campaigns over the past several months, trying to woo undecided high-tech manufacturers and Hollywood film studios, whose support will be vital to either format's success.

The Blu-ray camp emphasizes the high recording capacity of its discs while HD-DVD promoters says its format would mean a less costly transition for the industry because it is very close to the structure of current discs.

At the core of both formats are blue lasers, which have a shorter wavelength than the red lasers used in current DVD equipment, allowing discs to store data at the higher densities needed for high-definition movies and television.

Blu-ray discs have a memory layer only 0.1 mm from the surface while HD-DVD discs write data on a layer 0.6 mm from the surface, the same depth as the current generation of DVDs.

"There is still a chance to create a new format, but we will not waver on the 0.1 mm point," Nakamura said. "I call on them to bring up issues other than 0.1. Let's talk about that."

With companies from both camps gearing up to launch products compatible with their respective formats, the window of opportunity is closing fast.

Toshiba has unveiled plans to launch HD DVD players in the last quarter of 2005 while Sony announced plans this week to introduce its new PlayStation video game console in spring 2006 equipped with a Blu-ray disc drive.

"There is no time. If we can't reach a compromise then (unification) itself will become more and more difficult," Nakamura said.

Nakamura denied media reports that he would meet with the heads of Sony and Toshiba in the near future to try to break the deadlock. A source close to the matter told Reuters the high-level meeting would take place as early as this week.

"I have not and will not meet (with them)," he said.

Shares of Matsunutsa closed up 1.32 percent at 1,609 yen, Sony jumped 4.63 percent to 4,070 yen and Toshiba gained 2.55 percent to 442 yen. The benchmark Nikkei average rallied 2.23 percent. (Additional reporting by Kunihiko Kichise)

[dkennedy]

Toshiba Leaves Door Open for Next-Gen DVD Format Agreement

May 26, 2005 2:54PM

Toshiba leads a group proposing the High-Definition DVD format as the successor to the existing DVD, while Sony and its allies are pushing the Blu-ray Disc format. Late last month, the two rival groups appeared to have moved close to an agreement on unifying their standards, mainly based on the Blu-ray Disc technology.

Toshiba President Tadashi Okamura said Wednesday his company will continue efforts to reach an agreement with Sony and other companies about unifying their proposed standards for next-generation video discs.
"Unifying them is definitely better for the market," Okamura told reporters. "I will not give up hopes. We will continue talks."

Toshiba leads a group proposing the High-Definition DVD format as the successor to the existing DVD, while Sony and its allies are pushing the Blu-ray Disc format.

Late last month, the two rival groups appeared to have moved close to an agreement on unifying their standards, mainly based on the Blu-ray Disc technology.

But their negotiations have been put on hold as Toshiba remains unconvinced that the Blu-ray technology is superior.

Okamura indicated that a decision on which technology will be used for a unified standard should be made in light of consumers' interests.

"This is not a issue to be decided by negotiations among top managers. The decision is up to consumers," he said.

Last week, Kunio Nakamura, president of Matsunutsa Electric Industrial Co., a key ally of Sony, stressed their group would not back down on the plan to use the Blu-ray technology as a basis for a unified standard.

"We have not changed our minds. It's up to them to make a decision."