For the first time, perhaps, two rival technologies are locking horns - a distinct change from the brand wars. As always, the consumer has been caught in the crossfire. However, this time, intelligent consumers have found a way to leverage the impasse to their advantage. It is now certain that the clash between HD DVD and Blu-Ray will lead to a steep cut in the prices of players.
The stalemate is expected to continue for another 18 months at least. Each of these camps is fighting for a mind share of consumers and they have succeeded to a certain extent. Backing Blu-Ray is Sony, while HD DVD has found a formidable competitor to Sony’s Blu-Ray in Toshiba, another technological giant.
Today, a Blu-Ray player has a list price of $500 and HD DVD players sell for $400. There is not much to choose between HD DVD and Blu-Ray in terms of technology. Each of these formats has its own advantages and limitations. However, Blu-Ray appears to be lagging behind on two main fronts - price and content advantages.
Despite the cost advantage that HD DVD format has, consumers haven’t warmed up to it. Forrester Research believes that $200-$250 is a more practical price range. With a $24 billion market (which once belonged to the obsolete DVD format) up for grabs, it goes without saying that both camps are mulling a drastic reduction in prices. For now, let us keep our fingers crossed and hope that the white flag brings some good news.
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Via: Msnbc
