Quote Originally Posted by Mr Peabody
I understand that a Blu-ray or HD-DVD movie costs about $30.00. Do you think the price will come down? If not, will the price keep HD movies a nitch market? I know you stated sales are growing but I'm not ready to pay that much for a movie. I don't think the average person wil either. I know many who copy DVD at, that, price. Maybe not the main reason, but I really think the price of SACD and DVD-A software, amongst lack of mainstream titles, put nails in their casket. I probably have more than 200 DVD's, maybe300 if I count all the animated movies I've bought the family I really cringe at seeing a more expensive format. I expect many of you to dismiss the price, but, you aren't average consumers. I'd really be interested to see what percentage of homes even have a HDTV today..
Actually, the prices I've seen are generally about $5 more than DVD, and some stores in my area (Fry's Electronics in particular) will do the discounted week-of-release pricing on Blu-ray and HD-DVD, with some releases going for $15.

If you look at the prices on SACD and DVD-A, they were and still are about on par with what new CDs cost. Cost has not been an issue for at least the past three years. Hybrid CD/SACD releases will typically cost no more than about $2 more than the CD-only version. SACD and DVD-A failed largely because the record companies never committed to it in full, never had a coherent strategy (i.e., the industry never standardized around the CD/SACD hybrid disc format), and had all kinds of idiotic restrictions that put off even the most dedicated early adopters (i.e., the digital output restrictions, lack of consistent bass management and delay timing, etc.).

Aside from this stupid format war, which I believe will come to an end by next year one way or another (either Blu-ray will become the standard or we'll see more dual-format discs and players), no such problems with HD-DVD and Blu-ray. HDMI connections now get around any problems with copy protection restrictions, and most major releases now come out on Blu-ray and/or HD-DVD not very long after the DVD, if not concurrently. All 20 of last year's best selling DVDs have come out or will soon come out on HD-DVD or Blu-ray (19 of them on Blu-ray). SACD and DVD-A never had that kind of support from the record companies.

As far as HDTV penetration goes, I read that Q4 2006 was huge. Before that time, HDTV penetration was less than one-fourth, and supposedly it's now approaching one-third of U.S. households. Heavy discounting by retailers led to a surge in HDTV sales that has continued into January (Super Bowl week has become the biggest single week for big screen TV sales).