Hi-Def Media War May Be Ending
The advent of consumer devices capable of playing both emerging high-definition disc formats may spell an end to the ongoing war between Blu-Ray and HD-DVD discs, one research company contends.
When LG Electronics launched its Super Multi-Blue Player at this year's CES convention - a device able to play Blu-Ray and HD-DVDs - it signaled the exit of the format war, according to market analysts ABI Research.
By creating universal platform ABI believes the South Korean manufacturer may have created a precedent that the rest of the industry will have to follow.
We believe that universal players will come to dominate the high-definition DVD player market, says Steve Wilson, the firm's principal analyst of consumer electronics.
ABI asserts that a dual format player should not cost much more than a single format player, noting that the initial high price for LG's player - $1,199 - matches the price of of Blu-Ray players.
Mass adoption of any high-definition players, including multi-format ones, will not be achieved until prices drop below $200, however.
Given that the market is still in its early stages, Wilson says developers are still trying to maximize their revenues, however, newer technologies should bring the prices down soon.
There will be downward pressure on prices for players of all types Wilson added. ABI Research believes that prices will have to drop below $200 before true mass adoption takes off.
He believes this price should be realized by 2009.
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