
If consumers find the brewing battle between next-generation DVD technologies — HD DVD versus Blu-ray — a headache, they are not alone. At the Consumer Electronics Show in Las Vegas, top U.S. electronics retailers, called the issue “nightmarishly unfriendly” and “stupid.”
Stores like Best Buy, Circuit City and CompUSA may sell millions of devices, either HD DVD or its rival, Blu-ray, and some day one version could be obsolete, drawing the ire of their customers. What’s more, many will chose not to buy any device, instead waiting for one format to win.
Blu-ray is backed by Sony Corp. and HD DVD is championed by Toshiba Corp. The two technology camps failed to reach a unified technological front that has set the stage this year for a formats war like the costly VCR vs. Betamax battle of the 1980s.
“We are frustrated,” said Best Buy CEO Brad Anderson, on the sidelines of a panel discussion at the Consumer Electronics Show on Friday. “We are going to wind up with some number of consumers probably buying a format that dies and we are probably going to wind up having to selling it to them. They are not gong to be happy with us.”
Both Blu-ray and HD DVD hope to spark the sagging home video market with new high-
definition DVD players and discs, offering greater capacity and interactive features. A single-layer Blu-ray disc has a capacity of 25 gigabytes of data, which is enough to hold a two-hour high-definition movie, or 13 hours of standard television programming. Rival HD DVD has a single-layer capacity of 15 gigabytes, but its backers argue it is cheaper to manufacture.
“The problem is that what you want is huge penetration into homes as quickly as possible,” said CompUSA chief executive Larry Mondry. “The Beta-VHS wars lasted 10 years. We are doing it again and we are just stupid as an industry.”
Starting this year, it is likely that electronics retailers are going to have to make space in their stores for both sundry devices related to both formats, including the players, the movies and other programming that play on them, and accessories.
Decision on what to stock will have to be made by the retailers sooner, rather than later. At the Consumer Electronics Show in Las Vegas, Toshiba and Thomson each announced plans to sell in the next few months high-definition DVD player in the U.S. priced at around $500.
Meanwhile, Sony Corp.’s Sony Pictures Home Entertainment, News Corp.’s Twentieth Century Fox and Lionsgate , all of which are exclusively supportive of HD DVD rival Blu-ray, released names of titles for the Blu-ray format.


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7 comments so far
I will, and I think that all consumers should just boycott BOTH formats. Send a message to to the manufacturers…until there is ONE INDUSTRY STANDARD, you will not sell us any units. We were burned by Beta vs. VHS and once IS enough in this case.
- Posted by Paul PowichroskiI have been buying 5-6 DVD’s a month for years and
- Posted by pat shannonthat will stop if I have to chose HD DVD or Blue-ray. I don’t need new movies to add to my collection of Beta movies. Looks like a new way
to promote rentals rather than sales and force
Blockbuster, etal to buy twice as many units. I can not see retailers doubleing inventory for the same $ in sales. What a really dumb idea. I’ll
just wait to buy and suggest others do as well
untill one becomes the standard format
At first when I heard the two different formats it was easy for me to go with Blu-Ray. Now a year later I think I will sit this out and wait til ALL movie studios move to one format or another. Until then I will stick with my standard def player.
- Posted by David KirlewIt’s going to be a war but I think that Blu Ray will win!
- Posted by Roger[…] Executives at electronics retailers say they stand to bear the brunt of a consumer backlash should the next generation hi-def DVD format wars drag on. Michael Vitelli, senior vice-president of Best Buys consumer electronics division, told Reuters recently that the biggest U.S. gadget retailer will likely devote minimal real estate in its stores to hi-def DVD players and related movie disks this year. […]
- Posted by Hi-Def DVD players? In the back, around the corner… - Reuters NewsblogsBoth new formats, which have taken years to develop, offer vastly more storage capacity on single DVDs, a prospect that excites movie studios, game developers and other software makers.
- Posted by john beck@pat shannon:
- Posted by What is Blu-ray?Actually, it’s a brilliant idea! If they can get twice the money out of Blockbuster, then Blockbuster will have to get more money out of us. Large corporations (with the exception of IBM) hate standards as they are in the consumers’ interest, not in their interest. Just look at Microsoft. Why do you think everybody is running to Open Office. Microsoft Office isn’t even compatable with previous versions of MS Office! Every five years companies must convert all their files?!? No thanks. Better use Open Office.