Reuters - Blu-Ray tipped to win DVD format battle

Wed Oct 19, 2005 1:01 PM ET



LOS ANGELES (Reuters) - Forrester Research on Wednesday declared
Blu-Ray, a new DVD format backed by a group led by Sony Corp <6758.T> as
the winner in an increasingly heated battle over next-generation DVD
technology.

"Two groups are competing for control of high-definition DVD formats to
be launched in the spring of 2006. After a long and tedious run up to
launch, it is now clear to Forrester that the Sony-led Blu-ray format
will win," said Forrester Research analyst Ted Schadler in a report.

Earlier this month, Paramount Home Entertainment said it would release
high-definition movies in the Blu-ray format.

Paramount, a film studio owned by Viacom Inc. <VIAb.N>, had previously
said it would release titles in a competing DVD format called HD DVD
that is endorsed by a consortium of electronics makers including Toshiba
Corp. <6502.T>.

Paramount's move to also support Blu-ray was prompted by the failure of
the two factions to join forces before players went on sale, industry
sources have said.

Schadler said only one format can ultimately win in the market.

"Unless the HD-DVD group abandons the field, it will be another two
years before consumers are confident enough of the winner to think about
buying a new format DVD player. In the meantime, they will expand their
video on-demand, downloadable video, and Internet viewing habits," he
said.

 

Another black eye for Wintel.