Wednesday, February 21, 2007

HDTV is Blu-ray key


THE adoption of high-definition technology by Australian television broadcasters is key to the success of the new Blu-ray DVD format, companies pushing the format say.

The alliance of technology and entertainment groups behind the new DVD standard - which promises crisper high definition pictures and greater storage capacity - formally announced the Blu-ray brand to the Australian market yesterday.
The launch marks what many anticipate will be a long struggle for market share between the Sony-led Blu-ray camp and the HD DVD standard, which is backed by Toshiba, Microsoft, Intel and NEC.

Michele Garra, chairman of the Australian Blu-ray Disc Working Group, said the take-up of high definition television (HDTV) was the most important factor behind the future of Blu-ray in Australia.

"I think what we've seen in the US and Europe is that high definition adoption rates drive consumers' interest in new formats," Ms Garra said.

"I think in the Australian market place there are really no challenges apart from the network television stations making announcements about their offer in the high definition model."

Technology research group GfK estimates 90 per cent of Australian households will have HDTV by the end of 2010, compared with the 20 per cent at the end of last year.

With broadcasters expected to air major sport events such as the Rugby World Cup in high definition later this year, the technology is expected to make further inroads into Australian homes.

But with the emergence of online entertainment and video on demand, some analysts are questioning how much longer disc-based content will continue to dominate the home entertainment market.

However, Michael Hoog, a spokesman for the global Blu-ray Disc Association, believes it will be some time before video on demand begins creating problems for the new generation of DVDs.

"In the US the vast majority of music is still being purchased by physical means," Mr Hoog said.

"When you take that out to video, it's much, much easier to download a piece of music than it is a piece of standard definition video let alone a piece of high definition video.

"The expectation is that packaged media and downloadable content can co-exist and will co-exist at some point in the future."

"As an association, we are not concerned that download will be supplanting the desire for packaged media any time soon."

Retailer JB Hi-Fi has backed Blu-ray's Australian launch saying it will only stock the format while a number of manufacturers such as Samsung have already released Blu-ray players in Australia.

There are about 70 entertainment titles currently available in the format with distributors expected to announce more in the weeks ahead.

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