The Next Gen Format Wars: HD-DVD vs. Blu-Ray

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have there been any new developments on this?

When do you think the issue will be resolved once and for all?

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This is just an example of Economic Game theory.

Anyone not familiar with this is:

A: Both parties agree to work together for a common goal, but neither party really gains much more money than the other. (less profits, but much more profit than scenario D below.)

B&C: Both parties agree to work together and share, but instead one party decides to break the agreement and makes all profit, leaving the other party with very little profit.

D (the scenario in place re: this hd_dvd and blu_ray):

Both parties do not work together and both parties compete via free market - neither party "wins" and both are much more wasteful of resources and time. huge risk involved, as one party will eventually have a bigger market share than the other (i.e. apple vs. microsoft).

What do I think?

Ideally one company will succumb to the other and give up their stubbornness over the format. Then all companies would follow the standard and we as consumers would face higher prices, but would have more choice and easier access to the media we want.

What's going to happen?

Both will try to compete in the free market. Both have +s' and -s' to them. Eventually the one that is more popular with consumers, or the one that is cheapest, will win. As consumers this means that we will have lower prices, but less choice and more risk (what happens if we buy the format that is dying?)

What could happen?

A new format is released immediately after these two hit market. The new technology has the advantages over both because of interoperability and compatibility.

Therefore, the real money to be made in this whole battle is a Cross-platform Unit that can process and utilize the information from both formats. If this were to be released after both formats are on the market, this third-party would make the most money of all 3 parties! The 3rd party would also gain consumer confidence and reputation (which I think is MUCH more valuable than market share) and could then branch itself into different markets and technologies.

The best plan of attack, then, would be to maintain neutrality on the formats until they are both released. After a few years, analyse the market and determine if one format is swamping the other. If there is a standstill, then a) another format standard must be released to spark consumers or b) consumers must be given a platform on which they can utilize both media at once.

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Samsung has announced they will have a cross compatible device. That's probably what most people will have to lean towards.

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