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In Reply to: RE: The bottom line for the studios are comparisons of software sales. posted by oscar on December 10, 2007 at 05:44:26
I'm sure studios are looking at disc sales, but I bet they are also looking at the profit margins of each, both now and in the future for the bigger picture. How long are replication fees going to be subsidized? How much will it cost when Sony stops subsidizing BD replication? Sales numbers? I'm sure they are looking at sales of BOGOs Vs. normal pricing-which do you think makes them happier?
I'm sure the studios are painfully aware that only 4 million BDs (despite all the PS3s) and 2.5 million HD DVDs sold since inception. They are also aware that catalog sales aren't doing squat, which is probably one of the main reasons they went HD. Its not a pretty picture overall.
Just my 2 cents.
Jack
In the long-term, there won't be any replication cost differences (if any) between BD and HD DVD. Similarly with hardware cost differences when economies of scale kick in. Toshiba's only chance to cause Studio defection in favor of HD DVD to pre-empt the slow build up of Blu-ray production and maturation of Blu-ray profiles with dirt-cheap players. If they don't accomplish this soon, all the advantages swing in Blu-ray's favor long-term.
> > > In the long-term, there won't be any replication cost differences (if any) between BD and HD DVD < < <
I really doubt that. The protective coating alone adds cost, and time to the process. Its not like HD DVD replication costs will stay the same price-they'll go down too, and probably always be cheaper than BD, not to mention the actual replicators, which are already plentiful since all DVD replicators made in the last few years are designed to be quickly and easily convertible to HD DVD. Blu-ray replicators have to be made from scratch, and they aren't cheap. BTW, who do you think will pay the difference when Sony stops subsidizing BD, the studios or the customers?
OTOH, if either format makes the discs too cheap, the same as DVDs, the studios won't have any motivation to go HD at all.
Jack
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